GREENBRIER COMPANIES INC (GBX) Stock Fundamental Analysis
NYSE:GBX - New York Stock Exchange, Inc. - US3936571013 - Common Stock
Overall GBX gets a fundamental rating of 4 out of 10. We evaluated GBX against 131 industry peers in the Machinery industry. There are concerns on the financial health of GBX while its profitability can be described as average. GBX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
GBX had positive earnings in the past year.
In the past year GBX had a positive cash flow from operations.
In the past 5 years GBX has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: GBX reported negative operating cash flow in multiple years.
1.2 Ratios
GBX has a Return On Assets (4.30%) which is comparable to the rest of the industry.
With a decent Return On Equity value of 13.04%, GBX is doing good in the industry, outperforming 65.35% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.72%, GBX is in the better half of the industry, outperforming 64.57% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GBX is significantly below the industry average of 11.17%.
The last Return On Invested Capital (8.72%) for GBX is above the 3 year average (4.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 13.04% | ||
| ROIC | 8.72% |
ROA(3y)2.18%
ROA(5y)1.81%
ROE(3y)6.76%
ROE(5y)5.31%
ROIC(3y)4.87%
ROIC(5y)3.92%
1.3 Margins
GBX has a Profit Margin (5.10%) which is comparable to the rest of the industry.
GBX's Profit Margin has improved in the last couple of years.
GBX has a Operating Margin of 9.91%. This is comparable to the rest of the industry: GBX outperforms 50.39% of its industry peers.
GBX's Operating Margin has improved in the last couple of years.
The Gross Margin of GBX (16.91%) is worse than 79.53% of its industry peers.
In the last couple of years the Gross Margin of GBX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.91% | ||
| PM (TTM) | 5.1% | ||
| GM | 16.91% |
OM growth 3Y56.84%
OM growth 5Y11.71%
PM growth 3Y34.43%
PM growth 5Y14.02%
GM growth 3Y5.95%
GM growth 5Y5.45%
2. Health
2.1 Basic Checks
GBX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
GBX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, GBX has less shares outstanding
The debt/assets ratio for GBX is higher compared to a year ago.
2.2 Solvency
GBX has an Altman-Z score of 1.88. This is not the best score and indicates that GBX is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.88, GBX is doing worse than 72.44% of the companies in the same industry.
GBX has a Debt/Equity ratio of 1.30. This is a high value indicating a heavy dependency on external financing.
GBX's Debt to Equity ratio of 1.30 is on the low side compared to the rest of the industry. GBX is outperformed by 85.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.3 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.88 |
ROIC/WACC1.03
WACC8.49%
2.3 Liquidity
GBX has a Current Ratio of 0.95. This is a bad value and indicates that GBX is not financially healthy enough and could expect problems in meeting its short term obligations.
GBX has a worse Current ratio (0.95) than 92.13% of its industry peers.
A Quick Ratio of 0.52 indicates that GBX may have some problems paying its short term obligations.
GBX's Quick ratio of 0.52 is on the low side compared to the rest of the industry. GBX is outperformed by 92.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 47.30% over the past year.
Measured over the past years, GBX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.92% on average per year.
GBX shows a decrease in Revenue. In the last year, the revenue decreased by -9.39%.
Measured over the past years, GBX shows a small growth in Revenue. The Revenue has been growing by 3.16% on average per year.
EPS 1Y (TTM)47.3%
EPS 3Y65.82%
EPS 5Y10.92%
EPS Q2Q%79.17%
Revenue 1Y (TTM)-9.39%
Revenue growth 3Y26.57%
Revenue growth 5Y3.16%
Sales Q2Q%8.3%
3.2 Future
The Earnings Per Share is expected to grow by 3.54% on average over the next years.
The Revenue is expected to grow by 1.42% on average over the next years.
EPS Next Y1.1%
EPS Next 2Y3.54%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.33%
Revenue Next 2Y1.42%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GBX is valuated reasonably with a Price/Earnings ratio of 11.67.
Compared to the rest of the industry, the Price/Earnings ratio of GBX indicates a rather cheap valuation: GBX is cheaper than 88.98% of the companies listed in the same industry.
GBX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.96.
The Price/Forward Earnings ratio is 12.55, which indicates a correct valuation of GBX.
Based on the Price/Forward Earnings ratio, GBX is valued cheaper than 89.76% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.11. GBX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 12.55 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GBX is valued cheaper than 92.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.7 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of GBX may justify a higher PE ratio.
PEG (NY)10.59
PEG (5Y)1.07
EPS Next 2Y3.54%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.80%, GBX has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.66, GBX pays a better dividend. On top of this GBX pays more dividend than 84.25% of the companies listed in the same industry.
GBX's Dividend Yield is slightly below the S&P500 average, which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of GBX has a limited annual growth rate of 3.82%.
