>
Switch to:

Waste Connections ROE %

: 10.26% (As of Jun. 2021)
View and export this data going back to 1987. Start your Free Trial

ROE % is calculated as Net Income attributable to Common Stockholders (Net Income minus dividends to participating security holders) divided by its average Total Stockholders Equity over a certain period of time. Waste Connections's annualized net income attributable to common stockholders for the quarter that ended in Jun. 2021 was $708 Mil. Waste Connections's average Total Stockholders Equity over the quarter that ended in Jun. 2021 was $6,901 Mil. Therefore, Waste Connections's annualized ROE % for the quarter that ended in Jun. 2021 was 10.26%.

The historical rank and industry rank for Waste Connections's ROE % or its related term are showing as below:

NYSE:WCN' s ROE % Range Over the Past 10 Years
Min: -4.55   Med: 9.14   Max: 11.97
Current: 9.26

-4.55
11.97

During the past 13 years, Waste Connections's highest ROE % was 11.97%. The lowest was -4.55%. And the median was 9.14%.

NYSE:WCN's ROE % is ranked higher than
63% of the 38 Companies
in the Waste Management industry.

( Industry Median: 4.15 vs. NYSE:WCN: 9.26 )

Waste Connections ROE % Historical Data

The historical data trend for Waste Connections's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Waste Connections Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.46 9.68 8.60 8.47 2.97

Waste Connections Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
ROE % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -13.79 9.61 7.73 9.30 10.26

Competitive Comparison

For the Waste Management subindustry, Waste Connections's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Waste Connections ROE % Distribution

For the Waste Management industry and Industrials sector, Waste Connections's ROE % distribution charts can be found below:

* The bar in red indicates where Waste Connections's ROE % falls into.



Waste Connections ROE % Calculation

Waste Connections's annualized ROE % for the fiscal year that ended in Dec. 2020 is calculated as

ROE %=Net Income attributable to Common Stockholders (A: Dec. 2020 )/( (Total Stockholders Equity (A: Dec. 2019 )+Total Stockholders Equity (A: Dec. 2020 ))/ count )
=204.677/( (6933.504+6859.273)/ 2 )
=204.677/6896.3885
=2.97 %

Waste Connections's annualized ROE % for the quarter that ended in Jun. 2021 is calculated as

ROE %=Net Income attributable to Common Stockholders (Q: Jun. 2021 )/( (Total Stockholders Equity (Q: Mar. 2021 )+Total Stockholders Equity (Q: Jun. 2021 ))/ count )
=708.188/( (6937.71+6864.383)/ 2 )
=708.188/6901.0465
=10.26 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income attributable to common stockholders of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income attributable to common stockholders data used here is four times the quarterly (Jun. 2021) net income attributable to common stockholders data. ROE % is displayed in the 30-year financial page.


Waste Connections  (NYSE:WCN) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %**(Q: Jun. 2021 )
=Net Income/Total Stockholders Equity
=708.188/6901.0465
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(708.188 / 6135.724)*(6135.724 / 14074.568)*(14074.568 / 6901.0465)
=Net Margin %*Asset Turnover*Equity Multiplier
=11.54 %*0.4359*2.0395
=ROA %*Equity Multiplier
=5.03 %*2.0395
=10.26 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %**(Q: Jun. 2021 )
=Net Income/Total Stockholders Equity
=708.188/6901.0465
=(Net Income /Pre-Tax Income) * (Pre-Tax Income/Operating Income) * (Operating Income/Revenue) * (Revenue/Total Assets) * (Total Assets/Total Stockholders Equity)
= (708.188 / 899.876) * (899.876 / 1091.476) * (1091.476 / 6135.724) * (6135.724 / 14074.568) * (14074.568 / 6901.0465)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.787 * 0.8245 * 17.79 % * 0.4359 * 2.0395
=10.26 %

Note: The net income attributable to common stockholders data used here is four times the quarterly (Jun. 2021) net income attributable to common stockholders data. The Revenue data used here is four times the quarterly (Jun. 2021) revenue data. The same rule applies to Pre-Tax Income and Operating Income.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.


Be Aware

Net income attributable to common stockholders is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Waste Connections ROE % Related Terms

Thank you for viewing the detailed overview of Waste Connections's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Waste Connections Business Description

Waste Connections logo
Industry
Industrials » Waste Management NAICS : 221310 SIC : 4931
Traded in Other Exchanges
Address
610 Applewood Crescent, 2nd Floor, Vaughan, ON, CAN, L4K 0E3
Waste Connections is the third- largest integrated provider of traditional solid waste and recycling services in the North America, operating 91 active landfills (12 are E&P waste landfills), 132 transfer stations, and 68 recycling operations. The firm serves residential, commercial, industrial, and energy end markets. Waste Connections entered the Canadian market with its 2016 merger with Progressive Waste. In 2020, 13% of consolidated revenue was generated from the firm's Canadian segment.

Waste Connections Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)