Strong market position as the largest solid waste services company in North America. Benefit from vertically integrated operations across collection, transfer, landfill, and recycling. Fairly predictable demand due to the essential nature of its services. Good geographic and customer diversity. Solid profitability supported by a variable cost structure, the contractual nature of its services, and its ownership of a considerable number of landfills. High absolute level of adjusted debt. Exposed to cyclical demand in some segments, such as roll-off hauls and commodities recycling. Solid and consistent free cash flow of about $1.8 billion annually, the majority of which is allocated toward acquisitions, dividends, and share repurchases. Sizable asset retirement and environmental obligations. The stable rating outlook on Waste Management Inc.
