TRINITY INDUSTRIES INC (TRN) Stock Fundamental Analysis
NYSE:TRN • US8965221091
34.56 USD
+0.07 (+0.2%)
Last: Feb 26, 2026, 02:31 PM
We assign a fundamental rating of 3 out of 10 to TRN. TRN was compared to 130 industry peers in the Machinery industry. While TRN is still in line with the averages on profitability rating, there are concerns on its financial health. TRN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- TRN had positive earnings in the past year.
- TRN had a positive operating cash flow in the past year.
- TRN had positive earnings in 4 of the past 5 years.
- The reported operating cash flow has been mixed in the past 5 years: TRN reported negative operating cash flow in multiple years.
1.2 Ratios
- TRN's Return On Assets of 1.07% is on the low side compared to the rest of the industry. TRN is outperformed by 63.08% of its industry peers.
- Looking at the Return On Equity, with a value of 9.53%, TRN is in line with its industry, outperforming 59.23% of the companies in the same industry.
- TRN has a worse Return On Invested Capital (3.72%) than 63.85% of its industry peers.
- TRN had an Average Return On Invested Capital over the past 3 years of 3.30%. This is significantly below the industry average of 10.27%.
- The last Return On Invested Capital (3.72%) for TRN is above the 3 year average (3.30%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 9.53% | ||
| ROIC | 3.72% |
ROA(3y)1.15%
ROA(5y)0.79%
ROE(3y)9.74%
ROE(5y)7.69%
ROIC(3y)3.3%
ROIC(5y)2.93%
1.3 Margins
- With a Profit Margin value of 4.39%, TRN perfoms like the industry average, outperforming 49.23% of the companies in the same industry.
- In the last couple of years the Profit Margin of TRN has remained more or less at the same level.
- TRN's Operating Margin of 16.82% is amongst the best of the industry. TRN outperforms 80.77% of its industry peers.
- In the last couple of years the Operating Margin of TRN has grown nicely.
- TRN's Gross Margin of 26.30% is on the low side compared to the rest of the industry. TRN is outperformed by 60.77% of its industry peers.
- In the last couple of years the Gross Margin of TRN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.82% | ||
| PM (TTM) | 4.39% | ||
| GM | 26.3% |
OM growth 3Y6.78%
OM growth 5Y2.31%
PM growth 3Y-27.93%
PM growth 5Y-0.11%
GM growth 3Y-2.46%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TRN is destroying value.
- TRN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- Based on the Altman-Z score of 0.81, we must say that TRN is in the distress zone and has some risk of bankruptcy.
- TRN has a worse Altman-Z score (0.81) than 70.00% of its industry peers.
- A Debt/Equity ratio of 5.94 is on the high side and indicates that TRN has dependencies on debt financing.
- The Debt to Equity ratio of TRN (5.94) is worse than 89.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.94 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.81 |
ROIC/WACC0.48
WACC7.83%
2.3 Liquidity
- A Current Ratio of 1.88 indicates that TRN should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.88, TRN perfoms like the industry average, outperforming 42.31% of the companies in the same industry.
- TRN has a Quick Ratio of 1.88. This is a bad value and indicates that TRN is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.80, TRN is doing worse than 76.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 77.71% over the past year.
- The Earnings Per Share has been growing by 55.69% on average over the past years. This is a very strong growth
EPS 1Y (TTM)77.71%
EPS 3Y48.48%
EPS 5Y55.69%
EPS Q2Q%484.62%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-2.89%
3.2 Future
- Based on estimates for the next years, TRN will show a very negative growth in Earnings Per Share. The EPS will decrease by -20.93% on average per year.
- TRN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.53% yearly.
EPS Next Y-44.79%
EPS Next 2Y-20.93%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.31%
Revenue Next 2Y6.53%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS 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
- With a Price/Earnings ratio of 11.11, the valuation of TRN can be described as very reasonable.
- Based on the Price/Earnings ratio, TRN is valued cheaply inside the industry as 94.62% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 27.05, TRN is valued rather cheaply.
- A Price/Forward Earnings ratio of 20.13 indicates a rather expensive valuation of TRN.
- 67.69% of the companies in the same industry are more expensive than TRN, based on the Price/Forward Earnings ratio.
- TRN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 20.13 |
4.2 Price Multiples
- 69.23% of the companies in the same industry are more expensive than TRN, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.98 |
4.3 Compensation for Growth
- A cheap valuation may be justified as TRN's earnings are expected to decrease with -20.93% in the coming years.
PEG (NY)N/A
PEG (5Y)0.2
EPS Next 2Y-20.93%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- TRN has a Yearly Dividend Yield of 3.63%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.18, TRN pays a better dividend. On top of this TRN pays more dividend than 96.15% of the companies listed in the same industry.
- TRN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.63% |
5.2 History
- On average, the dividend of TRN grows each year by 11.90%, which is quite nice.
- TRN has paid a dividend for at least 10 years, which is a reliable track record.
- TRN has decreased its dividend in the last 3 years.
Dividend Growth(5Y)11.9%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- TRN pays out 102.41% of its income as dividend. This is not a sustainable payout ratio.
