WEBULL

Cleanaway Waste Management (ASX:CWY) Could Be 21% Undervalued Following CFO Change

Simply Wall St · 2d ago

Cleanaway Waste Management (ASX:CWY) has announced a change in its finance leadership, with long serving Chief Financial Officer Paul Binfield stepping down. Experienced executive Nigel Simonsz is set to assume the role.

See our latest analysis for Cleanaway Waste Management.

Cleanaway Waste Management's latest CFO change comes as the stock trades at A$2.36, with short term share price returns broadly flat, a year to date share price return that is down 9.23%, and a 1 year total shareholder return that has declined 15.94%.

If this management change has you reviewing your watchlist, it could be a good moment to see what else is out there and check out 4 top founder-led companies

Given Cleanaway Waste Management's softer share price and fresh CFO appointment, is the current balance of risks and potential rewards still tilted towards buyers, or has the recent weakness already priced the stock fairly?

Most Popular Narrative: 21.1% Undervalued

At a last close of A$2.36 versus a narrative fair value of A$2.99, the most followed view on Cleanaway Waste Management suggests the market is underpricing its long term potential, and that backdrop adds extra weight to a senior finance reshuffle.

The push for stricter sustainability regulations at both the federal and state levels, combined with growing consumer and corporate demand for recycling and circular economy solutions, is driving an expanding addressable market for Cleanaway in advanced waste management and resource recovery supporting long term revenue growth.

Read the complete narrative.

Curious what sits behind that A$2.99 figure and the projected step up in earnings power, margins and valuation multiples over time? The narrative leans on a detailed mix of waste volumes, recycling assets and profit expectations that are not baked into the recent share price weakness.

Result: Fair Value of A$2.99 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, investors in Cleanaway Waste Management still have to weigh landfill reliance and ongoing capital needs, as well as integration risks around recent acquisitions like Citywide and Contract Resources.

Find out about the key risks to this Cleanaway Waste Management narrative.

Another View on Cleanaway Waste Management's Valuation

The consensus narrative and SWS cash flow work both indicate that Cleanaway Waste Management appears undervalued at around A$2.36, with our DCF model suggesting a fair value of A$6.19 based on future cash flows. That is a wide gap, so how comfortable are you with the assumptions that sit underneath it?

Look into how the SWS DCF model arrives at its fair value.

CWY Discounted Cash Flow as at Jul 2026
CWY Discounted Cash Flow as at Jul 2026

Next Steps

Given the mix of caution and optimism around Cleanaway Waste Management, now is a good time to look through the numbers yourself and decide how you feel about both sides of the story. To weigh those concerns against the potential upside in one place, take a closer look at the 3 key rewards and 2 important warning signs.

Looking for more investment ideas beyond Cleanaway Waste Management?

If Cleanaway Waste Management is on your radar, do not stop there. Broaden your opportunity set with focused stock lists that match how you like to invest.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.