Wabtec (NYSE:WAB) Upgraded by Wall Street Zen to Buy Rating

Wall Street Zen upgraded shares of Wabtec (NYSE:WAB) from a hold rating to a buy rating in a report issued on Monday.

A number of other analysts have also recently commented on WAB. Morgan Stanley restated an “overweight” rating and set a $315.00 target price on shares of Wabtec in a report on Tuesday, February 17th. Bank of America boosted their price objective on shares of Wabtec from $228.00 to $233.00 and gave the stock a “buy” rating in a research note on Thursday, November 13th. Susquehanna set a $300.00 target price on shares of Wabtec in a research note on Thursday, February 12th. KeyCorp boosted their price target on Wabtec from $240.00 to $308.00 and gave the stock an “overweight” rating in a research report on Thursday, February 12th. Finally, 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. Eight research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $269.00.

Wabtec Stock Performance

Shares of WAB opened at $263.77 on Monday. The company has a 50-day simple moving average of $236.79 and a two-hundred day simple moving average of $212.98. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.11 and a quick ratio of 0.57. The firm has a market capitalization of $44.98 billion, a PE ratio of 38.62, a price-to-earnings-growth ratio of 1.99 and a beta of 1.01. Wabtec has a one year low of $151.81 and a one year high of $266.27.

Wabtec (NYSE:WAB) last announced its earnings results on Wednesday, February 11th. The transportation company reported $2.10 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.08 by $0.02. Wabtec had a return on equity of 14.12% and a net margin of 10.48%.The firm had revenue of $2.97 billion during the quarter, compared to analyst estimates of $2.86 billion. During the same quarter in the prior year, the company earned $1.68 EPS. The business’s revenue was up 14.8% compared to the same quarter last year. Wabtec has set its FY 2026 guidance at 10.050-10.450 EPS. On average, analysts anticipate that Wabtec will post 8.54 EPS for the current fiscal year.

Wabtec announced that its board has approved a share buyback program 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 programs are generally an indication that the company’s management believes its shares are undervalued.

Wabtec Increases Dividend

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

Insider Activity

In other Wabtec news, insider Nalin Jain sold 7,936 shares of the business’s stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $264.09, for a total value of $2,095,818.24. Following the completion of the transaction, the insider owned 6,364 shares of the company’s stock, valued at approximately $1,680,668.76. The trade was a 55.50% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Rogerio Mendonca sold 3,500 shares of Wabtec stock in a transaction that occurred on Friday, February 20th. The stock was sold at an average price of $264.21, for a total transaction of $924,735.00. Following the completion of the sale, the insider owned 10,101 shares of the company’s stock, valued at $2,668,785.21. This represents a 25.73% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 40,211 shares of company stock valued at $9,885,467. Corporate insiders own 1.10% of the company’s stock.

Institutional Investors Weigh In On Wabtec

A number of large investors have recently made changes to their positions in WAB. Empowered Funds LLC raised its holdings in shares of Wabtec by 240.8% during the second quarter. Empowered Funds LLC now owns 15,924 shares of the transportation company’s stock worth $3,334,000 after purchasing an additional 11,252 shares during the last quarter. Varenne Capital Partners grew its position in Wabtec by 39.5% during the 2nd quarter. Varenne Capital Partners now owns 277,078 shares of the transportation company’s stock worth $58,006,000 after purchasing an additional 78,394 shares during the period. Varma Mutual Pension Insurance Co raised its stake in shares of Wabtec by 9.1% during the 3rd quarter. Varma Mutual Pension Insurance Co now owns 47,924 shares of the transportation company’s stock valued at $9,607,000 after buying an additional 4,000 shares during the last quarter. Quantbot Technologies LP acquired a new position in shares of Wabtec in the 2nd quarter valued at about $9,371,000. Finally, Mediolanum International Funds Ltd purchased a new stake in shares of Wabtec in the second quarter worth about $8,201,000. 91.69% of the stock is currently owned by institutional investors.

Wabtec Company Profile

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.