Waste Management (NYSE: WM) stock is soaring 5.02% in Tuesday's pre-market trading following the company's impressive second-quarter results and a series of analyst upgrades. The leading North American waste management firm reported better-than-expected earnings and revenue for Q2 2025, demonstrating robust growth across its core business segments.

The company's Q2 non-GAAP EPS came in at $1.92, surpassing the $1.89 estimate, while revenue reached $6.43 billion, exceeding the projected $6.36 billion. Notably, Waste Management saw a substantial 19% year-over-year increase in GAAP revenue, driven by strong performances in its renewable energy and healthcare segments. In response to these stellar results, several analysts have reaffirmed their bullish stance on the stock. BofA Global Research raised its price target to $251 from $244, while TD Cowen maintained a Buy rating with a $260 price target.

Investors are particularly encouraged by Waste Management's raised guidance for annual free cash flow, now expected to be between $2.8 billion and $2.9 billion for fiscal 2025. The company also announced a 10% dividend increase, marking its 22nd consecutive annual raise. With its core collection and disposal business showing improved efficiency, successful integration of acquired businesses, and ongoing investments in renewable energy projects, Waste Management appears well-positioned for continued growth. As the market digests this positive news, the stock's upward movement reflects growing investor confidence in the company's strategic direction and financial health.