|Bid||16.01 x 1400|
|Ask||16.27 x 1400|
|Day's Range||16.14 - 16.94|
|52 Week Range||16.14 - 28.33|
|Beta (3Y Monthly)||1.70|
|PE Ratio (TTM)||18.54|
|Earnings Date||Oct 22, 2019 - Oct 28, 2019|
|Forward Dividend & Yield||0.68 (3.48%)|
|1y Target Est||27.33|
Trinity Industries (TRN) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...
It's fair to say that over the past month, CSX (NASDAQ:CSX) has come off the rails. During the past month, CSX stock sunk as the transportation giant reported miserable second-quarter numbers in mid-July.Source: Shutterstock Revenues missed expectations by a wide margin, the biggest miss since early 2016. Earnings also missed expectations by the widest margin in the past five years. More important, the full-year guide was cut sharply to well-below consensus levels.Ever since, CSX stock has dropped nearly 20%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsSome contrarian investors might see this big drop in CSX as an opportunity to buy into a company that ostensibly seems very stable. But, while I love to play the contrarian, I don't think buying the dip in CSX here is the right move. * 7 Safe Dividend Stocks for Investors to Buy Right Now The reality is that CSX stock has come off the rails, and there's no reason to step in the way of this "off the rails" train just yet. The fundamentals are weak and will likely get worse before they get better. The optics are ugly and won't improve anytime soon. Meanwhile, the analyst community is growing increasingly bearish and won't provide any support; neither will the technicals, since CSX has blown through pretty much all of its important technical and psychological levels.In sum, then, there's no reason to step in the way of this sell-off just yet. Instead, the smart move here is let this sell-off play out, and then buy the dip once the fundamentals, optics, and technicals become more supportive of a rebound rally. The Rail Industry Is off the RailsThe 20% plunge in CSX stock over the past month is not unique to this specific company. Instead, it is part of a more wide-sweeping sell-off across the entire rail industry.Alongside CSX, peer rail transport companies Norfolk Southern (NYSE:NSC), Union Pacific (NYSE:UNP), and Trinity (NYSE:TRN) all reported Q2 revenue misses with sluggish volume growth. All four stocks have fallen 8% or more over the past month.Under the hood, the trade war is having a materially negative impact on the U.S. manufacturing sector. When the manufacturing sector slows, demand for rail transport slows, too, since companies are responding by transporting less volume, less frequently.When volumes drop, margins take a hit because costs aren't coming out of the system as quickly as volumes are dropping. Further, this pain may just be beginning. The trade war has escalated over the past few weeks, and as it has, it's become increasingly clear that elevated trade tensions and slowing manufacturing activity are here to stay for the foreseeable future.As such, the outlook for CSX and the entire rail industry over the next several months is sluggish volume growth alongside potential margin compression. That's a losing combo. No Reason to Buy the Dip YetAt some point, this dip in CSX becomes a compelling buying opportunity, since CSX is a stable company with healthy long term growth prospects.But, that point isn't here yet. Instead, at the current moment, there's very little reason to step in the way of this CSX stock sell-off.First, as outlined above, rail industry fundamentals aren't good now, nor do they project to improve anytime soon given trade war escalation. Second, CSX isn't a standout in this industry. Instead, they've been hit like everyone else during this rail slowdown, reporting negative revenue growth last quarter.Third, the optics here are bad. Investors quite simply do not want trade war exposure at the current moment. CSX stock has a ton of trade war exposure. As such, it is unlikely that investors will be attracted to the stock anytime soon.Further, analysts are cutting estimates and the number of Buy recommendations on the stock has dropped from 11 at the beginning of the year, to five today, according to YCharts. Thus, there isn't much support from the analyst community, either, and without that support, investors likely aren't inclined to buy the dip in bulk.Fourth, the technicals are broken. During this most recent sell-off, CSX blew through its 20-day, 50-day, and 200-day moving averages without any regard for those technical support levels. The next psychological level of support comes in at $65, where the stock has shown resilience before. Until the stock does show support there, there's little reason to believe that there's much technical support in this stock anywhere.Overall, there's simply very little reason to step in the way of this sell-off today. It increasingly appears that there's more pain ahead for CSX. Investors should only buy the dip once it appears that the worst has passed. Bottom Line on CSX StockThings are bad at CSX right now. The unfortunate reality is that things will probably get worse before they get better. That means that the recent 20% plunge in CSX stock isn't an opportunity. Instead, the stock will likely sell-off more before it bottoms.As such, now isn't the time to buy the dip in CSX stock. Rather, it's time to steer clear.As of this writing, Luke Lango did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Real Estate Investments to Ride Out the Current Storm * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk * 7 Safe Dividend Stocks for Investors to Buy Right Now The post Run Away from CSX Stock as It Comes Way off the Rails appeared first on InvestorPlace.