- TRN's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP102.41%
EPS Next 2Y-20.93%
EPS Next 3YN/A
NYSE:TRN (2/26/2026, 2:31:58 PM)
34.56
+0.07 (+0.2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-12 2026-02-12/bmo
Earnings (Next)04-29 2026-04-29
Inst Owners88.86%
Inst Owner Change1.36%
Ins Owners1.24%
Ins Owner Change0%
Market Cap2.77B
Revenue(TTM)N/A
Net Income(TTM)95.40M
Analysts46.67
Price Target29.07 (-15.89%)
Short Float %3.58%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.63% |
Yearly Dividend1.14
Dividend Growth(5Y)11.9%
DP102.41%
Div Incr Years2
Div Non Decr Years2
Ex-Date01-15 2026-01-15 (0.31)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.37%
Min EPS beat(2)-39.89%
Max EPS beat(2)-4.85%
EPS beat(4)1
Avg EPS beat(4)-13.34%
Min EPS beat(4)-39.89%
Max EPS beat(4)4.36%
EPS beat(8)4
Avg EPS beat(8)14.4%
EPS beat(12)4
Avg EPS beat(12)0.71%
EPS beat(16)5
Avg EPS beat(16)-7.03%
Revenue beat(2)0
Avg Revenue beat(2)-16.07%
Min Revenue beat(2)-16.54%
Max Revenue beat(2)-15.59%
Revenue beat(4)0
Avg Revenue beat(4)-10.25%
Min Revenue beat(4)-16.54%
Max Revenue beat(4)-2.37%
Revenue beat(8)4
Avg Revenue beat(8)-1.04%
Revenue beat(12)7
Avg Revenue beat(12)-0.39%
Revenue beat(16)7
Avg Revenue beat(16)-7.04%
PT rev (1m)9.62%
PT rev (3m)5.56%
EPS NQ rev (1m)52.32%
EPS NQ rev (3m)228.57%
EPS NY rev (1m)32.98%
EPS NY rev (3m)101.61%
Revenue NQ rev (1m)5.85%
Revenue NQ rev (3m)5.85%
Revenue NY rev (1m)1.47%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 20.13 | ||
| P/S | 1.27 | ||
| P/FCF | N/A | ||
| P/OCF | 7.22 | ||
| P/B | 2.77 | ||
| P/tB | 3.55 | ||
| EV/EBITDA | 12.98 |
EPS(TTM)3.11
EY9%
EPS(NY)1.72
Fwd EY4.97%
FCF(TTM)-4.94
FCFYN/A
OCF(TTM)4.79
OCFY13.85%
SpS27.13
BVpS12.48
TBVpS9.72
PEG (NY)N/A
PEG (5Y)0.2
Graham Number29.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 9.53% | ||
| ROCE | 4.34% | ||
| ROIC | 3.72% | ||
| ROICexc | 3.75% | ||
| ROICexgc | 4.04% | ||
| OM | 16.82% | ||
| PM (TTM) | 4.39% | ||
| GM | 26.3% | ||
| FCFM | N/A |
ROA(3y)1.15%
ROA(5y)0.79%
ROE(3y)9.74%
ROE(5y)7.69%
ROIC(3y)3.3%
ROIC(5y)2.93%
ROICexc(3y)3.37%
ROICexc(5y)2.98%
ROICexgc(3y)3.6%
ROICexgc(5y)3.17%
ROCE(3y)3.86%
ROCE(5y)3.42%
ROICexgc growth 3Y33.62%
ROICexgc growth 5Y2.84%
ROICexc growth 3Y32.68%
ROICexc growth 5Y2.96%
OM growth 3Y6.78%
OM growth 5Y2.31%
PM growth 3Y-27.93%
PM growth 5Y-0.11%
GM growth 3Y-2.46%
GM growth 5Y0.39%
F-Score6
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.94 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 8.93 | ||
| Cap/Depr | 260.1% | ||
| Cap/Sales | 35.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 57.66% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 0.81 |
F-Score6
WACC7.83%
ROIC/WACC0.48
Cap/Depr(3y)264.91%
Cap/Depr(5y)254.88%
Cap/Sales(3y)30.68%
Cap/Sales(5y)32.99%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)77.71%
EPS 3Y48.48%
EPS 5Y55.69%
EPS Q2Q%484.62%
EPS Next Y-44.79%
EPS Next 2Y-20.93%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-2.89%
Revenue Next Year4.31%
Revenue Next 2Y6.53%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-18.96%
EBIT growth 3Y35.23%
EBIT growth 5Y2.81%
EBIT Next Year71.87%
EBIT Next 3Y19.13%
EBIT Next 5YN/A
FCF growth 1Y20.69%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y46.03%
OCF growth 3Y-2.11%
OCF growth 5Y7.83%
TRINITY INDUSTRIES INC / TRN FAQ
What is the ChartMill fundamental rating of TRINITY INDUSTRIES INC (TRN) stock?
ChartMill assigns a fundamental rating of 3 / 10 to TRN.
Can you provide the valuation status for TRINITY INDUSTRIES INC?
ChartMill assigns a valuation rating of 4 / 10 to TRINITY INDUSTRIES INC (TRN). This can be considered as Fairly Valued.
Can you provide the profitability details for TRINITY INDUSTRIES INC?
TRINITY INDUSTRIES INC (TRN) has a profitability rating of 4 / 10.
Can you provide the financial health for TRN stock?
The financial health rating of TRINITY INDUSTRIES INC (TRN) is 1 / 10.
How sustainable is the dividend of TRINITY INDUSTRIES INC (TRN) stock?
The dividend rating of TRINITY INDUSTRIES INC (TRN) is 5 / 10 and the dividend payout ratio is 102.41%.