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In early March 2026, Waste Connections, Inc. completed a fixed-income offering of US$600 million in 4.80% senior unsecured notes due July 15, 2036, issued at 99.732% of par with callable features.
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This bond sale, following quarterly earnings that surpassed expectations and guidance for 2026 revenue of about US$9.9 billion and adjusted EBITDA near US$3.3 billion, highlights management’s willingness to tap long-term debt markets to support its growth plans.
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We’ll now examine how this combination of stronger-than-expected earnings and new long-dated debt issuance may reshape Waste Connections’ investment narrative.
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To own Waste Connections, you need to be comfortable with a capital intensive, acquisition driven waste services model and the use of leverage to support it. The new US$600 million, 4.80% notes add long dated funding, but do not materially change the near term story, where the key catalyst is management’s ability to convert recent pricing, safety and retention gains into steadier margins, while the most immediate risk remains higher financing costs if interest rates or credit spreads move against the company.
The most relevant recent update against this backdrop is the fourth quarter and full year 2025 earnings release, where Waste Connections reported US$9.47 billion in revenue and US$1.08 billion in net income, alongside 2026 guidance calling for around US$9.9 billion of revenue and adjusted EBITDA close to US$3.3 billion. These figures frame how much balance sheet capacity the company may have for acquisitions and capital projects funded in part by the new 2036 notes, and how sensitive future net income could be to any change in borrowing costs.
Yet against this solid access to long term funding, the risk that higher interest rates or volatile credit markets raise the company’s financing costs is something investors should be aware of…
Read the full narrative on Waste Connections (it’s free!)
Waste Connections’ narrative projects $11.3 billion revenue and $1.7 billion earnings by 2028. This requires 7.1% yearly revenue growth and about a $1.1 billion earnings increase from $643.8 million today.
Uncover how Waste Connections’ forecasts yield a $198.75 fair value, a 19% upside to its current price.
Two members of the Simply Wall St Community currently value Waste Connections between US$198.75 and about US$239.95 per share, showing how far apart individual fair value views can be. Some of these investors focus on the company’s reliance on debt funded acquisitions and the risk that changing interest rates lift financing costs, so it is worth weighing several perspectives before deciding how resilient you think margins and earnings could be.