(WAB) Westinghouse Air Brake - Ratings and Ratios
Locomotives, Braking Systems, Rail Electronics, HVAC, Services
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 0.46% |
| Yield on Cost 5y | 1.42% |
| Yield CAGR 5y | 20.14% |
| Payout Consistency | 97.3% |
| Payout Ratio | 11.7% |
| Risk via 5d forecast | |
|---|---|
| Volatility | 20.9% |
| Value at Risk 5%th | 31.6% |
| Relative Tail Risk | -7.79% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.48 |
| Alpha | -4.84 |
| CAGR/Max DD | 1.26 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.448 |
| Beta | 1.088 |
| Beta Downside | 1.019 |
| Drawdowns 3y | |
|---|---|
| Max DD | 23.55% |
| Mean DD | 4.97% |
| Median DD | 3.50% |
Description: WAB Westinghouse Air Brake December 11, 2025
Westinghouse Air Brake Technologies (WAB) designs, manufactures, and services a broad portfolio of rail-focused products-including diesel-electric and LNG locomotives, propulsion systems, positive-train-control (PTC) equipment, electronically-controlled pneumatic brakes, and a suite of IoT-enabled analytics for asset performance. The company also supplies marine and mining power solutions, freight-car trucks, HVAC systems, and a range of passenger-transit components such as pantographs, doors, and charging infrastructure, complemented by overhaul, refurbishment, and long-term parts services.
Key data points that shape WAB’s outlook: FY 2023 revenue was roughly **$6.5 billion** with an adjusted EBITDA margin near **10%**, reflecting stable demand from North-American freight railroads. The firm’s **order backlog sits above $2 billion**, driven by a resurgence in freight-car upgrades and the U.S. government’s $70 billion rail-infrastructure plan, which accelerates spending on PTC and braking upgrades. A sector trend worth noting is the **shift toward lower-emission power**, as rail operators increasingly evaluate LNG-powered locomotives and hybrid-electric solutions-areas where WAB holds several patents and has seen a **15% YoY increase in related contract wins**.
For a deeper quantitative view, you may find ValueRay’s data platform useful.
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (1.18b TTM) > 0 and > 6% of Revenue (6% = 647.1m TTM) |
| FCFTA 0.07 (>2.0%) and ΔFCFTA -2.03pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 15.99% (prev 10.58%; Δ 5.40pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.07 (>3.0%) and CFO 1.49b > Net Income 1.18b (YES >=105%, WARN >=100%) |
| Net Debt (4.76b) to EBITDA (2.28b) ratio: 2.09 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.42 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (171.2m) change vs 12m ago -1.67% (target <= -2.0% for YES) |
| Gross Margin 33.72% (prev 32.27%; Δ 1.46pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 53.70% (prev 55.41%; Δ -1.71pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 8.55 (EBITDA TTM 2.28b / Interest Expense TTM 210.0m) >= 6 (WARN >= 3) |
Altman Z'' 2.00
| (A) 0.08 = (Total Current Assets 5.79b - Total Current Liabilities 4.06b) / Total Assets 21.53b |
| (B) 0.17 = Retained Earnings (Balance) 3.72b / Total Assets 21.53b |
| (C) 0.09 = EBIT TTM 1.79b / Avg Total Assets 20.09b |
| (D) 0.30 = Book Value of Equity 3.12b / Total Liabilities 10.43b |
| Total Rating: 2.00 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 66.56
| 1. Piotroski 6.0pt |
| 2. FCF Yield 3.36% |
| 3. FCF Margin 13.04% |
| 4. Debt/Equity 0.48 |
| 5. Debt/Ebitda 2.09 |
| 6. ROIC - WACC (= -0.12)% |
| 7. RoE 11.14% |
| 8. Rev. Trend 93.94% |
| 9. EPS Trend 11.65% |
What is the price of WAB shares?
Over the past week, the price has changed by -1.38%, over one month by +3.79%, over three months by +9.43% and over the past year by +15.03%.
