Do you believe the reallocation of $O (-1,83%) and $WM (-2,1%) (approx. €2,500 together) to $IWDA (-2,2%) would be worthwhile at the current price?

Such days also offer the opportunity to tidy up your portfolio, reallocate one or two positions and focus more on quality

The first quarter of 2025 is over. In March, real assets recorded declines, both in equities and ETFs and especially in cryptocurrencies. The markets have become increasingly volatile. While many are panicking, I have been enjoying the first signs of spring, hiking and continuing to winter bathe diligently.

For the past month of March 2025, I present the following points:

➡️ SHARES

➡️ ETFS

➡️ DISTRIBUTIONS

➡️ CASHBACK

➡️ AFTER-PURCHASES

➡️ P2P CREDITS

➡️ CRYPTO

➡️ AND OTHER?

➡️ OUTLOOK

➡️ Shares

There was a considerable setback in March, and not just in equities. The reason for this is the customs issue, on which I have already formulated my thesis, which many believe to be correct. To summarize briefly: Markets are being depressed to get investors into bonds, which lowers bond yields and allows US debt to be refinanced at a lower interest rate. After the refinancing of short-term US government bonds, the tariffs are put into perspective and the next upswing follows, which Trump can boast about. Whether this assumption is correct remains to be seen. However, it would make sense in the long term to slash US spending. Even if the D.O.G.E. does a good job, you can't cut everything without incurring the displeasure of the population.

A look at the depot shows the front-runner $AVGO (-0,85%) and its companion $NFLX (-1,13%) both currently only 150% up, despite a significant setback. I am unimpressed by this development, as the capital market is always facing worse times, which will be followed by better ones. According to André Kostolany, it is now the "shaky hands" that are significantly triggering the sell-off. Yes, change your perspective: the red sign in your portfolio is irrelevant, now is the time to buy more. Enormous overvaluations in tech stocks have been reduced and they may now be available at a fairer price. There are also attractive defensive value stocks on offer, ideal for a dividend portfolio.

Second and fourth place in my individual share portfolio are still occupied by $WMT (-3,02%) and $SAP (-2,25%) . Walmart can now prove that it acts as a stable anchor in the portfolio even in bad times. In sixth place is a stock that I did not expect to be in the top 10. Like me, many of you have shares in $WM (-2,1%) but the stock I am looking for is its competitor: $RSG (+3,96%) . I have been watching the rise of this stock even before the pressure from Trump and I am happy about it. This is an example of a defensive stock. Garbage collection is necessary and Republic Services, like Waste Management, will literally turn garbage into gold for shareholders 50 years from now. Anyone complaining about their portfolio being down 50% probably has too much tech and too little defensive. My overall portfolio currently stands at around -12%. That's OK in the current macro environment.

Which brings us to the subject of performance: $NKE0 and $DHR (-3,47%) returned around -39% at the end of March.

➡️ ETFs

They are also recording significant losses. It is important to remain calm and continue investing. Such phases are part of the game. I will not repeat further details.

➡️ Distributions

In March, I received 31 distributions on 15 payout days. I am grateful for this additional income stream. Everyone should build up such additional income.

This time, the distributions from my three large ETFs were not made on March 31, but in the first few days of April. This means that there should theoretically be 34 distributions. Numerous corrections and cancellations of dividends from REITs were not taken into account. With $O (-1,83%) , $OHI (-0,54%) , $LTC (-0,39%) and $STAG (-5,94%) there were therefore some cancellations and new dividend distributions. Although this was a major bureaucratic effort, it was usually a cause for celebration. This is because the REITs initially distribute dividends from current net income. If there are then corrections in the following year, it is determined that a distribution is also made from the already taxed retained earnings. This subsequently reduces the company's tax burden and I have noticed that I pay less capital gains tax and solidarity surcharge. So more cash in my pocket for reinvestment.

➡️ Cashback

In March, I received a small amount of income from an expense report, which I invested directly in my custody account. More on this under subsequent purchases.

➡️ Subsequent purchases

The additional purchases were financed from the expense report and, above all, from the bonus paid out by my employer. I am grateful for this, as my employer is not doing well at the moment.

