Core Viewpoint - Westinghouse Air Brake Technologies (WAB) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Ratings - The Zacks rating system is primarily based on a company's changing earnings picture, tracking the Zacks Consensus Estimate for EPS from sell-side analysts [2]. - The correlation between earnings estimate revisions and stock price movements makes the Zacks rating system valuable for investors, as it provides a clearer picture than subjective Wall Street analyst ratings [3][4]. Business Outlook - Rising earnings estimates and the Zacks rating upgrade for WAB indicate an improvement in the company's underlying business, suggesting that investors should respond positively by driving the stock price higher [5]. - For the fiscal year ending December 2025, WAB is expected to earn $8.89 per share, with a 1.9% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have generated an average annual return of +25% since 1988 [7]. - The upgrade of WAB to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

Key Takeaways Wabtec signed a $4.2B multi-year locomotive deal with Kazakhstan's national railway KTZ.This deal boosts WAB's competitive position as a rail technology partner and innovator in the industry.Through this deal, WAB aims to offer Evolution Series locomotives and long-term maintenance services to KTZ.Wabtec Corporation(WAB) is strengthening its operations through strategic agreements. To this end, Wabtec has inked a multi-year locomotive deal worth $4.2 billion with National Company Kazakhstan Te ...

Wabtec has unveiled plans to expand its manufacturing facility in Barton, as part of its strategy to increase production capacity and consolidate core activities in the UK rail sector. The 7,300m² expansion is scheduled for completion in the fourth quarter of 2026 and will create 150 skilled jobs in the region. The Barton site will accommodate up to 500 employees upon completion and support several product lines supplying components to rail operators and manufacturers across the UK. Lichfield MP Dave ...

Group 1 - Wabtec's shares increased by 4.9% to $197.96, following a higher-than-average trading volume, contrasting with a 3.6% loss over the past four weeks [1][2] - The stock's recent rise is linked to an agreement with Kazakhstan's national railway for Evolution Series locomotives and long-term service support [2] - Wabtec is expected to report quarterly earnings of $2.27 per share, reflecting a year-over-year increase of 13.5%, with revenues projected at $2.9 billion, up 8.8% from the previous year [2] Group 2 - The consensus EPS estimate for Wabtec has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [4] - Wabtec holds a Zacks Rank of 3 (Hold), similar to Herc Holdings, which also has a Zacks Rank of 3 and reported a 4.5% increase in its stock price [5][6] - Herc Holdings' EPS estimate for the upcoming report is $2.23, representing a significant year-over-year decline of 48.7% [6]

PITTSBURGH--(BUSINESS WIRE)--Wabtec Corporation (NYSE: WAB) announced today a landmark agreement with National Company Kazakhstan Temir Zholy (KTZ), the national railway of Kazakhstan, to deliver Evolution Series locomotives and provide long-term service support. The multi-year order, valued at $4.2 billion, marks the largest locomotive agreement in Wabtec's history. "For over two decades, our partnership with KTZ has been critical in transforming Kazakhstan's rail industry,†said Rafael Santan. ...

Core Viewpoint - The Zacks Transportation - Equipment and Leasing industry is facing a challenging macroeconomic environment characterized by persistent inflation, tariff-related tensions, and supply-chain disruptions, alongside geopolitical issues [1][5]. Industry Overview - The industry encompasses companies that provide equipment financing, leasing, and supply-chain management services, including aircraft, railcar, and intermodal container lessors. It also includes logistics and transportation solutions for a diverse customer base, primarily in automotive, electronics, transportation, grocery, lumber, food service, and home furnishing sectors [3]. Financial Performance and Shareholder Returns - Companies like Wabtec Corporation and Ryder System are noted for their shareholder-friendly initiatives, such as dividend payouts and share buybacks, indicating strong financial health. Ryder recently approved a 12% dividend increase, raising its quarterly cash dividend to 91 cents per share, while Wabtec announced a 25% increase, raising its quarterly cash dividend from 20 cents to 25 cents [2][4]. Economic Challenges - The industry is grappling with ongoing tariff tensions and inflation, which contribute to economic uncertainty and may hinder stock performance. Supply-chain disruptions and rising operating costs are also limiting growth potential [5][6]. Industry Ranking and Performance - The Zacks Transportation - Equipment and Leasing industry holds a Zacks Industry Rank of 75, placing it in the top 31% of over 250 Zacks industries. However, it has underperformed compared to the S&P 500 and the broader sector over the past year, declining 18.4% against the S&P 500's increase of 18.7% [7][9][10]. Current Valuation - The industry is currently trading at a forward 12-month price-to-earnings (P/E) ratio of 13.99X, which is lower than the S&P 500's 23.52X and the sector's 13.84X. Historically, the industry has traded between 8.42X and 15.65X over the past five years [13]. Notable Companies to Watch - **Wabtec Corporation**: Focused on technology-based locomotives and services, Wabtec has shown strong earnings performance, with a 17.6% expected earnings growth rate for 2025 [17][19]. - **Ryder System**: A logistics and transportation company with a long history of dividend payments, Ryder has an expected earnings growth rate of 9.3% for 2025 [22][23]. - **The Greenbrier Companies**: Specializing in railroad freight car equipment, Greenbrier has a notable earnings surprise history and an expected earnings growth rate of 33.1% for 2025 [26][28].

