(WAB) Westinghouse Air Brake - Ratings and Ratios
Locomotives, Braking Systems, Electronics, Propulsion Systems, Turbochargers
WAB EPS (Earnings per Share)
WAB Revenue
Description: WAB Westinghouse Air Brake
Westinghouse Air Brake Technologies Corporation (WAB) is a leading provider of technology-based solutions for the freight rail and passenger transit industries worldwide, offering a diverse range of products and services, including locomotives, propulsion systems, braking equipment, and maintenance services.
From a business perspective, WABs product portfolio is diversified across various segments, including freight and passenger rail, marine, and mining, which helps to reduce dependence on a single market. The companys focus on innovation and technology is evident in its offerings, such as positive train control equipment, electronically controlled pneumatic braking products, and industrial/mobile Internet of Things hardware and software.
Some key performance indicators (KPIs) that can be used to evaluate WABs performance include revenue growth, operating margins, and return on equity (RoE). With a RoE of 10.73%, WAB is generating decent returns for its shareholders. Additionally, the companys dividend yield and payout ratio can be examined to assess its ability to return capital to shareholders. WABs debt-to-equity ratio is another important metric to consider, as it can impact the companys financial flexibility and ability to invest in growth opportunities.
From a valuation perspective, WABs price-to-earnings (P/E) ratio of 33.55 and forward P/E of 23.75 suggest that the stock may be slightly overvalued relative to its earnings growth prospects. However, the companys market capitalization of $36.7 billion and enterprise value can be used to estimate its relative size and valuation multiples compared to industry peers.
Overall, WABs diversified product portfolio, focus on innovation, and strong financial performance make it an attractive player in the rail and transportation equipment industry. Further analysis of the companys financial statements, management team, and industry trends can help to identify potential opportunities and risks.
WAB Stock Overview
| Market Cap in USD | 32,695m |
| Sub-Industry | Construction Machinery & Heavy Transportation Equipment |
| IPO / Inception | 1995-06-20 |
WAB Stock Ratings
| Growth Rating | 70.2% |
| Fundamental | 72.7% |
| Dividend Rating | 60.6% |
| Return 12m vs S&P 500 | -9.62% |
| Analyst Rating | 4.08 of 5 |
WAB Dividends
| Dividend Yield 12m | 0.50% |
| Yield on Cost 5y | 1.44% |
| Annual Growth 5y | 10.76% |
| Payout Consistency | 97.3% |
| Payout Ratio | 11.5% |
WAB Growth Ratios
| Growth Correlation 3m | -71.1% |
| Growth Correlation 12m | 27.6% |
| Growth Correlation 5y | 96.8% |
| CAGR 5y | 29.96% |
| CAGR/Max DD 3y | 1.27 |
| CAGR/Mean DD 3y | 10.56 |
| Sharpe Ratio 12m | 0.26 |
| Alpha | 0.00 |
| Beta | 0.894 |
| Volatility | 21.02% |
| Current Volume | 1209.6k |
| Average Volume 20d | 876.5k |
| Stop Loss | 180 (-3%) |
| Signal | -0.16 |
Piotroski VR‑10 (Strict, 0-10) 7.0
| Net Income (1.15b TTM) > 0 and > 6% of Revenue (6% = 633.7m TTM) |
| FCFTA 0.07 (>2.0%) and ΔFCFTA -0.76pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 26.02% (prev 13.51%; Δ 12.51pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.08 (>3.0%) and CFO 1.67b > Net Income 1.15b (YES >=105%, WARN >=100%) |
| Net Debt (3.30b) to EBITDA (2.19b) ratio: 1.51 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.76 (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 -2.73% (target <= -2.0% for YES) |
| Gross Margin 33.28% (prev 29.01%; Δ 4.27pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 53.80% (prev 54.13%; Δ -0.33pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 8.81 (EBITDA TTM 2.19b / Interest Expense TTM 197.0m) >= 6 (WARN >= 3) |
Altman Z'' 2.35
| (A) 0.13 = (Total Current Assets 6.35b - Total Current Liabilities 3.61b) / Total Assets 20.39b |
| (B) 0.17 = Retained Earnings (Balance) 3.45b / Total Assets 20.39b |
| (C) 0.09 = EBIT TTM 1.74b / Avg Total Assets 19.63b |
| (D) 0.30 = Book Value of Equity 2.89b / Total Liabilities 9.55b |
| Total Rating: 2.35 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 72.67
| 1. Piotroski 7.0pt = 2.0 |
| 2. FCF Yield 4.04% = 2.02 |
| 3. FCF Margin 13.75% = 3.44 |
| 4. Debt/Equity 0.44 = 2.40 |
| 5. Debt/Ebitda 2.18 = -0.36 |
| 6. ROIC - WACC (= 0.79)% = 0.99 |
| 7. RoE 11.11% = 0.93 |
| 8. Rev. Trend 88.31% = 6.62 |
| 9. EPS Trend 92.68% = 4.63 |
What is the price of WAB shares?