Despite uncertain economic conditions, Trinity Industries (NYSE: TRN) expects rail volumes to improve in the second half of the year, based on "healthy" inquiry levels for its railcars, company leaders said during TRN's second quarter earnings call on July 25. Railcar "orders are lumpy, and there was a lot of uncertainty this quarter that we think causes pauses, whether it be global trade tariffs, the threat of tariffs on Mexico, interest rates – everything in between," said Eric Marchetto, TRN senior vice president and TrinityRail Group vice president. Trinity leases and manufactures railcars.
Total company revenue for Trinity Industries (NYSE: TRN ) grew 16 percent to $736 million in the second quarter amid revenue gains for its rail product group. Operating profit for the railcar lessor and ...
Trinity Industries (TRN) delivered earnings and revenue surprises of -6.45% and 5.87%, respectively, for the quarter ended June 2019. Do the numbers hold clues to what lies ahead for the stock?
For many, the main point of investing is to generate higher returns than the overall market. But every investor is...
Trinity Industries (TRN) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Trinity Industries, Inc. (TRN) (“Trinity”) announced today that it will report its financial results for the three months and six months ended June 30, 2019 after the financial markets close on July 24, 2019. Trinity Industries, Inc., headquartered in Dallas, Texas, owns businesses that are leading providers of rail transportation products and services in North America. Trinity also owns businesses engaged in the manufacture of products used on the nation’s roadways and in traffic control, as well as logistical and transportation businesses that provide support services to a variety of industrial manufacturers.
1. (TRN) is a special-situation stock that has undergone a dramatic business transformation resulting in a more focused, less cyclical company. 3. Hybrid business model of railcar manufacturing and leasing business is not well understood, creating market inefficiency and valuation opportunity. 5. Trinity has a very enviable competitive position in the railcar equipment value chain as the dominant manufacturer and a market-leading leasing and management company.
At Insider Monkey we track the activity of some of the best-performing hedge funds like Appaloosa Management, Baupost, and Tiger Global because we determined that some of the stocks that they are collectively bullish on can help us generate returns above the broader indices. Out of thousands of stocks that hedge funds invest in, small-caps […]
Trinity Industries Inc NYSE:TRNView full report here! Summary * ETFs holding this stock are seeing positive inflows but are weakening * Bearish sentiment is moderate * Economic output in this company's sector is contracting Bearish sentimentShort interest | NeutralShort interest is moderate for TRN with between 5 and 10% of shares outstanding currently on loan. The last change in the short interest score occurred more than 1 month ago and implies that there has been little change in sentiment among investors who seek to profit from falling equity prices. Money flowETF/Index ownership | NegativeETF activity is negative and may be weakening. The net inflows of $743 million over the last one-month into ETFs that hold TRN are among the lowest of the last year and appear to be slowing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managersâ€™ Index (PMI) data, output in the Industrialsis falling. The rate of decline is very significant relative to the trend shown over the past year, and is accelerating. The rate of contraction may ease in the coming months, however. Credit worthinessCredit default swapCDS data is not available for this security.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.