Pittsburgh, Pennsylvania-based Westinghouse Air Brake Technologies Corporation (WAB) provides technology-based locomotives, equipment, systems, and services for the freight rail and passenger transit industries. Valued at a market cap of $32.3 billion, the company’s offerings range from control systems, analytics, and asset performance management to braking systems, HVAC, signaling equipment, and remote train and locomotive controls, helping enhance efficiency, safety, and sustainability across global rail ...

On May 8, I wrote my first analysis of Westinghouse Air Brake Technologies (NYSE: WAB ), the company more commonly known as Wabtec. The company had recently announced positive Q1 2025 results that included anI have been involved in the financial world for over 20 years with experience as an advisor, teacher, and writer. I am a full believer in the free-market system and that financial markets are efficient with most stocks reflecting their real current value. The best opportunities for profits on individual ...

Core Insights - Westinghouse Air Brake Technologies Corporation (WAB) reported Q2 2025 earnings per share (EPS) of $2.27, exceeding the Zacks Consensus Estimate of $2.18, marking a 15.8% year-over-year increase driven by higher sales, operating margin expansion, and share repurchases [1][9] - Revenues for the quarter were $2.71 billion, falling short of the Zacks Consensus Estimate of $2.77 billion, but reflecting a 2.3% year-over-year growth due to increased sales in the Transit segment, offset by lower Equipment sales [2][9] Financial Performance - WAB raised its 2025 adjusted EPS guidance to a range of $8.55 to $9.15 from the previous range of $8.35 to $8.95, supported by strong first-half performance, mergers and acquisitions, and prudent cost management [3] - The company also increased its 2025 revenue guidance to $10.925 billion to $11.225 billion from $10.725 billion to $11.025 billion, primarily due to the acquisition of Evident Inspection Technologies Division [4] Segment Performance - The Freight segment reported net sales of $1.91 billion, a slight decline of 0.1% year-over-year, impacted by lower locomotive deliveries due to a supplied part issue, although service sales increased by 6% [5][6] - The Transit segment saw net sales grow by 8.7% year-over-year to $787 million, with an adjusted operating margin increase to 15.2% from 12.7% in the same quarter of 2024 [6] Operational Details - Total operating expenses rose by $22 million year-over-year to $466 million, with the operating ratio increasing to 17.2% from 16.8% [7] - WAB ended the quarter with cash and cash equivalents of $1.49 billion, a significant increase from $698 million at the end of the previous quarter, while long-term debt rose to $4.78 billion from $3.50 billion [7] Shareholder Returns - During the quarter, WAB paid $44 million in dividends and repurchased shares worth $50 million [8]

Core Insights - Westinghouse Air Brake Technologies (WAB) reported revenue of $2.71 billion for the quarter ended June 2025, reflecting a year-over-year increase of 2.3% [1] - The earnings per share (EPS) for the quarter was $2.27, up from $1.96 in the same quarter last year, indicating a positive trend in profitability [1] - The reported revenue was below the Zacks Consensus Estimate of $2.77 billion by 2.38%, while the EPS exceeded the consensus estimate of $2.18 by 4.13% [1] Financial Performance Metrics - WAB's backlog totaled $21.83 billion, slightly below the two-analyst average estimate of $22.34 billion [4] - The backlog for the Transit Group was $4.69 billion, surpassing the average estimate of $4.42 billion [4] - The backlog for the Freight Group was $17.14 billion, which was lower than the average estimate of $17.92 billion [4] Segment Performance - Sales to external customers in the Transit Segment reached $787 million, exceeding the four-analyst average estimate of $762.91 million, representing a year-over-year increase of 8.7% [4] - Sales to external customers in the Freight Segment were $1.92 billion, falling short of the estimated $2.01 billion, reflecting a slight decline of 0.1% compared to the previous year [4] - Adjusted income from operations in the Freight Segment was $480 million, compared to the average estimate of $487.43 million, while the Transit Segment reported an adjusted income of $120 million, exceeding the estimate of $104.42 million [4] Stock Performance - WAB's shares have returned +5.2% over the past month, slightly underperforming the Zacks S&P 500 composite's +5.7% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3]