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Stock Comparison · Structural lead, mixed market

Encompass Health vs Waste Management: Which Stock Looks Stronger in 2026?

Waste Management holds the cleaner structural position, with stability as the main driver and valuation adding further support. Encompass Health still has the edge on valuation, which keeps the comparison from looking entirely one-sided. The market setup broadly confirms the structural lead — Waste Management holds the more constructive position. That puts structure and market broadly in agreement — Waste Management's lead looks more confirmed than conflicted.

The comparison is based on similar long-term financial trajectories, not sector labels.

Updated 2026-04-05

The lead is spread across stability and profitability, rather than sitting in one isolated gap.

Trajectory Similarity
0.71
Similar
Peer-set rank: #10
within Encompass Health Corporation's functional peer set

These two companies are linked by measured long-term financial trajectory similarity within the selected peer universe.

The pair sits on a clearly comparable long-term path, though it is not a near-twin match.

The match is driven mainly by investment intensity and margin consistency.

Similarity drivers
investment intensitymargin consistency
How to read the score
0.85–1.00 · Very similar0.70–0.84 · Similar0.55–0.69 · Moderately similarbelow 0.55 · Loose match
Peer-Relative Score
EHC
Encompass Health Corporation
50
Peer-Score
Signal qualityMedium
vs
WM
Waste Management, Inc.
56
Peer-Score
Signal qualityMedium

Scores reflect position relative to comparable companies with similar long-term financial trajectories.

The largest gaps do not all point in the same direction.

Dimension spread: EHC vs WM Profitability 18 36 Stability 51 85 Valuation 84 54 Growth 48 62 EHC WM
Gap Ranking
#1 Stability +34
#2 Valuation +30
#3 Profitability +18
#4 Growth +14
Price Setup

Left means cheaper relative valuation. Higher means stronger structure.

Price setup map for EHC and WM Stronger + cheaper Stronger + richer Weaker + cheaper Weaker + richer EHCWM Relative valuation Structural strength

Waste Management, Inc. occupies the cheaper side of the setup map, although Encompass Health Corporation still holds the stronger structural profile.

Valuation position uses peer-relative PE percentile (idx_pct_pe) where available.

Relative Position vs Comparable Companies
Stability
Both rank well on stability, but Waste Management, Inc. still holds a clear edge.
Valuation
On valuation, the same pattern holds: both are strong, but Encompass Health Corporation still leads clearly.
Stability — Dominant Gap
EHC
51
WM
85
Gap+34in favour of WM

The clearest distance comes from a steadier profile over time.

What keeps the gap from being one-sided

Absolute pricing still looks more supportive for Encompass Health, with a forward P/E that is 9.2 turns lower there.

What this means for the comparison

Stability is the clearest driver of the lead, with valuation adding further support — though valuation still provides a real counterweight.

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Break down the EHC vs WM comparison across all dimensions with the full interactive tool.

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Other comparisons with conflicting dimension signals

Explore how EHC and WM each compare against other companies in their peer groups.

Rule-based, descriptive analysis only. Derived from peer percentile dimensions. Not investment advice. Peer groups are determined algorithmically based on structural similarity — not by sector classification alone.

How AssetNext Peer Scores Work

AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.

Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.

Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.