Trinity Industries (TRN) AI Stock Analysis

• Market Cap: $2.11B
• Dividend Yield: 4.63%
• Average Volume (3M): 459.69K
• Price to Earnings (P/E): 22.9
• Beta (1Y): 1.06
• Revenue Growth: -33.03%
• EPS Growth: -44.18%
• Country: US
• Employees: 7,380
• Sector: Industrials
• Sector Strength: 72
• Industry: Railroads
• EPS (TTM): 0.38
• Shares Outstanding: 80,180,530
• 10 Day Avg. Volume: 648,415
• 30 Day Avg. Volume: 459,687
• PEG Ratio: 0.72
• Price to Book (P/B): 2.71
• Price to Sales (P/S): 0.93
• P/FCF Ratio: -131.26
• Enterprise Value/Market Cap: 3.92
• Enterprise Value/Revenue: 3.79
• Enterprise Value/Gross Profit: 14.42
• Enterprise Value/Ebitda: 12.66
• 1Y Price Target: $27.00
• Price Target Upside: 5.26% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 1.4
• Revenue Forecast (FY): $2.19B

• Rating: 55 Neutral
• Price Target: $27.00 ▲(5.26% Upside)

Trinity Industries' overall stock score reflects significant financial challenges, particularly in revenue growth and leverage. Technical indicators suggest bearish momentum. Positive earnings call sentiment and a decent dividend yield provide some support, but risks remain.

Trinity Industries Business Overview & Revenue Model

Company Description

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.

How the Company Makes Money

Trinity Industries generates revenue through several key streams, primarily from the manufacturing and leasing of railcars. The Rail Group is a significant contributor, where the company designs, manufactures, and sells a variety of railcars, including tank cars, freight cars, and intermodal containers. Additionally, the leasing of these railcars provides a recurring revenue stream. The Construction Products Group contributes by selling products like concrete and asphalt, while the Energy Equipment Group derives income from manufacturing equipment utilized in the oil and gas industry. Partnerships with major transportation and energy companies enhance their earnings potential, along with market demand fluctuations in rail and construction sectors impacting revenue generation.

Trinity Industries Financial Statement Overview

Summary

Trinity Industries faces financial challenges with declining revenue growth and high leverage. Despite strong gross and EBIT margins, cash flow issues and a high debt-to-equity ratio are concerning.

Income Statement

Trinity Industries shows a mixed performance in its income statement. The TTM data indicates a decline in revenue growth rate by 13.68%, which is concerning. However, the company maintains a healthy gross profit margin of 26.30% and an EBIT margin of 19.70%, indicating strong operational efficiency. The net profit margin is modest at 4.39%, reflecting some profitability challenges.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of 4.75, which poses a risk in terms of financial stability. Return on equity is relatively low at 8.73%, suggesting limited profitability from shareholders' investments. The equity ratio stands at 14.00%, indicating a low proportion of equity financing.

Cash Flow

Cash flow analysis highlights significant challenges, with a negative free cash flow growth rate of -90.76% in the TTM period. The operating cash flow to net income ratio is 1.52, showing adequate cash generation relative to net income. However, the negative free cash flow to net income ratio of -0.06 indicates cash flow issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.18B	3.08B	2.98B	1.98B	1.52B	2.00B
Gross Profit	572.00M	668.20M	527.10M	367.70M	354.50M	491.00M
EBITDA	651.60M	789.10M	707.70M	458.00M	439.90M	-68.30M
Net Income	95.40M	138.40M	106.00M	98.90M	39.30M	-226.10M
Balance Sheet
Total Assets	8.93B	8.83B	8.91B	8.72B	8.24B	8.70B
Cash, Cash Equivalents and Short-Term Investments	66.30M	228.20M	105.70M	79.60M	167.30M	132.00M
Total Debt	5.94B	5.69B	5.75B	5.61B	5.17B	5.02B
Total Liabilities	7.68B	7.53B	7.63B	7.45B	6.94B	6.69B
Stockholders Equity	1.25B	1.06B	1.04B	1.01B	1.03B	1.74B
Cash Flow
Free Cash Flow	-22.40M	-21.90M	-414.50M	-979.60M	41.00M	-52.80M
Operating Cash Flow	385.00M	573.80M	295.60M	-12.80M	611.80M	651.70M
Investing Cash Flow	-509.30M	-214.60M	-363.00M	-260.70M	276.30M	-532.90M
Financing Cash Flow	31.70M	-219.90M	8.20M	265.40M	-814.10M	-168.00M

