| Waste Management is a holding company. Through its subsidiaries, Co. is a provider of environmental solutions. Co.'s services include: Collection, which involves picking up and transporting waste and recyclable materials to a transfer station, material recovery facility or disposal site; Landfill, which includes excavation, construction of liners, continuous spreading and compacting of waste, covering of waste with earth or other material and constructing final capping of the landfill; Transfer, in which the solid waste is transported by transfer trucks or by rail to disposal sites; and Recycling, which includes materials processing, recycling commodities and recycling brokerage services. |
When researching a stock like Waste Management, many investors are the most familiar with Fundamental Analysis — looking at a company's balance sheet, earnings, revenues, and what's happening in that company's underlying business. Investors who use Fundamental Analysis to identify good stocks to buy or sell can also benefit from WM Technical Analysis to help find a good entry or exit point. Technical Analysis is blind to the fundamentals and looks only at the trading data for WM stock — the real life supply and demand for the stock over time — and examines that data in different ways. One of these ways is called the Relative Strength Index, or RSI. This popular indicator, originally developed in the 1970's by J. Welles Wilder, looks at a 14-day moving average of a stock's gains on its up days, versus its losses on its down days. The resulting WM RSI is a value that measures momentum, oscillating between "oversold" and "overbought" on a scale of zero to 100. A reading below 30 is viewed to be oversold, which a bullish investor could look to as a sign that the selling is in the process of exhausting itself, and look for entry point opportunities. A reading above 70 is viewed to be overbought, which could indicate that a rally in progress is starting to get crowded with buyers. If the rally has been a long one, that could be a sign that a pullback is overdue.