Should You Bet on More Record Highs for Waste Connection Stock?

Analyzing post-earnings opportunities for Waste Connections stock

facebook X logo linkedin


Waste Connections Inc (NYSE:WCN) is an integrated solid waste services company that provides non-hazardous waste collection, transfer, and disposal services, along with resource recovery primarily through recycling and renewable fuels generation. WCN serves more than seven million residential, commercial, and industrial customers in mostly exclusive and secondary markets across 43 states in the U.S. and six provinces in Canada. Waste Connections also provides non-hazardous oilfield waste treatment, recovery, and disposal services in several basins across the U.S., as well as intermodal services for the movement of cargo and solid waste containers in the Pacific Northwest.

On Wednesday, Aug. 4, Waste Connections announced its second quarter of 2021 financial results. WCN's revenue for the quarter totaled $1.534 billion, up 17.5% year-over-year. Moreover, WCN’s net income was $177.0 million, or $0.68 per share. In comparison to one year ago, Waste Connections reported a net loss of $227.1 million. This translates to the fact that WCN improved its net income by $404.1 million year-over-year.

On the earnings front, Waste Connection has outperformed earnings expectations on all four of its most recent earnings reports. For the third quarter of 2020, WCN beat analyst estimates by a margin of $0.04, reporting earnings per share (EPS) of $0.60. For the fourth quarter of 2020, Waste Connections' EPS increased to $0.72, beating expectations by a margin of $0.06. For the first quarter of 2021, WCN posted a decrease in earnings, dropping to $0.68 per share. However, the waste services company still beat estimates by a margin of $0.05. For the most recent quarterly that was released on Wednesday, Waste Connections reported an EPS of $0.81 and beat expectations by a slight margin of $0.04.

Waste Connection stock is up 22.5% in 2021, with recent support at the 60-day containing a brief pullback early last month. The trendline launched WCN to a record high of $128.50 ahead of its earnings report. While the shares have cooled since then, off 0.3% at $125.72 this afternoon, the 10-day moving average could help keep shares afloat. 

 

wcn aug 6

In fact, several analysts are speculating on more upside for WCN. Today alone, no less than  five analysts lifted their price targets. This includes a price-target hike from Stifel to $154 from $140. The 12-month consensus price target of $136.70 now sits at a $136.70 premium to current levels. 

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI