Waste Management Inc. (NYSE:WM)

The analysis of the annual financial data reveals several notable trends in the company’s asset structure and valuation over the period from 2017 to 2021.

Liquidity and Current Assets

Cash and cash equivalents exhibit volatility, with a substantial spike in 2019 reaching 3,561 million US$, followed by a sharp decline to 553 million US$ in 2020 and a further decrease to 118 million US$ in 2021. Accounts receivable show a steady upward trend, increasing from 1,805 million US$ in 2017 to 2,278 million US$ in 2021, indicating growth in sales or credit extended to customers. Other receivables fluctuate notably, decreasing from 569 million US$ in 2017 to a low of 268 million US$ in 2021 after a peak in 2020. Parts and supplies steadily increase over the analyzed period, indicating a gradual expansion or maintenance of operational inventory. Overall, current assets peak dramatically in 2019 at 6,209 million US$ due primarily to the spike in cash but decline thereafter, standing at 3,069 million US$ in 2021, suggesting normalization or use of liquid resources.

Fixed and Long-Term Assets

Property and equipment values consistently increase yearly, rising from 11,559 million US$ in 2017 to 14,419 million US$ in 2021, demonstrating ongoing capital investment or asset acquisition. Goodwill grows steadily from 6,247 million US$ in 2017 to 9,028 million US$ in 2021, with a significant jump between 2019 and 2020, possibly reflecting acquisitions or increased valuation of intangible assets. Other intangible assets more than double from 521 million US$ in 2019 to a peak of 1,024 million US$ in 2020 before slightly decreasing to 898 million US$ in 2021, which may indicate recent intangible investments or revaluations.

Investments and Other Assets

Restricted trust and escrow accounts show minor fluctuations but remain relatively stable, around 300–350 million US$. Equity method investments increase notably in 2018 and 2019, peaking at 377 million US$, then decrease somewhat but remain elevated. Investments without readily determinable fair values decline gradually over the period. Investments in unconsolidated entities grow from 269 million US$ to 432 million US$, peaking in 2019 and declining slightly afterward. The reported “Other assets” entries increase significantly over time, pointing to either accumulation of miscellaneous assets or reclassification impacts.

Total Assets

Total assets experience steady growth annually, rising from 21,829 million US$ in 2017 to a peak of 29,345 million US$ in 2020, followed by a minor decrease to 29,097 million US$ in 2021. This trajectory indicates overall expansion with some stabilization towards the end of the period under review.

In summary, the data illustrates a period of asset growth supported by capital investments in property and equipment and increased goodwill and intangible assets, likely linked to business acquisitions or development of strong intangible resources. Liquidity has been uneven, with a dramatic but temporary cash spike in 2019, and current assets have somewhat contracted post-2019, possibly due to operational shifts or asset utilization. Investments show varied movements, reflecting adjustments in portfolio composition or strategic emphasis on certain equity interests. The company’s balance sheet strength appears to have increased over the five-year span, with a diversified asset base and a growing asset total, albeit with some fluctuations in liquidity and other asset categories.