Trinity Industries (NYSE:TRN) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

Trinity Industries (NYSE:TRN) posted its earnings results on Thursday. The transportation company reported $2.31 earnings per share for the quarter, topping analysts’ consensus estimates of $2.30 by $0.01, Briefing.com reports. Trinity Industries had a net margin of 4.39% and a return on equity of 8.18%. The company’s revenue for the quarter was down 2.9% on a year-over-year basis. During the same quarter last year, the company earned $0.39 earnings per share. Trinity Industries updated its FY 2026 guidance to 1.850-2.100 EPS.

Here are the key takeaways from Trinity Industries’ conference call:

• Trinity delivered strong 2025 results with EPS of $3.14 (up 73% YoY) and an adjusted ROE of 24.4%, which management says reflects resilient leasing cash flows, disciplined secondary-market activity, and manufacturing cost actions.
• A strategic railcar partnership restructuring with Napier Park generated a $194 million non‑cash gain in Q4, simplified ownership (adding ~6,235 fully owned cars), reduced minority interest, and management says it increases transparency and economic flexibility.
• Leasing fundamentals remain strong—fleet utilization was 97.1%, renewal success ~73% in Q4, and renewals were ~27% higher than expiring rates—supporting management’s view of durable, growing lease cash flows.
• 2026 guidance is notably lower than 2025, with EPS forecast at $1.85–$2.10 and industry deliveries expected to be ~25,000 cars (below replacement), signaling a challenging near‑term manufacturing backdrop despite planned gains and cost actions.
• Management highlights embedded asset upside—~101,000 railcars on the balance sheet at $6.3 billion cost with an estimated market value ~35%–45% above carrying value—providing optionality to hold for lease yield or sell for gains.

Trinity Industries Stock Up 9.3%

NYSE:TRN traded up $2.95 on Thursday, reaching $34.63. 1,028,154 shares of the stock traded hands, compared to its average volume of 950,703. The company has a current ratio of 1.88, a quick ratio of 0.80 and a debt-to-equity ratio of 4.75. The company has a market capitalization of $2.78 billion, a price-to-earnings ratio of 30.46 and a beta of 1.48. Trinity Industries has a 12 month low of $22.38 and a 12 month high of $36.04. The company’s fifty day simple moving average is $28.22 and its 200 day simple moving average is $27.61.

Trinity Industries Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, January 30th. Investors of record on Thursday, January 15th were given a dividend of $0.31 per share. This is a positive change from Trinity Industries’s previous quarterly dividend of $0.30. The ex-dividend date of this dividend was Thursday, January 15th. This represents a $1.24 annualized dividend and a yield of 3.6%. Trinity Industries’s payout ratio is currently 108.77%.

Analyst Upgrades and Downgrades

TRN has been the topic of several recent analyst reports. The Goldman Sachs Group set a $31.00 price target on shares of Trinity Industries and gave the company a “neutral” rating in a report on Friday, October 31st. Susquehanna set a $28.00 target price on shares of Trinity Industries and gave the stock a “neutral” rating in a research report on Monday, January 26th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of Trinity Industries in a research report on Monday, December 29th. Three equities research analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $29.50.

Hedge Funds Weigh In On Trinity Industries

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Campbell & CO Investment Adviser LLC purchased a new stake in Trinity Industries during the fourth quarter valued at approximately $645,000. Earnest Partners LLC increased its stake in shares of Trinity Industries by 33.0% in the 4th quarter. Earnest Partners LLC now owns 398,497 shares of the transportation company’s stock worth $10,536,000 after purchasing an additional 98,968 shares in the last quarter. Swiss National Bank increased its stake in shares of Trinity Industries by 0.8% in the 4th quarter. Swiss National Bank now owns 159,500 shares of the transportation company’s stock worth $4,217,000 after purchasing an additional 1,300 shares in the last quarter. Nuveen LLC raised its holdings in Trinity Industries by 15.4% in the 4th quarter. Nuveen LLC now owns 536,539 shares of the transportation company’s stock worth $14,186,000 after purchasing an additional 71,609 shares during the period. Finally, Janney Montgomery Scott LLC lifted its position in Trinity Industries by 2.8% during the fourth quarter. Janney Montgomery Scott LLC now owns 26,022 shares of the transportation company’s stock valued at $688,000 after purchasing an additional 711 shares in the last quarter. 86.57% of the stock is owned by institutional investors.

About Trinity Industries

Trinity Industries, Inc is a diversified industrial company headquartered in Dallas, Texas, with roots dating back to its incorporation in 1933. The company principally serves the transportation, infrastructure and energy sectors through the design, manufacture and leasing of railcars and related components. Trinity operates multiple business segments that encompass railcar manufacturing, aftermarket parts production, railcar leasing and management, inland barge construction and leasing, as well as infrastructure products for highways and energy applications.

In its railcar segment, Trinity produces a broad portfolio of freight cars—including tank cars, covered hoppers, gondolas and autoracks—alongside critical system components such as braking systems, couplers and wheels.