Wabtec beats Q1 profit estimates, raises 2026 outlook

Westinghouse Air Brake Technologies

22/04/2026 11:42

Overview

U.S. rail equipment provider's Q1 sales rose 13% yr/yr, slightly missing analyst expectations

Adjusted EPS for Q1 increased 18.9%, beating analyst expectations

Company raised full-year adjusted EPS guidance and repurchased $242 mln of shares

Outlook

Wabtec raises 2026 adjusted EPS guidance to $10.25-$10.65, up $0.20 at midpoint

Company maintains 2026 revenue guidance at $12.19 bln to $12.49 bln

Wabtec says strong backlog and pipeline provide visibility for 2026

Result Drivers

FREIGHT SEGMENT GROWTH - Higher sales in Freight segment driven by increased locomotive deliveries and acquisitions, while Services sales declined as expected

TRANSIT SEGMENT GROWTH - Transit segment sales rose on acquisition of Dellner, higher OE and aftermarket sales, and favorable foreign currency exchange

MARGIN IMPACTS - Operating margins benefited from gross margin improvements but were partially offset by higher operating expenses and charges related to restructuring and acquisitions

Company press release: ID:nBw8zsXm6a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Slight Miss*
$2.95 bln
$2.96 bln (8 Analysts)
Q1 Adjusted EPS
Beat
$2.71
$2.51 (9 Analysts)
Q1 EPS
$2.12
Q1 Adjusted Gross Margin
36.90%


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"

Wall Street's median 12-month price target for Westinghouse Air Brake Technologies Corp is $293.00, about 13.7% above its April 21 closing price of $257.63

The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 21 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)