While it’s not easy for investors to completely ignore the market noise, some fundamentally strong stocks make that easier thanks to consistent performance, reliable dividend income and long-term growth potential. After including such robust stocks in your portfolio, you don’t have to keep checking the stock chart every morning. And there’s one stock I’ve been watching closely lately that fits this description perfectly. It may not make big headlines, but it continues to do what it does best.
In this article I will highlight why Waste connections (TSX:WCN) could be one of the smartest stocks to buy now and hold forever.
A solid dividend stock in a surprisingly resilient sector
While Waste Connections may not be a very popular name for most investors, it runs a vital business that rarely slows down. One of the largest integrated waste services companies in North America, it serves millions of residential, commercial and industrial customers in 46 U.S. states and six Canadian provinces. That extensive reach, combined with the focus on the collection and recycling of non-hazardous waste, ensures that the revenue stream remains stable throughout most economic cycles.
Notably, WCN stock is up over 476% over the past decade, making it one of the stronger long-term investors in its sector. As a result, it currently trades at $243.24 per share, giving it a market cap of $62.5 billion. It also offers a small but reliable annualized dividend yield of 0.8%, paid out quarterly. Although the yield is low, it is attractive that the company has increased its dividend in the past.
Solid growth, quarter after quarter
In the third quarter of 2025, Waste Connections posted a 5% year-over-year (year-over-year) increase in total revenue to $2.46 billion, which was slightly above expectations. But what really stood out was the solid adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) margin of 33.8%, reflecting healthy cost control and pricing power, even with some commodity market headwinds.
As a result, the company’s adjusted earnings rose 7% year-on-year and 12% sequentially to US$1.44 per share, driven by stronger operational execution and lower employee turnover. In the last quarter, Waste Connections also achieved a record low in the number of safety incidents. Meanwhile, free cash flow also improved, allowing the company to finance both the dividend increase and the share buyback.
Why it’s a no-brainer stock for the long term
One of the key reasons that makes Waste Connections so attractive to long-term investors is its consistent return on capital. In the last quarter, it increased its quarterly dividend by more than 11% and bought back about 1% of its outstanding shares. These moves clearly reflected confidence in the balance sheet and cash flow prospects.
In terms of growth strategy, the company continues to focus on smaller acquisitions. It has added about $300 million in annualized revenue from deals already closed or agreed to this year. Furthermore, its strong focus on recurring revenue, high customer retention and continued investments in infrastructure make it even more attractive.
With its solid financial performance and growth strategy, Waste Connections can bring predictability to your portfolio. This is a company that doesn’t need booming economic conditions to grow. Therefore, it continues to deliver results through earnings growth, operational efficiency or dividend increases.
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