Is WAB a buy, sell or hold?
- Strong Buy: 6
- Buy: 1
- Hold: 5
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the WAB price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 234.1 | 8.2% |
| Analysts Target Price | 234.1 | 8.2% |
| ValueRay Target Price | 269.9 | 24.8% |
WAB Fundamental Data Overview December 31, 2025
P/E Trailing = 31.564
P/E Forward = 23.753
P/S = 3.4423
P/B = 3.3603
P/EG = 3.92
Beta = 0.994
Revenue TTM = 10.79b USD
EBIT TTM = 1.79b USD
EBITDA TTM = 2.28b USD
Long Term Debt = 5.29b USD (from longTermDebt, last quarter)
Short Term Debt = 251.0m USD (from shortTermDebt, last quarter)
Debt = 5.29b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 4.76b USD (from netDebt column, last quarter)
Enterprise Value = 41.88b USD (37.13b + Debt 5.29b - CCE 528.0m)
Interest Coverage Ratio = 8.55 (Ebit TTM 1.79b / Interest Expense TTM 210.0m)
FCF Yield = 3.36% (FCF TTM 1.41b / Enterprise Value 41.88b)
FCF Margin = 13.04% (FCF TTM 1.41b / Revenue TTM 10.79b)
Net Margin = 10.94% (Net Income TTM 1.18b / Revenue TTM 10.79b)
Gross Margin = 33.72% ((Revenue TTM 10.79b - Cost of Revenue TTM 7.15b) / Revenue TTM)
Gross Margin QoQ = 34.72% (prev 34.66%)
Tobins Q-Ratio = 1.95 (Enterprise Value 41.88b / Total Assets 21.53b)
Interest Expense / Debt = 1.23% (Interest Expense 65.0m / Debt 5.29b)
Taxrate = 26.35% (112.0m / 425.0m)
NOPAT = 1.32b (EBIT 1.79b * (1 - 26.35%))
Current Ratio = 1.42 (Total Current Assets 5.79b / Total Current Liabilities 4.06b)
Debt / Equity = 0.48 (Debt 5.29b / totalStockholderEquity, last quarter 11.10b)
Debt / EBITDA = 2.09 (Net Debt 4.76b / EBITDA 2.28b)
Debt / FCF = 3.38 (Net Debt 4.76b / FCF TTM 1.41b)
Total Stockholder Equity = 10.59b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.48% (Net Income 1.18b / Total Assets 21.53b)
RoE = 11.14% (Net Income TTM 1.18b / Total Stockholder Equity 10.59b)
RoCE = 11.31% (EBIT 1.79b / Capital Employed (Equity 10.59b + L.T.Debt 5.29b))
RoIC = 8.76% (NOPAT 1.32b / Invested Capital 15.09b)
WACC = 8.88% (E(37.13b)/V(42.41b) * Re(10.02%) + D(5.29b)/V(42.41b) * Rd(1.23%) * (1-Tc(0.26)))
Discount Rate = 10.02% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -2.15%
[DCF Debug] Terminal Value 71.82% ; FCFE base≈1.48b ; Y1≈1.52b ; Y5≈1.69b
Fair Price DCF = 125.3 (DCF Value 21.42b / Shares Outstanding 171.0m; 5y FCF grow 2.31% → 3.0% )
EPS Correlation: 11.65 | EPS CAGR: -42.60% | SUE: -4.0 | # QB: 0
Revenue Correlation: 93.94 | Revenue CAGR: 9.23% | SUE: 0.05 | # QB: 0
EPS next Quarter (2026-03-31): EPS=2.50 | Chg30d=+0.005 | Revisions Net=-1 | Analysts=8
EPS next Year (2026-12-31): EPS=10.18 | Chg30d=+0.019 | Revisions Net=+6 | Growth EPS=+13.5% | Growth Revenue=+8.2%
Additional Sources for WAB Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle