TRN

Trinity Industries, Inc.

Fundamental data last updated:October 6, 2026

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company profile

SECTOR

Industrials

industry

Railroads

Exchange

NYSE

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

Trinity Industries, Inc. provides rail transportation products and services under the TrinityRail name in North America. It operates in two segments, Railcar Leasing and Management Services Group, and Rail Products Group. The Railcar Leasing and Management Services Group segment leases freight and tank railcars; originates and manages railcar leases for third-party investors; and provides fleet maintenance and management services. As of December 31, 2021, it had a fleet of 106,970 owned or leased railcars. This segment serves industrial shipper and railroad companies operating in agriculture, construction and metals, consumer products, energy, and refined products and chemicals markets. The Rail Products Group segment manufactures freight and tank railcars for transporting various liquids, gases, and dry cargo; and offers railcar maintenance and modification services. This segment serves railroads, leasing companies, and industrial shippers of products in the agriculture, construction and metals, consumer products, energy, and refined products and chemicals markets. It sells or leases products and services through its own sales personnel and independent sales representatives. Trinity Industries, Inc. was incorporated in 1933 and is headquartered in Dallas, Texas.

 


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VALUATION

P/E

10.04

Market Cap ($M USD)

$2.56B

Forward P/E

12.61

PEG

-0.62

PRICE TO SALES

1.24

PRICE TO BOOK

2.38

EV / EBITDA

11.90

5-Year Average P/E

Free Cash Flow Yield

-17.28%

DCF Value

$-252.25

Graham Number

$31.23

Price to FCF

-5.79

EV to FCF

-17.40

Earnings Yield

9.96%

FCF Yield

-17.28%

DIVIDEND

Yield

3.79%

Annual Payout

$1.22

Payout Ratio

38.75%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$3.20

Next Year EPS Growth Estimate

$2.55

Next Year Revenue Growth Estimate

$2.51B

Return on Equity (ROE)

24.50%

FREE CASH FLOW

Operating Margin

16.59%

Debt-to-Equity

5.05

Piotroski F-Score

8

Altman Z-Score

0.68

Return on Invested Capital (ROIC)

4.38%

Current Ratio

2.10

Quick Ratio

1.17

Net Debt to EBITDA

7.94

Interest Coverage

1.29

Gross Profit margin

27.01%

FCF PER SHARE

$-5.54

REVENUE PER SHARE

$25.89

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Gainseekers Quantitative Analysis

Summary

Trinity Industries, Inc. presents a perplexing valuation conundrum. Despite a Price/Earnings ratio of 11.44, which suggests affordability, the stock’s DCF value is alarmingly negative, indicating potential overvaluation. The Graham Number of 31.23 further underscores this mispricing, as recent pricing has extended above this intrinsic value measure. The Forward P/E of 14.36 and a meager Earnings Yield of 8.74% hint at tempered growth expectations. Coupled with a precarious Altman Z-score of 0.71, the company’s financial safety is questionable, casting shadows over its long-term viability.

AI Exposure / Tech Reliance

Operating within the railroads sector, Trinity Industries is somewhat insulated from rapid AI and tech disruptions. However, the industry's gradual adoption of AI for logistics optimization could enhance operational efficiencies. The company's ability to integrate such technologies will be crucial for maintaining competitive advantage.

The Bull Case

For the discerning GARP investor, Trinity Industries offers compelling institutional tailwinds. A robust Return on Equity of 24.50% and a high Piotroski F-Score of 8 signal strong operational efficiency and financial health. Despite a negative Free Cash Flow Yield, the company's Operating Margin of 16.59% suggests solid pricing power. These metrics paint a picture of a company capable of capitalizing on its assets and delivering shareholder value.

The Bear Case

However, the bear case is equally potent. Trinity's structural risks are glaring, with a Debt/Equity ratio of 5.05 indicating a heavy reliance on leverage. The negative Free Cash Flow and an EV to FCF of -18.20 highlight severe cash flow issues. Trading near its 52-week high, the stock appears technically overextended, and the Price/Book ratio of 2.71 suggests it may be overvalued relative to its book value. These factors raise red flags about its financial stability and growth prospects.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$35.00

Institutional Ownership %

1-Year Beta

1.38

Insider Buying % (6 Mo)

Distance to 52-Week High

16.21%

Distance to 52-Week Low

30.39%

EARNINGS SURPRISE %

16.36%

50-DAY SMA

$33.08

200-DAY SMA

$29.72

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.