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Trinity Industries Inc

Trinity Industries Inc

TRN
$36.47USD↓-1.78%-0.66 today

MARKET CAP

2.9B

P/E (TTM)

11.6x

FWD P/E

14.4x

DAY RANGE

$36 – $38

52W RANGE

$22
$38

AI Summary

Stalk
Sell NowMedium

TRN is in a Stage 3 distribution phase within a long-term uptrend, and the active lower highs and lower lows pattern reinforces a medium-term bearish bias. Price is rejecting at the declining 9EMA and 20EMA with no support evident, signaling sustained selling pressure. With neutral OB/OS context and RSI lacking support, the near-term setup favors immediate bearish execution.

  • ↑EPS rose 10% YoY to $0.32 vs Q1 2025 despite 16% revenue slide to $492 M
  • ↑Fleet utilization climbed to 97.3% with $1.6 B backlog, signaling demand rebound
  • ↓Q1 revenue declined 16% YoY to $492 M, raising sustainability concerns
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Trinity Industries, Inc. (NYSE: TRN) is a leading manufacturer and lessor of railcars in North America, providing integrated solutions that include manufacturing, leasing, and maintenance services. The company's strategic focus on enhancing operational efficiency and optimizing its substantial railcar fleet of 144,000 units positions it to capitalize on improving market conditions within the rail transportation sector. As the rail economy begins to recover, Trinity aims to leverage its capabilities amidst evolving market dynamics, indicative of a sector experiencing growth potential.

Bull says

  • ↑EPS rose 10% YoY to $0.32 vs Q1 2025 despite 16% revenue slide to $492 M
  • ↑Fleet utilization climbed to 97.3% with $1.6 B backlog, signaling demand rebound
  • ↑Leasing operating margins expanded to 37.9% after cost-reduction initiatives
  • ↑Returned $32 M to shareholders in Q1 and yields 3.8%; $600 M new credit facility
  • ↑Raised full-year EPS guidance to $2.20–$2.40; Q1 FCF of $100 M supports cash flow
  • ↑High earnings yield and 3.8% dividend yield enhance valuation support

Bear says

  • ↓Q1 revenue declined 16% YoY to $492 M, raising sustainability concerns
  • ↓Profitability under pressure with margin risks from inflation and negative profitability metrics
  • ↓Elevated leverage increases debt service risk amid rising interest rates
  • ↓Analyst sentiment weakening; short interest and 13F ownership trending down
  • ↓Secondary-market gains of $160–$180 M may prove lumpy and uncertain
  • ↓Inflation, tariffs and consumer weakness could further depress leasing demand

Investment themes with TRN

High Dividend Yield↑ +0.32%

Companies paying above-average dividends

AVGO · JPM · XOM
Infrastructure Development↑ +0.48%

DE · HWM · TT

Earnings Call · Q1 2026 · Mgmt. Guidance

Updated 05-02-2026neutral

Transcript signals

Bull points

  • Our operating margins expanded in both segments. Past generation was strong at $100 million from continuing operations. Our business is generating good returns and has proven its ability to outperform the market through the cycle.
  • We have $1.1 billion of liquidity, and we continue to return capital to shareholders.
  • Moving to the cash flow statement, Cash flow from continuing operations was $100 million, benefited from a reduction in working capital. Our total net fleet investment was $68 million in the quarter, which included new railcar additions, secondary market ads, and fleet modifications and betterments.

Bear points

  • We did bring that down this quarter by $100 million, which reflects a little more selling activity out of the portfolio.
  • We did bring that down this quarter by $100 million, which reflects a little more selling activity out of the portfolio.
  • Revenue was down 16%.
Read full transcript analysis ›