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:
Below please find a table outlining a discounted cash flow forecast for TRN, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Trinity Industries Inc ranked in the 8th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Trinity Industries Inc ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is 0.31; that's higher than only 22.17% of US stocks in the Industrials sector that have positive free cash flow.
The company's compound free cash flow growth rate over the past 5.43 years comes in at -0.21%; that's greater than just 7.41% of US stocks we're applying DCF forecasting to.
34% of the company's capital comes from equity, which is greater than just 14.97% of stocks in our cash flow based forecasting set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as TRN, try CFX, FLOW, HIL, MIC, and PBI.
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...