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LAKE OSWEGO – Over the past trading session, shares of Greenbrier Companies (NYSE:) saw a decline, closing at $35.81, down 1.46% from the previous day’s close. This performance lagged the broader S&P 500 index, which fell 0.08%. The , however, rose slightly by 0.16%, while the index fell by 0.22%.
Over the past few weeks, GBX has faced a notable 10.03% decline over the past month, underperforming the Transportation sector’s 3.11% loss and contrasting with the 1.42% gain in the S&P 500. This decline has attracted the attention of investors who are now awaiting Greenbrier’s next earnings report with increased interest.
Analysts are setting their expectations for the company’s next earnings report, predicting a significant year-over-year increase in profits. The forecast is earnings of $0.71 per share, which would represent an impressive 1,320% growth over the same period last year. Revenue projections for the quarter are also optimistic, with an expected amount of $886.5 million, up 15.66% from the year-ago quarter.
For the full fiscal year, Zacks Consensus Estimates suggest Greenbrier could post earnings of $3.50 per share and revenue totaling $3.71 billion. These figures would mark a +17.85% change in profits and a -5.95% change in revenue compared to the previous year.
Investors are also evaluating Greenbrier’s valuation metrics; The company’s forward price-to-earnings (P/E) ratio stands at 10.39, which is favorable compared to the industry’s average P/E ratio of 11.05. However, when it comes to price-to-earnings ratio (PEG), GBX is trading at 1.48, which is higher than the industry average of 1.11.
Currently holding a Zacks Rank #3 (Hold), Greenbrier is part of the Transportation – Equipment & Leasing industry, which has a Zacks Industry Rank of 196, putting it in the bottom 23% of more than 250 Zacks-rated industries.
As market participants await Greenbrier’s financial results, they will be paying close attention to how these numbers align with analyst estimates and their potential impact on the company’s stock performance going forward.
In light of recent market activity, we examine key data and insights from InvestingPro to better understand the dynamics surrounding Greenbrier companies.
InvestingPro’s real-time data reveals a market capitalization of $1,110 million and a P/E ratio of 18.48. The company’s P/E ratio for the trailing twelve months to Q4 2023 stands at 13.89, while the PEG ratio for the same period is 0.52. These metrics indicate a modest valuation, especially considering the significant earnings growth expected by analysts.
As for InvestingPro Tips, it’s worth noting that Greenbrier has been repurchasing stock aggressively, which could be a sign of management’s confidence in the company’s future prospects. However, it’s also important to note that the company is heavily leveraged and burning through cash quickly.
Additionally, Greenbrier’s stock price has experienced high volatility, with a significant decline over the past three months. This could present an opportunity for investors, given that the company’s shares trade at a low price-to-earnings ratio relative to near-term earnings growth and the company is expected to be profitable this year.
For more information like this, consider InvestPro product, which offers a wealth of additional tips and data on Greenbrier and many other companies.
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