I made numerous additional purchases in several ETFs that are in my small old portfolios. I invested smaller sums $GGRP (-2,63%) , $JEGP (-1,49%) , $SPYW (-0,18%) , $FGEQ (-3,15%) and $SPYD (-2,79%) and bought a larger sum in shares of the $IWDP. On the last Friday in March, I checked my portfolio and realized that, despite careful use of the surplus, there was more cash left than I had expected. I therefore made a small additional purchase in the $VNA (-3,41%) . For me, Vonovia (like the REITs) is a kind of hedge against my own rising rent.

➡️ P2P loans

With my last P2P platform, Mintos, there were no interest or redemption payments. I still intend to withdraw all funds where released. I would even accept a full write-off to get out of the platform. The remaining amount is no longer relevant to me.

➡️ Crypto

Crypto investors continued to experience significant volatility in March. The double top predicted by some does not seem to be materializing and the indicators do not currently point to a steep rise. I am studying the charting and the macro environment for crypto, although I still have a lot to learn here. Patience and calm are still required. I am sticking to my cycle strategy, the macro situation confirms me, so there is no need for me to take any action.

➡️ And what else?

I'm currently deepening my knowledge of AI. The posts on my Instagram channel that I published in March (and others that will follow in April) were created with the help of AI. I explained my approaches, beliefs about finance and the frugal lifestyle, and my goals to AI. The AI then created suggestions for Instagram posts, including prompts and allowing for a week break at the end of the month.

There is still a lot for me to learn. I am using AI more and more intensively and deeply in my professional and private life. While colleagues are happy that an AI can write emails for them, I use it much more extensively, for example to have technical content and its effects on departments and companies explained to me at work or to have economic relationships explained to me in my private life. In addition to ChatGPT, I particularly like Grok by X, as this AI always asks questions and thus enables a fluid conversation. The AI doesn't just reproduce facts, but also evaluates my ideas and classifies them, for example whether I should already use part of my nest egg to buy more quality stocks at favorable prices. Her suggestion was perhaps to wait until after the refinancing of short-term US government debt, when there might be less downward volatility in the market. This recommendation is based on my thesis mentioned above.

March was also a month of fasting for me, not for religious reasons, but because I want to and always intend to. I like to use the time after fasting to change my habits, adjust my diet and vary my sports units and routines. For me, this is particularly easy after fasting - the time afterwards generally feels like a new beginning.

➡️ Outlook

In April we will continue to see negative signs in the portfolio. I have now placed a limit order, which I hope will be triggered. The annual electricity bill is also due. I'm curious to see how much will be returned, the refund will certainly go into the custody account. It will also become clear whether I will increase my discount due to higher electricity costs. Until then!

Links:

Social media links can be found in my profile, you can also take a look at the Instagram version of my review.

Over the last few weeks, I have been looking at shares from a new perspective and have started to take a closer look at balance sheets and fundamental data. 🤯

Unfortunately, I still don't use a screener and have therefore only looked at the stocks that I am familiar with in some form.

In view of the tradable shares on the global market, this is certainly a big mistake and I have some catching up to do. Nevertheless, I would like to share some of my findings with you.

I have created two lists for this purpose.

On the lists you will find stocks that in my opinion have excellent fundamental quality characteristics.

The first list contains the absolute quality companies, some of which have already proven themselves over many years, and the second list contains companies that could still become such or have not yet proven themselves long enough and could therefore be a good long-term investment. The lists are neither correct nor complete and, depending on your point of view, some stocks belong on one list or the other, or perhaps not on any list at all.

----------------------------------------------------------------------------------------------------------

Quality companies:

• Visa$V (-2,77%)

Duopoly, very strong profit margin,

Risks: Google Pay/Apple Pay etc.

• Waste Management$WM (-2,1%)

Long-term contracts, strong balance sheet, regular share buybacks

• Stryker$SYK (-2,78%)

• Intuitive Surgical$ISRG (-3,49%)

• Novo Nordisk$NOVO B (-4,17%)

• Essilor Luxottica$EL (-1,09%)

Strong moat, good growth,

Weaknesses: low return on equity

• Hershey$HSY (-2,62%)

Solid cash flow, >50% return on equity,

Weaknesses: approx. 90 % of sales generated in the USA, trend towards healthier food

• ASML$ASML (-3,76%)

• Alphabet$GOOGL (-2,2%)

• Hermes$RMS (+0,46%)

• Wal-Mart de Mexico$WALMEX* (-1,2%)

The only retail food group I know of with a significant margin of

significant margin of >5%, stable growth and healthy balance sheet,

Growing middle class in Mexico and expansion in Central America.

