GATX (NYSE:GATX) Sees Large Volume Increase - Still a Buy?

Key Points

• GATX shares experienced a trading volume increase, with 177,941 shares traded, marking a rise from 175,550 shares in the previous session.
• Analysts have given GATX a consensus rating of "Moderate Buy" with a price target of $177.67, following a positive report from Susquehanna setting a price objective of $190.00.
• The company announced a quarterly dividend of $0.61 per share, reflecting an annualized yield of 1.4%, with a dividend payout ratio of 27.92%.

GATX Corporation (NYSE:GATX - Get Free Report) saw an uptick in trading volume on Thursday . 177,941 shares changed hands during trading, an increase of 1% from the previous session's volume of 175,550 shares.The stock last traded at $173.70 and had previously closed at $169.13.

Wall Street Analyst Weigh In

Separately, Susquehanna set a $190.00 price objective on shares of GATX and gave the company a "positive" rating in a research report on Monday, August 18th. Two investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $177.67.

GATX Trading Down 0.4%

The company has a current ratio of 2.93, a quick ratio of 2.93 and a debt-to-equity ratio of 3.27. The company has a market capitalization of $6.12 billion, a price-to-earnings ratio of 19.68 and a beta of 1.18. The firm has a 50-day moving average price of $160.53 and a 200-day moving average price of $154.65.

GATX (NYSE:GATX - Get Free Report) last issued its earnings results on Tuesday, July 29th. The transportation company reported $2.06 earnings per share for the quarter, beating analysts' consensus estimates of $1.95 by $0.11. GATX had a return on equity of 12.52% and a net margin of 19.13%.The company had revenue of $430.50 million for the quarter, compared to the consensus estimate of $425.52 million. GATX has set its FY 2025 guidance at 8.500-8.900 EPS. As a group, sell-side analysts predict that GATX Corporation will post 8.5 EPS for the current year.

GATX Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Monday, September 15th will be issued a dividend of $0.61 per share. The ex-dividend date of this dividend is Monday, September 15th. This represents a $2.44 dividend on an annualized basis and a dividend yield of 1.4%. GATX's dividend payout ratio (DPR) is presently 27.92%.

Insiders Place Their Bets

In related news, VP Geoffrey Phillips sold 2,100 shares of the stock in a transaction that occurred on Thursday, August 28th. The stock was sold at an average price of $168.74, for a total transaction of $354,354.00. Following the completion of the sale, the vice president directly owned 6,740 shares of the company's stock, valued at approximately $1,137,307.60. This represents a 23.76% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Robert C. Lyons sold 12,635 shares of the stock in a transaction that occurred on Wednesday, September 3rd. The shares were sold at an average price of $166.33, for a total value of $2,101,579.55. Following the transaction, the chief executive officer directly owned 50,575 shares of the company's stock, valued at $8,412,139.75. This trade represents a 19.99% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 17,914 shares of company stock valued at $2,953,509. 2.17% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On GATX

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Principal Financial Group Inc. raised its stake in GATX by 0.9% in the first quarter. Principal Financial Group Inc. now owns 82,389 shares of the transportation company's stock valued at $12,793,000 after purchasing an additional 767 shares in the last quarter. Wealth Enhancement Advisory Services LLC raised its stake in GATX by 3.9% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 3,356 shares of the transportation company's stock valued at $521,000 after purchasing an additional 126 shares in the last quarter. Teacher Retirement System of Texas raised its stake in GATX by 29.4% in the first quarter. Teacher Retirement System of Texas now owns 8,796 shares of the transportation company's stock valued at $1,366,000 after purchasing an additional 1,997 shares in the last quarter. Janney Montgomery Scott LLC grew its position in GATX by 6.1% in the first quarter. Janney Montgomery Scott LLC now owns 2,523 shares of the transportation company's stock valued at $392,000 after acquiring an additional 146 shares during the last quarter. Finally, GAMMA Investing LLC grew its position in GATX by 337.8% in the first quarter. GAMMA Investing LLC now owns 2,294 shares of the transportation company's stock valued at $356,000 after acquiring an additional 1,770 shares during the last quarter. Institutional investors and hedge funds own 93.14% of the company's stock.

GATX Company Profile

GATX Corporation, together its subsidiaries, operates as railcar leasing company in the United States, Canada, Mexico, Europe, and India. It operates through three segments: Rail North America, Rail International, and Portfolio Management. The company leases tank and freight railcars, and locomotives for petroleum, chemical, food/agriculture, and transportation industries.