WAB Stock Analysis: Westinghouse Air Brake | NYSE
Railroads | NYSE, USA | Market Cap: 46.699m USD | 12M Return: 38.9% | US9297401088 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 260M
EPS Trend: 99.2%
Qual. Beats: 3
Rev. Trend: 97.2%
Qual. Beats: -1
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Westinghouse Air Brake Technologies Corporation (NYSE: WAB) is a global provider of locomotives, equipment, systems, and services for the freight rail and passenger transit industries. The company operates through two main segments: Freight and Transit, offering a broad portfolio that includes diesel-electric and natural gas-powered locomotives, propulsion systems, braking products, railway electronics, and train control technologies. Its product range extends to freight car components, HVAC systems, turbochargers, signaling equipment, and industrial IoT solutions for asset performance and network optimization.
In addition to manufacturing, WAB provides aftermarket services such as locomotive overhauls, refurbishments, maintenance, and long-term parts arrangements. The company also supplies transit-specific offerings, including brake components, passenger information systems, platform screen doors, power converters, and electric charging solutions for buses. Founded in 1869 and headquartered in Pittsburgh, Pennsylvania, WAB has grown into a large-cap industrial company within the heavy transportation equipment sub-industry, serving both rail operators and transit agencies worldwide.
- Freight segment revenue tracks North American rail volumes and Class I capex
- Locomotive orders rebound as rail traffic recovers from cyclical lows
- Transit segment benefits from US infrastructure spending on passenger rail
| Net Income: 1.37b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 2.73 > 1.0 |
| NWC/Revenue: 4.51% < 20% (prev 15.99%; Δ -11.47% < -1%) |
| CFO/TA 0.09 > 3% & CFO 2.09b > Net Income 1.37b |
| Net Debt (4.18b) to EBITDA (2.57b): 1.62 < 3 |
| Current Ratio: 1.10 > 1.5 & < 3 |
| Outstanding Shares: last quarter (168.8m) vs 12m ago -1.40% < -2% |
| Gross Margin: 35.00% > 18% (prev 33.72%; Δ 1.28% > 0.5%) |
| Asset Turnover: 54.69% > 50% (prev 50.10%; Δ 4.59% > 0%) |
| Interest Coverage Ratio: 7.19 > 6 (EBIT TTM 2.12b / Interest Expense TTM 294.0m) |
| A: 0.02 (Total Current Assets 6.05b - Total Current Liabilities 5.50b) / Total Assets 23.1b |
| B: 0.21 (Retained Earnings 4.89b / Total Assets 23.1b) |
| C: 0.09 (EBIT TTM 2.12b / Avg Total Assets 22.3b) |
| D: 0.96 (Book Value of Equity 11.4b / Total Liabilities 11.8b) |
| Altman-Z'' = 2.49 = A |
| DSRI: 0.91 (Receivables 2.26b/2.20b, Revenue 12.2b/10.8b) |
| GMI: 0.96 (GM 33.72% / 35.00%) |
| AQI: 1.01 (AQ_t 0.67 / AQ_t-1 0.66) |
| SGI: 1.13 (Revenue 12.2b / 10.8b) |
| TATA: -0.03 (NI 1.37b - CFO 2.09b) / TA 23.1b) |
| Beneish M = -3.04 (Cap -4..+1) = AA |
As of October 25, 2026, the stock is trading at USD 272.35 with a total of 1,546,271 shares traded. Over the past week, the price has changed by -5.04%, over one month by -6.80%, over three months by -8.51% and over the past year by +38.93%.
Current recommended Stop Loss: 262.80 (which is 3.5% or 1.2 ATR below the current price).
Westinghouse Air Brake has received a consensus analysts rating of 4.58. Therefore, it is recommended to buy WAB.
- StrongBuy: 9
- Buy: 1
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 332.1 | 21.9% |
P/E Trailing = 34.3441
P/E Forward = 23.753
P/S = 3.8234
P/B = 4.4016
P/EG = 1.368
Revenue TTM = 12.2b USD
EBIT TTM = 2.12b USD
EBITDA TTM = 2.57b USD
Long Term Debt = 4.29b USD (from longTermDebt, last fiscal year)
Short Term Debt = 1.71b USD (from shortTermDebt, last quarter)
Debt = 4.67b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 4.18b USD (calculated: Debt 4.67b - CCE 489.0m)
Enterprise Value = 50.9b USD (46.7b + Debt 4.67b - CCE 489.0m)
Interest Coverage Ratio = 7.19 (Ebit TTM 2.12b / Interest Expense TTM 294.0m)
EV/FCF = 25.89x (Enterprise Value 50.9b / FCF TTM 1.97b)
FCF Yield = 3.86% (FCF TTM 1.97b / Enterprise Value 50.9b)
FCF Margin = 16.09% (FCF TTM 1.97b / Revenue TTM 12.2b)
Net Margin = 11.20% (Net Income TTM 1.37b / Revenue TTM 12.2b)
Gross Margin = 35.00% ((Revenue TTM 12.2b - Cost of Revenue TTM 7.94b) / Revenue TTM)
Gross Margin QoQ = 37.31% (prev 36.52%)
Tobins Q-Ratio = 2.20 (Enterprise Value 50.9b / Total Assets 23.1b)
Interest Expense / Debt = 6.30% (Interest Expense 294.0m / Debt 4.67b)
Taxrate = 25.12% (461.0m / 1.83b)
NOPAT = 1.58b (EBIT 2.12b * (1 - 25.12%))
Current Ratio = 1.10 (Total Current Assets 6.05b / Total Current Liabilities 5.50b)
Debt / Equity = 0.41 (Debt 4.67b / totalStockholderEquity, last quarter 11.4b)
Debt / EBITDA = 1.62 (Net Debt 4.18b / EBITDA 2.57b)
Debt / FCF = 2.13 (Net Debt 4.18b / FCF TTM 1.97b)
Total Stockholder Equity = 11.2b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.13% (Net Income 1.37b / Total Assets 23.1b)
RoE = 12.17% (Net Income TTM 1.37b / Total Stockholder Equity 11.2b)
RoCE = 13.62% (EBIT 2.12b / Capital Employed (Equity 11.2b + L.T.Debt 4.29b))
RoIC = 8.39% (NOPAT 1.58b / Invested Capital 18.9b)
WACC = 8.52% (E(46.7b)/V(51.4b) * Re(8.90%) + D(4.67b)/V(51.4b) * Rd(6.30%) * (1-Tc(0.25)))
Discount Rate = 8.90% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -90.16 | Cagr: -1.84%
[DCF] Terminal Value 77.42% ; FCFF base≈1.68b ; Y1≈1.92b ; Y5≈2.83b
[DCF] Fair Price = 219.7 (EV 41.3b - Net Debt 4.18b = Equity 37.1b / Shares 168.9m; r=8.52% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 99.20 | EPS CAGR: 20.38% | SUE: 1.14 | # QB: 3
Revenue Correlation: 97.18 | Revenue CAGR: 8.06% | SUE: -1.16 | # QB: -1
EPS current Quarter (2027-03-31): EPS=2.95 | Chg30d=+0.71% | Revisions=+40% | Analysts=9
EPS current Year (2026-12-31): EPS=10.98 | Chg30d=+1.05% | Revisions=+40% | GrowthEPS=+22.4% | GrowthRev=+11.9%
EPS next Year (2027-12-31): EPS=12.58 | Chg30d=+1.00% | Revisions=+50% | GrowthEPS=+14.6% | GrowthRev=+6.9%
[Analyst] Revisions Ratio: +70% (up=7, down=0)