Weaknesses: Mexican peso

• Lotus Bakeries$LOTB (+0,38%)

Continuous sales and profit growth, very nice balance sheet, but a high stock valuation

high stock valuation (like the vast majority in this list)

• Ferrari$RACE (-1,18%)

• Zoeties$ZTS (-3,64%)

Market leader, high margin, solid cash flow, growing dividend,

• Idexx Laboratories$IDXX (-5,17%)

Very nice growth stock with high customer loyalty, strong growth, >80%

return on equity, solid balance sheet,

• alliance$ALV (+0,52%)

• Microsoft$MSFT (-1,88%)

• Procter & Gamble$PG (-1,58%)

• Pepsi$PEP (-2,88%)

• Adobe$ADBE (-0,7%)

• L'Oreal$OR (-0,77%)

• Schneider Electric$SU (-2,79%)

----------------------------------------------------------------------------------------------------------

Opportunities and future quality Company?

• Rio Tinto$RIO (-4,09%)

• 3i$III (+0,75%)

• Main Street Capital$MAIN (-2,81%)

• Mutares$MUX (-0,6%)

• Altria$MO (-0,76%)

• Terna$TRN (+1,18%)

• Pfizer$PFE (-4,09%)

• Vinci$DG (+0,16%)

• Mercadolibre$MELI (+1,57%)

• Caterpillar$CAT (-2,91%)

• BAE Systems$BA. (+2,53%)

• Lululemon$LULU (-7,73%)

• Generali$G (+1,05%)

• Energiekontor$EKT (-3,5%)

• Vici$VICI (-1,9%)

----------------------------------------------------------------------------------------------------------

Thanks for reading and I look forward to additions, corrections and exchanges of opinion.

Are there any of the stocks mentioned that are of particular interest to you?

Has anyone delved particularly deeply into one or other stock?

Then have a nice weekend 🥳

All these shares have one problem, you are not the only one who has this thought and that is why they are rarely good value😊, when I built up my position over the last 3 years, there was practically no opportunity to add them to my portfolio at a lower price, yet I continued to buy them and made my purchase price even more expensive.

That's one of the mistakes you can make as an investor, and I've made it too, only adding to positions that are in the red and neglecting the supposedly expensive positions that are doing well.

As already posted privately, at least this part is also public. Did some shopping today:

$CAT (-2,91%)

$MSCI (-0,43%)

$6501 (+6,6%)

$NDAQ (-0,47%)

$AVGO (-0,85%)

$WM (-2,1%)

$NOVO B (-4,17%)

In the last few days, there are apparently signs that the free fall is flattening out. We often see an area that is being approached again and is holding. So for me it was now time to initiate a new wave of buying :)

but: will it really turn now? We don't know... and who knows if the man on the other side of the Atlantic won't come up with something new

Have you ever wondered where the Gates Foundation invests its money? In the fourth quarter of 2024, the foundation has impressive holdings in its portfolio.

The foundation manages assets of around 42.02 billion US dollars and is one of the largest private foundations in the world. The main stocks include Berkshire Hathaway , Canadian National Railway and Microsoft .

Here is an overview of some of the largest holdings:

- Microsoft: USD 11.99 billion (28.54%) $MSFT (-1,88%)

- Berkshire Hathaway: USD 8.91 billion (21.20%) $BRK.A (-0,15%)
$BRK.B (-0,52%)

- Waste Management: USD 6.5 billion (15.48%) $WM (-2,1%)

- Canadian National Railway: USD 5.57 billion (13.24%) $CNR (-2,77%)

- Caterpillar: USD 2.67 billion (6.35%) $CAT (-2,91%)

These investments show that the Gates Foundation invests in both traditional and future-oriented companies.

What do you think of the Gates Foundation's investment decisions? Do you think they are backing the right horses? 📈

$RSG (-2,15%)
$WM (-2,1%)

The waste management company reported adjusted earnings per share of USD 1.58 for the quarter, beating the consensus estimate of USD 1.41 by USD 0.17.

