GFL - Waste Management: Sometimes Boring Makes Best
2024-03-17 06:44:49 ET
Summary
- Waste Management, a seemingly boring and low-growth company, has offered significant upside for investors, outperforming the S&P 500.
- The company's financial results show growth in revenue, net profits, operating cash flow, and EBITDA.
- Waste Management plans to invest in growth initiatives, including recycling and renewable energy, while also returning capital to shareholders through share buybacks and dividend increases.
There is a misconception, I believe, when it comes to generating market beating returns. Many people seem to think you need to buy into risky companies and/or firms that are growing rapidly in order to capture strong upside. But from my experience, some of the most boring, low growth companies offer the greatest potential. And this is because of their quality and the fact that the market underestimates them from time to time. A really good example of this can be seen by looking at perhaps one of the most 'boring' businesses on the planet. And that is Waste Management ( WM )....
Waste Management: Sometimes Boring Makes Best