Casella Waste Systems, Inc. (CWST) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Why is Casella Waste Systems, Inc. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 7.41%

Flat results in Dec 25

ROCE(HY) Lowest at 0.5%
PRE-TAX PROFIT(Q) At USD 7.31 MM has Fallen at -32.15%
RAW MATERIAL COST(Y) Grown by 7.8% (YoY)

With ROCE of 3.41%, it has a fair valuation with a 2.55 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -27.73%, its profits have fallen by -17.8%

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Below par performance in long term as well as near term

Along with generating -27.73% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Casella Waste Systems, Inc. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Casella Waste Systems, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Casella Waste Systems, Inc.

-27.73%

-0.58

32.78%

S&P 500

14.9%

0.77

19.29%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

18.85%

EBIT Growth (5y)

6.29%

EBIT to Interest (avg)

2.99

Debt to EBITDA (avg)

2.44

Net Debt to Equity (avg)

0.57

Sales to Capital Employed (avg)

0.62

Tax Ratio

31.68%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

7.41%

ROE (avg)

11.19%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

187

Industry P/E

Price to Book Value

3.58

EV to EBIT

74.70

EV to EBITDA

16.10

EV to Capital Employed

2.55

EV to Sales

3.63

PEG Ratio

Dividend Yield

ROCE (Latest)

3.41%

ROE (Latest)

1.92%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 329.76 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 10.4 times

-6What is not working for the Company

ROCE(HY)

Lowest at 0.5%

PRE-TAX PROFIT(Q)

At USD 7.31 MM has Fallen at -32.15%

RAW MATERIAL COST(Y)

Grown by 7.8% (YoY

NET PROFIT(Q)

At USD 6.39 MM has Fallen at -24.41%

Here's what is working for Casella Waste Systems, Inc.

Operating Cash Flow

Highest at USD 329.76 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Debtors Turnover Ratio

Highest at 10.4 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at USD 83.12 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Casella Waste Systems, Inc.

Pre-Tax Profit

At USD 7.31 MM has Fallen at -32.15%

over average net sales of the previous four periods of USD 10.78 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 6.39 MM has Fallen at -24.41%

over average net sales of the previous four periods of USD 8.46 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Raw Material Cost

Grown by 7.8% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales