Here's Why Greenbrier Companies (GBX) Fell More Than Broader Market
In the latest market close, Greenbrier Companies (GBX) reached $47.48, with a -1.72% movement compared to the previous day. The stock fell short of the S&P 500, which registered a loss of 1.37% for the day. Meanwhile, the Dow lost 1.35%, and the Nasdaq, a tech-heavy index, lost 1.8%.
Coming into today, shares of the maker of railroad freight car equipment had gained 3.67% in the past month. In that same time, the Transportation sector gained 4.09%, while the S&P 500 gained 5.1%.
The investment community will be closely monitoring the performance of Greenbrier Companies in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.81, reflecting a 18.18% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $895.3 million, indicating a 20.2% decrease compared to the same quarter of the previous year.
Investors might also notice recent changes to analyst estimates for Greenbrier Companies. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been a 2.04% rise in the Zacks Consensus EPS estimate. Greenbrier Companies is currently a Zacks Rank #1 (Strong Buy).
Digging into valuation, Greenbrier Companies currently has a Forward P/E ratio of 12.9. This indicates a premium in contrast to its industry's Forward P/E of 12.43.
We can also see that GBX currently has a PEG ratio of 1.84. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Transportation - Equipment and Leasing stocks are, on average, holding a PEG ratio of 1.02 based on yesterday's closing prices.
The Transportation - Equipment and Leasing industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 17, finds itself in the top 7% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Greenbrier Companies, Inc. (The) (GBX) : Free Stock Analysis Report