Trinity Industries Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 25.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRN, the sentiment is Negative. The current price of 25.65 is below the 20-day moving average (MA) of 27.46, below the 50-day MA of 27.65, and below the 200-day MA of 27.61, indicating a bearish trend. The MACD of -0.45 indicates Positive momentum. The RSI at 31.31 is Neutral, neither overbought nor oversold. The STOCH value of 4.86 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRN.

Trinity Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WAB	75 Outperform	$35.22B	29.94	11.07%	0.46%	4.40%	14.60%
FSTR	73 Outperform	$288.82M	61.63	2.74%	―	-5.51%	-88.11%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GBX	60 Neutral	$1.32B	6.72	14.03%	2.70%	-8.66%	27.14%
CXW	59 Neutral	$1.80B	16.92	7.41%	―	5.72%	47.75%
TRN	55 Neutral	$2.11B	22.92	10.04%	4.63%	-33.03%	-44.18%
RAIL	46 Neutral	$164.88M	―	―	―	-6.00%	-12.45%

Trinity Industries Corporate Events

Trinity Industries’ Earnings Call: Strong Leasing Amid Challenges

Trinity Industries’ recent earnings call revealed a cautiously optimistic outlook, driven by strong performance in its leasing segment and an increase in EPS guidance. Despite facing challenges such as declining revenues and lower industry railcar orders, the company showcased confidence in its business model. The secondary market remained robust, and significant SG&A savings were achieved, indicating a balanced approach to navigating current industry conditions.

Trinity Industries Reports Strong Q3 2025 Results

Trinity Industries, Inc., headquartered in Dallas, Texas, is a leading provider of rail transportation products and services in North America, operating through two main segments: Railcar Leasing and Services Group and Rail Products Group.

Trinity Industries Reports Strong Q3 2025 Earnings

Trinity Industries announced its third-quarter 2025 financial results, reporting earnings of $0.38 per diluted share from continuing operations and generating $187 million in year-to-date operating cash flow. The company delivered 1,680 railcars during the quarter and maintained a lease fleet utilization of 96.8%. Trinity’s CEO highlighted the company’s strong performance across all segments, particularly in the Railcar Leasing and Services segment, which benefited from favorable market conditions. The company also reported a backlog of $1.8 billion and raised its full-year EPS guidance to a range of $1.55 to $1.70, reflecting sustained margin strength and success in the secondary market.

The most recent analyst rating on (TRN) stock is a Hold with a $30.00 price target. To see the full list of analyst forecasts on Trinity Industries stock, see the TRN Stock Forecast page.

Trinity Industries Secures $535M Green Railcar Notes

On October 15, 2025, Trinity Industries‘ subsidiaries, Trinity Industries Leasing Company and Trinity Rail Leasing 2025 LLC, entered into a Note Purchase Agreement with several financial institutions for the issuance and sale of secured green standard railcar notes totaling approximately $535 million. This transaction, part of an asset-backed securitization, is expected to close on or about October 28, 2025, and involves the purchase of approximately 7,821 railcars. The agreement includes customary representations, warranties, and indemnity provisions, highlighting the company’s strategic focus on sustainable finance and its potential impact on stakeholders.

The most recent analyst rating on (TRN) stock is a Hold with a $30.00 price target. To see the full list of analyst forecasts on Trinity Industries stock, see the TRN Stock Forecast page.