Sales amounted to USD 4.05 billion, just below analysts' forecasts of USD 4.08 billion, but 5.6% higher than in the previous year.

"We delivered another strong set of results in 2024, enabled by the effective execution of our strategy to meet the needs of our customers and grow the business profitably," said Jon Vander Ark, President and CEO of Republic Services.

For the full year 2024, Republic Services generated adjusted free cash flow of USD 2.18 billion, an increase of 10% compared to the previous year.

The company distributed a total of USD 1.18 billion to shareholders in the form of dividends and share buybacks in 2024.

Republic Services issued a forecast for 2025 that is largely in line with Wall Street expectations. The company expects adjusted earnings per share of between USD 6.82 and USD 6.90 for the full year 2025, compared to the consensus estimate of USD 6.79. Revenue is expected to be between USD 16.85 billion and USD 16.95 billion.

The solid quarterly results and optimistic outlook underscore Republic Services' ability to deliver profitable growth despite economic challenges.

The company's focus on pricing initiatives and productivity improvements appears to be paying off, as evidenced by the 110 basis point expansion of the adjusted EBITDA margin to 31% in the fourth quarter.

Today, a new long-runner found its way into my portfolio. Away from the hype stocks, I am looking for steady performers such as $SYK (-2,78%)
$WMT (-3,02%)
$WM (-2,1%)
$MSI (-2,41%)
$AFL (-2,38%) ...

Waste Management $WM (-2,1%) announced its Q4 results and financial figures in the early hours of this morning "Fourth Quarter and Full-Year 2024 Earnings" [1] were published.

I would like to go into this in more detail in this article.

The earnings call is also still ongoing, which started at around 4 p.m., but has not yet revealed any new information, which is why I am posting now.

According to Deepdive, WM accounts for around 3% of the total portfolio in my portfolio through direct and indirect investments.

Before I go into the figures, I would like to briefly differentiate the difference between the published figures and the adjusted figures in the case of WM:

"Reported" & "Adjusted"

• Reportedincludes one-off costs (e.g. acquisition costs of Stericycle, restructuring).
• Adjusted: shows the core business without special effects - for better comparability.

📊 Financial year figures at a glance

• Sales: $22.06 billion (Reported & Adjusted) (+8%)
• Operating result: Reported: $4.06 billion (+13.6%), Adjusted: 4.30 bn $ (+12.2%)
• EBITDA: Reported: $6.33 bn (+12%), Adjusted: $6.56 bn (+11%)
• Net income:Reported: $2.75 bn (+19%), Adjusted: 2.92 bn $ (+16%)
• Dividend 2025: Planned $3.30 per share (+10%)

🏭 Business divisions & their development

WM is the market leader in waste management and is primarily active in Canada and the USA as its main markets, with strong growth in the USA.

Collection & Disposal

• 19.72 billion $ turnover (+5%)
• Strongest growth due to price increases (+6.7%) & optimization of operating structure.

Recycling Processing & Sales

• 1.60 bn $ turnover (+27%)
• Strong recovery due to higher raw material prices for recycled material.

WM Renewable Energy (Renewable Energies)

• 318 million $ turnover (+16.5%)
• Expansion of biogas projects; 50% of production for 2025 already sold.

WM Healthcare Solutions (medical waste)

• 403 million $ turnover (new!)
• New due to the acquisition of Stericycle; high margins expected.

💰 Financial strength & debt structure

• Cash flow from operating activities: USD 5.39 billion (+14.2%)
• Free cash flow (after investments): USD 2.32 billion (+21.8%)
• Cash position: 487 million $
• Total debt at the end of 2024: USD 24.58 billion
• Debt repayments: USD 17.87 billion in 2024
• Debt ratio target: 3.1x EBITDA by the end of 2025
• Temporary pause of share buybacks to prioritize debt reduction.

💡 Conclusion so far

• Growth drivers remain pricing, sustainable investments & Stericycle integration.
• Recycling & renewable energies will become more profitable in the medium term
• High debt due to Stericycle acquisition, but strong cash flow growth.

💼 Stericycle acquisition: expansion into the healthcare sector

On November 4, 2024, WM acquired Stericycle for $7.2 billion

Financial impact:

• 2024: $403 million in additional revenue
• 2025: Expected synergies of $100 million, $250 million by 2027
• EBITDA margin: only 1% in 2024, expected to reach 15.1% in 2025

Why Stericycle?

