Wabtec (NYSE:WAB) Downgraded by Wall Street Zen to Hold

Wall Street Zen cut shares of Wabtec (NYSE:WAB) from a buy rating to a hold rating in a research note issued to investors on Sunday.

A number of other brokerages also recently issued reports on WAB. Bank of America increased their target price on Wabtec from $228.00 to $233.00 and gave the stock a “buy” rating in a research note on Thursday, November 13th. Wolfe Research raised Wabtec from a “peer perform” rating to an “outperform” rating and set a $245.00 price target for the company in a research report on Thursday, January 8th. Stephens upped their price objective on shares of Wabtec from $230.00 to $290.00 and gave the company an “overweight” rating in a research note on Thursday, February 12th. KeyCorp raised their price target on Wabtec from $240.00 to $308.00 and gave the stock an “overweight” rating in a research note on Thursday, February 12th. Finally, Citigroup upped their price objective on Wabtec from $258.00 to $283.00 and gave the stock a “buy” rating in a report on Thursday, February 12th. Eight investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $269.00.

Wabtec Trading Up 1.1%

WAB opened at $264.70 on Friday. The business has a fifty day moving average price of $231.02 and a 200 day moving average price of $209.95. The company has a debt-to-equity ratio of 0.38, a current ratio of 1.11 and a quick ratio of 0.57. Wabtec has a 12 month low of $151.81 and a 12 month high of $265.88. The stock has a market capitalization of $45.14 billion, a price-to-earnings ratio of 38.76, a PEG ratio of 2.00 and a beta of 1.01.

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

Wabtec Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 2nd. Investors of record on Tuesday, February 17th will be paid a $0.31 dividend. The ex-dividend date of this dividend is Tuesday, February 17th. This represents a $1.24 annualized dividend and a yield of 0.5%. This is an increase from Wabtec’s previous quarterly dividend of $0.25. Wabtec’s dividend payout ratio (DPR) is currently 18.16%.

Wabtec announced that its board has initiated a share repurchase program on Wednesday, February 11th that authorizes the company to repurchase $1.20 billion in shares. This repurchase authorization authorizes the transportation company to buy up to 2.9% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s leadership believes its shares are undervalued.

Insiders Place Their Bets

In related news, insider Rogerio Mendonca sold 2,019 shares of Wabtec stock in a transaction on Thursday, December 4th. The shares were sold at an average price of $214.51, for a total value of $433,095.69. Following the completion of the sale, the insider owned 9,516 shares of the company’s stock, valued at approximately $2,041,277.16. The trade was a 17.50% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Michael Fetsko sold 5,058 shares of the firm’s stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $215.72, for a total value of $1,091,111.76. Following the completion of the sale, the insider directly owned 36,882 shares in the company, valued at $7,956,185.04. This trade represents a 12.06% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 16,625 shares of company stock worth $3,666,601 in the last quarter. Corporate insiders own 1.10% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of WAB. Colonial Trust Advisors raised its position in Wabtec by 454.5% in the 2nd quarter. Colonial Trust Advisors now owns 122 shares of the transportation company’s stock worth $26,000 after purchasing an additional 100 shares during the last quarter. Piscataqua Savings Bank increased its position in shares of Wabtec by 12,800.0% in the 3rd quarter. Piscataqua Savings Bank now owns 129 shares of the transportation company’s stock valued at $26,000 after buying an additional 128 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd raised its position in shares of Wabtec by 125.9% during the fourth quarter. Clal Insurance Enterprises Holdings Ltd now owns 131 shares of the transportation company’s stock worth $28,000 after purchasing an additional 73 shares during the period. Manchester Capital Management LLC increased its position in shares of Wabtec by 122.0% during the fourth quarter. Manchester Capital Management LLC now owns 131 shares of the transportation company’s stock worth $28,000 after acquiring an additional 72 shares in the last quarter. Finally, Motco raised its stake in shares of Wabtec by 6,600.0% in the 3rd quarter. Motco now owns 134 shares of the transportation company’s stock valued at $27,000 after purchasing an additional 132 shares during the period. Institutional investors own 91.69% of the company’s stock.

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.