Railcar products and services provider Trinity (NYSE:TRN) will be reporting results this Thursday before the bell. Here’s what to expect.
Trinity missed analysts’ revenue expectations by 5.6% last quarter, reporting revenues of $585.4 million, down 27.7% year on year. It was a slower quarter for the company, with a significant miss of analysts’ EPS estimates and a slight miss of analysts’ EBITDA estimates.
Is Trinity a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Trinity’s revenue to decline 30.6% year on year to $583.5 million, a reversal from the 16.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.28 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Trinity has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Trinity’s peers in the heavy transportation equipment segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Greenbrier delivered year-on-year revenue growth of 2.7%, beating analysts’ expectations by 7.3%, and PACCAR reported a revenue decline of 15.7%, topping estimates by 2.6%. Greenbrier traded up 21.1% following the results while PACCAR was also up 8.9%.
Read our full analysis of Greenbrier’s results here and PACCAR’s results here.
There has been positive sentiment among investors in the heavy transportation equipment segment, with share prices up 5.5% on average over the last month. Trinity is down 7.4% during the same time and is heading into earnings with an average analyst price target of $27.50 (compared to the current share price of $25).
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