Over the past week, the price has changed by -2.08%, over one month by -2.19%, over three months by -7.49% and over the past year by +7.13%.
Is Westinghouse Air Brake a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of WAB is around 199.97 USD . This means that WAB is currently overvalued and has a potential downside of 7.71%.
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 | 228.6 | 23.2% |
| Analysts Target Price | 228.6 | 23.2% |
| ValueRay Target Price | 222.4 | 19.8% |
Last update: 2025-09-05 05:07
WAB Fundamental Data Overview
CCE Cash And Equivalents = 1.50b USD (last quarter)
P/E Trailing = 28.5022
P/E Forward = 23.753
P/S = 3.0955
P/B = 3.027
P/EG = 3.92
Beta = 1.108
Revenue TTM = 10.56b USD
EBIT TTM = 1.74b USD
EBITDA TTM = 2.19b USD
Long Term Debt = 4.78b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (0.0)
Debt = 4.78b USD (Calculated: Short Term 0.0 + Long Term 4.78b)
Net Debt = 3.30b USD (from netDebt column, last quarter)
Enterprise Value = 35.98b USD (32.69b + Debt 4.78b - CCE 1.50b)
Interest Coverage Ratio = 8.81 (Ebit TTM 1.74b / Interest Expense TTM 197.0m)
FCF Yield = 4.04% (FCF TTM 1.45b / Enterprise Value 35.98b)
FCF Margin = 13.75% (FCF TTM 1.45b / Revenue TTM 10.56b)
Net Margin = 10.92% (Net Income TTM 1.15b / Revenue TTM 10.56b)
Gross Margin = 33.28% ((Revenue TTM 10.56b - Cost of Revenue TTM 7.05b) / Revenue TTM)
Tobins Q-Ratio = 12.44 (Enterprise Value 35.98b / Book Value Of Equity 2.89b)
Interest Expense / Debt = 0.96% (Interest Expense 46.0m / Debt 4.78b)
Taxrate = 24.33% (343.0m / 1.41b)
NOPAT = 1.31b (EBIT 1.74b * (1 - 24.33%))
Current Ratio = 1.76 (Total Current Assets 6.35b / Total Current Liabilities 3.61b)
Debt / Equity = 0.44 (Debt 4.78b / last Quarter total Stockholder Equity 10.80b)
Debt / EBITDA = 2.18 (Net Debt 3.30b / EBITDA 2.19b)
Debt / FCF = 3.29 (Debt 4.78b / FCF TTM 1.45b)
Total Stockholder Equity = 10.38b (last 4 quarters mean)
RoA = 5.65% (Net Income 1.15b, Total Assets 20.39b )
RoE = 11.11% (Net Income TTM 1.15b / Total Stockholder Equity 10.38b)
RoCE = 11.44% (Ebit 1.74b / (Equity 10.38b + L.T.Debt 4.78b))
RoIC = 9.01% (NOPAT 1.31b / Invested Capital 14.57b)
WACC = 8.21% (E(32.69b)/V(37.48b) * Re(9.31%)) + (D(4.78b)/V(37.48b) * Rd(0.96%) * (1-Tc(0.24)))
Shares Correlation 3-Years: -96.97 | Cagr: -0.55%
Discount Rate = 9.31% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 74.19% ; FCFE base≈1.47b ; Y1≈1.50b ; Y5≈1.67b
Fair Price DCF = 137.8 (DCF Value 23.56b / Shares Outstanding 171.0m; 5y FCF grow 2.31% → 3.0% )
EPS Correlation: 92.68 | EPS CAGR: 25.33% | SUE: 0.64 | # QB: 0
Revenue Correlation: 88.31 | Revenue CAGR: 10.02% | SUE: N/A | # QB: None
Additional Sources for WAB Stock
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