Casella Waste Systems Inc. Class A Common Stock (CWST)

FairStock Score: 23/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Looking at Casella Waste, I see a necessary business with a real footprint in solid waste, but not a bargain. It collects, transfers, disposes, recycles, and handles organics, and vertical integration can matter because route density and disposal control can support margins. Yet the reported numbers do not show a wide moat. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $543.7 million but net income was only $3.8 million. In fiscal Q1 2026, the quarter ended 2026-03-31, it lost $5.5 million. For FY2025, the year ended 2025-12-31, revenue was $1.8 billion and net income was $7.9 million, down from $13.5 million in FY2024, the year ended 2024-12-31, and $25.4 million in FY2023, the year ended 2023-12-31. That is shrinking profit on a growing top line. FairStock's Lynch category is Slow Grower—Shrinking, with profit down 38.7% a year over five years. The balance sheet shows debt-to-equity of 0.92, and the Piotroski score is 6/9, so not dire but not pristine. Valuation is the real problem. At the close on 2026-10-13, price was $85.27, market cap $5.4 billion, P/E 1,065.87, P/B 3.43, and FCF yield 1.9%. The Graham Number is $6.69, leaving a negative margin of safety of -1,174.59%. ROE 0.36% and ROCE 1.73% are very low. A value investor wants a decent business at a fair price; here the price already assumes a lot of improvement while earnings and returns are weak.

In plain English: Casella Waste Systems collects and handles trash, recycling, and organic waste for homes, businesses, and governments. The business is growing sales, but profits are very thin and have fallen lately. At the 2026-10-13 close of $85.27, the price looks expensive compared with those profits and the company's net assets.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer