Wabtec (NYSE:WAB) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of Wabtec (NYSE:WAB) have been assigned a consensus recommendation of “Moderate Buy” from the thirteen ratings firms that are covering the company, Marketbeat reports. Three analysts have rated the stock with a hold rating and ten have issued a buy rating on the company. The average 12 month price objective among brokerages that have issued a report on the stock in the last year is $272.0833.

Several brokerages recently weighed in on WAB. Stephens raised their target price on shares of Wabtec from $230.00 to $290.00 and gave the company an “overweight” rating in a report on Thursday, February 12th. Jefferies Financial Group reaffirmed a “buy” rating and issued a $290.00 target price (down from $300.00) on shares of Wabtec in a report on Tuesday, March 31st. Citigroup raised their target price on shares of Wabtec from $258.00 to $283.00 and gave the company a “buy” rating in a report on Thursday, February 12th. Wolfe Research raised shares of Wabtec from a “peer perform” rating to an “outperform” rating and set a $245.00 target price on the stock in a report on Thursday, January 8th. Finally, Wall Street Zen downgraded Wabtec from a “buy” rating to a “hold” rating in a report on Saturday, March 14th.

Wabtec Stock Up 0.8%

Shares of NYSE:WAB opened at $255.96 on Friday. The firm’s 50 day moving average price is $248.67 and its 200 day moving average price is $223.03. The stock has a market cap of $43.56 billion, a price-to-earnings ratio of 37.48, a price-to-earnings-growth ratio of 1.92 and a beta of 0.99. Wabtec has a fifty-two week low of $157.18 and a fifty-two week high of $266.27. The company has a quick ratio of 0.57, a current ratio of 1.11 and a debt-to-equity ratio of 0.38.

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

Wabtec Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, March 2nd. Shareholders of record on Tuesday, February 17th were paid a $0.31 dividend. This is an increase from Wabtec’s previous quarterly dividend of $0.25. This represents a $1.24 annualized dividend and a yield of 0.5%. The ex-dividend date was Tuesday, February 17th. Wabtec’s payout ratio is currently 18.16%.

Wabtec declared that its Board of Directors has approved a stock buyback plan on Wednesday, February 11th that authorizes the company to repurchase $1.20 billion in outstanding shares. This repurchase authorization authorizes the transportation company to repurchase up to 2.9% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other Wabtec news, insider Rogerio Mendonca sold 3,500 shares of the stock in a transaction that occurred on Friday, February 20th. The shares were sold at an average price of $264.21, for a total value of $924,735.00. Following the transaction, the insider directly owned 10,101 shares in the company, valued at $2,668,785.21. This represents a 25.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO John A. Olin sold 11,000 shares of the stock in a transaction that occurred on Tuesday, February 24th. The shares were sold at an average price of $263.30, for a total transaction of $2,896,300.00. Following the completion of the transaction, the chief financial officer owned 60,487 shares in the company, valued at $15,926,227.10. This represents a 15.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 31,512 shares of company stock valued at $8,160,028 over the last three months. 1.10% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Wabtec

Hedge funds have recently added to or reduced their stakes in the stock. Piscataqua Savings Bank increased its stake in Wabtec by 12,800.0% in the third quarter. Piscataqua Savings Bank now owns 129 shares of the transportation company’s stock valued at $26,000 after purchasing an additional 128 shares during the last quarter. Motco increased its stake in Wabtec by 6,600.0% in the third quarter. Motco now owns 134 shares of the transportation company’s stock valued at $27,000 after purchasing an additional 132 shares during the last quarter. Clal Insurance Enterprises Holdings Ltd increased its stake in Wabtec by 125.9% in the fourth 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 during the last quarter. Manchester Capital Management LLC increased its stake in Wabtec by 122.0% in the fourth quarter. Manchester Capital Management LLC now owns 131 shares of the transportation company’s stock valued at $28,000 after purchasing an additional 72 shares during the last quarter. Finally, McMillan Office Inc. acquired a new stake in shares of Wabtec in the fourth quarter valued at approximately $31,000. 91.69% of the stock is currently owned by hedge funds and other 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.