How Does This Rail Supplier Operate?
Westinghouse Air Brake Technologies Corp makes equipment and systems used in rail transportation. The company sells products and services tied to locomotives, freight cars, and related rail operations. Its business is built around supplying hardware alongside ongoing support and aftermarket activity. Wabtec operates at large industrial scale, with a market value around USD 43.3 billion.
Are Margins and Cash Flow Holding Up?
FundamentalsFor 2025, reported in USD, revenue reached about USD 11.17 billion, with EBIT of roughly USD 1.79 billion and net income of about USD 1.18 billion. Revenue grew 7.5% year over year, while trailing margins were 34.58% gross, 15.96% operating, and 10.52% net.
Reinvestment demands were light in the latest period: depreciation and amortization totaled about USD 501 million, and capital expenditure was around USD 2 million, producing a cash-flow proxy of about USD 1.88 billion. Total debt stood at roughly USD 2.5 billion.
Is The Market Overpaying For Growth?
DCF / MultiplesAt USD 256.41, the stock sits above the DCF range that runs from about USD 110 in a weaker outcome through roughly USD 175 centrally to around USD 249 in a stronger outcome. The pricing also aligns with a 35.42 trailing P/E and 22.64 EV/EBITDA.
High Expectations Require Consistency
TakeawayThe price assumes reinvestment keeps compounding without friction. Cash generation needs to stay strong as the business scales. Margins have to hold while revenue keeps expanding. If growth cools, the valuation has little tolerance. Debt is manageable only if cash stays consistent.