• Stericycle is the largest provider of medical waste disposal in North America. With this acquisition, WM is entering the healthcare sector. A growth segment with stable earnings and margins.

🌱 Sustainability projects with fast payback

WM invests heavily in renewable energy and recycling automation.

• 7 out of 20 planned biogas plants are already in operation (biogas projects have a payback period of just 3 years)

• 25 out of 39 recycling automation projects have already been completed (recycling plants pay for themselves in 6 years)

⚡️Marktposition & competitive advantages

WM is the largest waste management company in North America with:

• 12,000 natural gas trucks - largest fleet in the industry
• Largest recycling network in North America
• Market leader in landfill gas-to-energy

Why is this important?

• Leading infrastructure means economies of scale & cost leadership
• Competition can hardly keep up, which ensures stable margins

WM thus remains the top dog in the waste sector and consistently exploits its economies of scale.

💰Cost optimization and increased efficiency

In 2024, WM implemented several measures to reduce costs and increase efficiency:

• 60.7% of revenue went towards operating costs - a decrease from 61.7% in 2023
• Digital automation in recycling centers reduces labor costs in the long term
• Frontline retention programs improve employee loyalty

WM has not only grown through acquisitions, but is also optimizing existing processes.

...I have heard renewable energy and sustainability projects?...

🚨 Trump 2.0: risk for renewable projects?

Classification independent of the annual report

WM has made significant investments in renewable energy in recent years, including the development of plants to convert landfill gas into renewable natural gas (RNG). The company plans to invest over USD 1.4 billion between 2022 and 2026 in the construction of new facilities to convert landfill gas into pipeline-quality RNG. [2]

These projects are not only environmentally friendly, but also economically attractive as they will help power WM's own natural gas fleet and feed surplus energy into the grid.

Potential challenges and opportunities

Although the current government is less supportive of renewable energy projects, WM's investments in RNG may be less affected as they reduce methane emissions and thus offer environmental benefits that could be recognized even under a fossil-friendly policy.

Nevertheless, changes in the regulation and financing of renewable energy could affect the viability and expansion of such projects. WM must therefore closely monitor policy developments and adapt its strategies where necessary to achieve both environmental and economic goals.

The Trump administration favors fossil fuels and is limiting support for renewable energy. For WM, this means potential challenges, but also the opportunity to continue to operate successfully in the renewable energy sector through innovative approaches and adaptability.

🔮 Outlook 2025

Expectations for 2025: Ambitious growth targets

• WM is planning strong growth for 2025 with an increase in sales of 16.4% to up to USD 25.80 billion (driven by 5.7% organic growth and 10.7% through acquisitions)
• Adjusted EBITDA is expected to increase by 15% to up to $7.65 billion
• WM Healthcare Solutions to grow by 9%, supported by operational optimizations

🌟 The strengths:

• Defensive business model - waste disposal will always be necessary.
• Pricing power - Higher prices drive growth.
• Sustainability projects are highly profitable.
• Stericycle takeover opens up new growth areas.

⚠️ Challenges:

• High debt - pause share buybacks, focus on debt reduction.
• Trump & renewable energies - Political uncertainties, but biogas remains profitable.
• Commodity price fluctuations - recycling depends on market prices.

Personal assessment

WM remains a defensive long-term investment, but not cheaply valued. The integration of Stericycle, the sustainability strategy and the high cash flow make the company attractive. In the long term, however, I believe WM will be more affected by political influences than before. I am currently still running a savings plan, so the total share in the portfolio will rise to around 4% over the next few months.

Thanks for reading this far. Furthermore, it is understood that my personal opinion does not constitute investment advice or a recommendation to buy or sell.

_________

Sources:

[1] https://investors.wm.com/static-files/8b64fa87-7d93-423c-9647-defc1fe353e4

[2] https://www.waste360.com/fleet-technology/wm-s-malik-on-the-company-s-rng-investment-strategies-and-near-future-plans?utm_source=chatgpt.com

$WM (-2,1%)
$RSG (-2,15%)
$CLH (-2,85%)
$CWST (-0,72%)