Trinity Industries, Inc. provides various products and services for the energy, transportation, chemical, and construction sectors in the United States and internationally. Its Rail Group segment offers railcars, including autorack, box, covered hopper, gondola, intermodal, tank, and open hopper cars; and couplers, axles, and other equipment, as well as railcar maintenance services. The company was founded in 1933 and is based in Dallas, Texas.
TRN Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Trinity Industries Inc. To summarize, we found that Trinity Industries Inc ranked in the 3th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 99%. As for the metrics that stood out in our discounted cash flow analysis of Trinity Industries Inc, consider:
The company's debt burden, as measured by earnings divided by interest payments, is 0.08; that's higher than just 23.11% of US stocks in the Industrials sector that have positive free cash flow.
Its compound free cash flow growth rate, as measured over the past 5.69 years, is -0.35% -- higher than only 4.05% of stocks in our DCF forecasting set.
34% of the company's capital comes from equity, which is greater than merely 12.62% of stocks in our cash flow based forecasting set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
AIR, ATSG, ATTO, DHX, and ENG can be thought of as valuation peers to TRN, in the sense that they are in the Industrials sector and have a similar price forecast based on DCF valuation.
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) (“Trinity”) today announced the election of Todd Maclin to its Board of Directors, effective immediately. The addition of Mr. Maclin expands Trinity’s Board of Directors from 7 to 8 members. “We are pleased to welcome Todd Maclin as a new member of our Board of Directors,” said Leldon E. Echols, Trinity’s Non-Executive Chairman of the Board. “The significant operating experience and financial insight Todd has gained as a top executive
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) has declared a quarterly dividend of 19 cents per share on its $0.01 par value common stock. The quarterly cash dividend, representing Trinity’s 226th consecutively paid dividend, is payable October 30, 2020 to stockholders of record on October 15, 2020. About Trinity Industries Trinity Industries, Inc., headquartered in Dallas, Texas, owns businesses that are leading providers of rail transportation products and services in North Ame
In the 111 or so days since I wrote my bullish piece on Trinity Industries Inc. (TRN), the shares are up about 18% against a gain of 24% for the S&P 500. I thought I’d check in on the name again for several reasons. First, the company has obviously reported...
Patrick Doyle on Seeking Alpha | September 3, 2020
Things are not going all that well for the railcar industry. After years of a cyclical slowdown, things had been looking up, only for the global economy to come grinding to a halt under the weight of the COVID-19 pandemic. Surely, this downturn, like ones in the past, will prove...