GBX has been paying a dividend for at least 10 years, so it has a reliable track record.
GBX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.82%
Div Incr Years2
Div Non Decr Years10
5.3 Sustainability
20.90% of the earnings are spent on dividend by GBX. This is a low number and sustainable payout ratio.
GBX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.9%
EPS Next 2Y3.54%
EPS Next 3YN/A
GREENBRIER COMPANIES INC
NYSE:GBX (1/17/2025, 8:04:00 PM)
After market: 66.85 0 (0%)66.85
+0.31 (+0.47%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners103.99%
Inst Owner Change-0.66%
Ins Owners1.94%
Ins Owner Change0.53%
Market Cap2.10B
Analysts74.29
Price Target62.9 (-5.91%)
Short Float %7.02%
Short Ratio7.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend1.24
Dividend Growth(5Y)3.82%
DP20.9%
Div Incr Years2
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)45.73%
Min EPS beat(2)44.01%
Max EPS beat(2)47.44%
EPS beat(4)3
Avg EPS beat(4)25.59%
Min EPS beat(4)-7.94%
Max EPS beat(4)47.44%
EPS beat(8)6
Avg EPS beat(8)32.09%
EPS beat(12)8
Avg EPS beat(12)18.16%
EPS beat(16)12
Avg EPS beat(16)46.03%
Revenue beat(2)2
Avg Revenue beat(2)2.92%
Min Revenue beat(2)2.09%
Max Revenue beat(2)3.74%
Revenue beat(4)3
Avg Revenue beat(4)-1.36%
Min Revenue beat(4)-12.56%
Max Revenue beat(4)3.74%
Revenue beat(8)6
Avg Revenue beat(8)3.62%
Revenue beat(12)10
Avg Revenue beat(12)6.24%
Revenue beat(16)11
Avg Revenue beat(16)2.58%
PT rev (1m)0%
PT rev (3m)12.12%
EPS NQ rev (1m)0%
EPS NQ rev (3m)26.45%
EPS NY rev (1m)0%
EPS NY rev (3m)12.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.01%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 12.55 | ||
| P/S | 0.58 | ||
| P/FCF | N/A | ||
| P/OCF | 6.78 | ||
| P/B | 1.48 | ||
| P/tB | 1.67 | ||
| EV/EBITDA | 6.7 |
EPS(TTM)5.73
EY8.57%
EPS(NY)5.33
Fwd EY7.97%
FCF(TTM)-2.55
FCFYN/A
OCF(TTM)9.86
OCFY14.75%
SpS115.17
BVpS45.05
TBVpS39.96
PEG (NY)10.59
PEG (5Y)1.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 13.04% | ||
| ROCE | 14.11% | ||
| ROIC | 8.72% | ||
| ROICexc | 9.7% | ||
| ROICexgc | 11.36% | ||
| OM | 9.91% | ||
| PM (TTM) | 5.1% | ||
| GM | 16.91% | ||
| FCFM | N/A |
ROA(3y)2.18%
ROA(5y)1.81%
ROE(3y)6.76%
ROE(5y)5.31%
ROIC(3y)4.87%
ROIC(5y)3.92%
ROICexc(3y)5.53%
ROICexc(5y)4.74%
ROICexgc(3y)6.3%
ROICexgc(5y)5.45%
ROCE(3y)7.54%
ROCE(5y)6.11%
ROICexcg growth 3Y91.91%
ROICexcg growth 5Y10.27%
ROICexc growth 3Y91.04%
ROICexc growth 5Y11.88%
OM growth 3Y56.84%
OM growth 5Y11.71%
PM growth 3Y34.43%
PM growth 5Y14.02%
GM growth 3Y5.95%
GM growth 5Y5.45%
F-Score6
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.3 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.86 | ||
| Cap/Depr | 329.75% | ||
| Cap/Sales | 10.77% | ||
| Interest Coverage | 4.41 | ||
| Cash Conversion | 64.96% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z | 1.88 |
F-Score6
WACC8.49%
ROIC/WACC1.03
Cap/Depr(3y)352.81%
Cap/Depr(5y)251.47%
Cap/Sales(3y)11.07%
Cap/Sales(5y)8.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)47.3%
EPS 3Y65.82%
EPS 5Y10.92%
EPS Q2Q%79.17%
EPS Next Y1.1%
EPS Next 2Y3.54%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.39%
Revenue growth 3Y26.57%
Revenue growth 5Y3.16%
Sales Q2Q%8.3%
Revenue Next Year1.33%
Revenue Next 2Y1.42%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y40.56%
EBIT growth 3Y98.52%
EBIT growth 5Y15.24%
EBIT Next Year73.14%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y82.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y247.8%
OCF growth 3YN/A
OCF growth 5YN/A