Westinghouse Air Brake Technologies Corporation provides locomotives, equipment, systems, and services for the freight rail and passenger transit industries worldwide. It operates in two segments, Freight and Transit.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS. Shaded region = analyst consensus for the current and next fiscal year (12 analysts).
| Parameter | BaseValue |
|---|---|
Initial Cash Flow | |
| Growth Rate (Yr 1-5) | % |
| Growth Rate (Yr 6-10) | % |
| Terminal Growth Rate | % |
| Discount Rate | % |
Base Case $215.04 Implied EV: $42.60B |
What growth rate is the market pricing in at $291?
The market implies +17.3% Owner Earnings growth, roughly in line with history — reasonably priced.
Standard FCF implies +16.1%, reflecting ongoing growth investment.
Narrow moat with revenue predictability as the key competitive advantage. Improving roic consistency would strengthen the moat.
"Market is optimistic — be cautious and ensure you have a margin of safety"
Price significantly exceeds estimated intrinsic value while market sentiment is euphoric — elevated risk
