Wabtec (NYSE:WAB) Receives Consensus Rating of “Moderate Buy” from Analysts

Shares of Wabtec (NYSE:WAB) have been given a consensus rating of “Moderate Buy” by the thirteen analysts that are covering the firm, Marketbeat reports. Three investment analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average 1 year price objective among analysts that have issued a report on the stock in the last year is $272.0833.

A number of research analysts have commented on the company. Stephens upped their price target on Wabtec from $230.00 to $290.00 and gave the stock an “overweight” rating in a research note on Thursday, February 12th. Morgan Stanley reaffirmed an “overweight” rating and issued a $315.00 price objective on shares of Wabtec in a research note on Tuesday, February 17th. Rothschild & Co Redburn upgraded Wabtec from a “neutral” rating to a “buy” rating and boosted their price objective for the company from $262.00 to $285.00 in a report on Thursday, March 26th. Wolfe Research raised Wabtec from a “peer perform” rating to an “outperform” rating and set a $245.00 target price on the stock in a research note on Thursday, January 8th. Finally, KeyCorp raised their target price on Wabtec from $240.00 to $308.00 and gave the company an “overweight” rating in a report on Thursday, February 12th.

Wabtec Price Performance

Wabtec stock opened at $253.98 on Friday. The company’s 50 day simple moving average is $247.25 and its 200-day simple moving average is $221.16. The company has a market capitalization of $43.22 billion, a price-to-earnings ratio of 37.19, a price-to-earnings-growth ratio of 1.93 and a beta of 0.99. Wabtec has a 1 year low of $151.81 and a 1 year high of $266.27. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.57 and a current ratio of 1.11.

Wabtec (NYSE:WAB) last posted its quarterly earnings data on Wednesday, February 11th. The transportation company reported $2.10 earnings per share for the quarter, topping analysts’ consensus estimates of $2.08 by $0.02. Wabtec had a net margin of 10.48% and a return on equity of 14.12%. The firm had revenue of $2.97 billion during the quarter, compared to analysts’ expectations of $2.86 billion. During the same quarter last year, the company posted $1.68 EPS. The firm’s quarterly revenue was up 14.8% on a year-over-year basis. Wabtec has set its FY 2026 guidance at 10.050-10.450 EPS. As a group, equities research analysts expect that Wabtec will post 8.54 earnings per share for the current year.

Wabtec Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 2nd. Stockholders of record on Tuesday, February 17th were paid a $0.31 dividend. The ex-dividend date of this dividend was Tuesday, February 17th. This is a positive change from Wabtec’s previous quarterly dividend of $0.25. This represents a $1.24 annualized dividend and a dividend yield of 0.5%. Wabtec’s payout ratio is 18.16%.

Wabtec declared that its board has approved a stock buyback plan on Wednesday, February 11th that allows the company to repurchase $1.20 billion in shares. This repurchase authorization allows the transportation company to buy up to 2.9% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its stock is undervalued.

Insider Activity

In related news, EVP Gina Trombley sold 4,013 shares of the company’s stock in a transaction that occurred on Thursday, March 12th. The shares were sold at an average price of $241.87, for a total transaction of $970,624.31. Following the sale, the executive vice president directly owned 13,841 shares of the company’s stock, valued at $3,347,722.67. This represents a 22.48% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO John A. Olin sold 11,000 shares of the stock in a transaction that occurred on Tuesday, February 24th. The stock was sold at an average price of $263.30, for a total transaction of $2,896,300.00. Following the sale, the chief financial officer owned 60,487 shares in the company, valued at approximately $15,926,227.10. This trade represents a 15.39% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 31,512 shares of company stock worth $8,160,028 over the last 90 days. Company insiders own 1.10% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Piscataqua Savings Bank increased its holdings in Wabtec by 12,800.0% during the 3rd quarter. Piscataqua Savings Bank now owns 129 shares of the transportation company’s stock worth $26,000 after purchasing an additional 128 shares during the period. Clal Insurance Enterprises Holdings Ltd raised its position in Wabtec by 125.9% in the 4th quarter. Clal Insurance Enterprises Holdings Ltd now owns 131 shares of the transportation company’s stock valued at $28,000 after purchasing an additional 73 shares in the last quarter. Manchester Capital Management LLC boosted its stake in shares of Wabtec by 122.0% in the 4th quarter. Manchester Capital Management LLC now owns 131 shares of the transportation company’s stock valued at $28,000 after buying an additional 72 shares during the period. Motco grew its position in shares of Wabtec by 6,600.0% during the third quarter. Motco now owns 134 shares of the transportation company’s stock worth $27,000 after buying an additional 132 shares in the last quarter. Finally, McMillan Office Inc. acquired a new position in shares of Wabtec during the fourth quarter worth about $31,000. 91.69% of the stock is currently owned by hedge funds and other institutional investors.

About Wabtec

Wabtec Corporation (Westinghouse Air Brake Technologies Corporation) is a global provider of equipment, systems and services for the rail industry. The company supplies products and solutions to freight railroads, transit agencies and other industrial operators, focusing on technologies that improve the performance, safety and efficiency of locomotives and rail networks. Wabtec’s business spans new equipment manufacturing, aftermarket parts and services, and digital and control systems for rail operations.

Product and service offerings include locomotive systems and components, braking and air systems, propulsion and traction equipment, signaling and control technologies, and a range of aftermarket services such as maintenance, remanufacturing, parts distribution and fleet modernization.