Susquehanna Lowers Trinity Industries (NYSE:TRN) Price Target to $24.00

Key Points

• Susquehanna has lowered its price target for Trinity Industries from $26.00 to $24.00, indicating a potential downside of 8.78% based on the stock’s previous close and maintaining a "neutral" rating.
• Goldman Sachs has also reduced their target price for Trinity Industries from $36.00 to $31.00, further reaffirming a "neutral" rating for the transportation company.
• Trinity Industries reported earnings per share of $0.29, missing analyst expectations of $0.33, with quarterly revenues down 27.7% year-over-year at $585.40 million.

Trinity Industries (NYSE:TRN - Free Report) had its price objective reduced by Susquehanna from $26.00 to $24.00 in a research note released on Tuesday,Benzinga reports. Susquehanna currently has a neutral rating on the transportation company's stock.

Separately, The Goldman Sachs Group reduced their price target on Trinity Industries from $36.00 to $31.00 and set a "neutral" rating for the company in a research report on Thursday, April 17th.

Trinity Industries Stock Performance

NYSE:TRN traded up $0.83 during trading hours on Tuesday, reaching $24.13. The stock had a trading volume of 1,308,450 shares, compared to its average volume of 655,709. The company has a debt-to-equity ratio of 4.66, a quick ratio of 0.87 and a current ratio of 1.96. The stock has a 50 day simple moving average of $26.52 and a 200 day simple moving average of $28.78. Trinity Industries has a 12-month low of $22.38 and a 12-month high of $39.83. The stock has a market cap of $1.97 billion, a P/E ratio of 21.17 and a beta of 1.49.

Trinity Industries (NYSE:TRN - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The transportation company reported $0.19 earnings per share for the quarter, missing the consensus estimate of $0.31 by ($0.12). The company had revenue of $506.20 million during the quarter, compared to analysts' expectations of $589.96 million. Trinity Industries had a net margin of 3.83% and a return on equity of 8.49%. Trinity Industries's revenue for the quarter was down 39.8% compared to the same quarter last year. During the same quarter last year, the firm posted $0.66 earnings per share. On average, research analysts forecast that Trinity Industries will post 1.65 EPS for the current fiscal year.

Trinity Industries Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Investors of record on Tuesday, July 15th were paid a dividend of $0.30 per share. The ex-dividend date of this dividend was Tuesday, July 15th. This represents a $1.20 annualized dividend and a yield of 5.0%. Trinity Industries's dividend payout ratio (DPR) is currently 74.07%.

Institutional Investors Weigh In On Trinity Industries

Several hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. lifted its stake in Trinity Industries by 1.3% during the fourth quarter. Vanguard Group Inc. now owns 10,099,602 shares of the transportation company's stock worth $354,496,000 after purchasing an additional 126,139 shares during the last quarter. Capital International Investors lifted its stake in Trinity Industries by 1.1% during the fourth quarter. Capital International Investors now owns 5,450,669 shares of the transportation company's stock worth $191,388,000 after purchasing an additional 61,901 shares during the last quarter. Jennison Associates LLC lifted its stake in Trinity Industries by 1.9% during the second quarter. Jennison Associates LLC now owns 3,731,145 shares of the transportation company's stock worth $100,778,000 after purchasing an additional 69,751 shares during the last quarter. American Century Companies Inc. lifted its stake in Trinity Industries by 15.9% during the first quarter. American Century Companies Inc. now owns 2,534,417 shares of the transportation company's stock worth $71,116,000 after purchasing an additional 347,051 shares during the last quarter. Finally, Encompass Capital Advisors LLC lifted its stake in Trinity Industries by 16.7% during the fourth quarter. Encompass Capital Advisors LLC now owns 1,992,281 shares of the transportation company's stock worth $69,929,000 after purchasing an additional 285,237 shares during the last quarter. Institutional investors own 86.57% of the company's stock.

Trinity Industries Company Profile

Trinity Industries, Inc provides rail transportation products and services under the TrinityRail name in North America. It operates in two segments, Railcar Leasing and Management Services Group, and Rail Products Group. The Railcar Leasing and Management Services Group segment leases freight and tank railcars; originates and manages railcar leases for third-party investors; and provides fleet maintenance and management services.