Market Cap
US$2.2b
Last Updated
2020/04/09 03:40 UTC
Data Sources
Company Financials +
Executive Summary
GATX Corporation leases, operates, manages, and remarkets assets in the rail and marine markets worldwide.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -14.2% per year for the next 3 years
Snowflake Analysis
Established dividend payer with imperfect balance sheet.
Similar Companies
Share Price & News
How has GATX's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GATX's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
12.6%
GATX
10.2%
US Trade Distributors
8.0%
US Market
1 Year Return
-16.8%
GATX
-21.4%
US Trade Distributors
-8.1%
US Market
Return vs Industry: GATX exceeded the US Trade Distributors industry which returned -23.1% over the past year.
Return vs Market: GATX underperformed the US Market which returned -10% over the past year.
Shareholder returns
| GATX | Industry | Market | |
|---|---|---|---|
| 7 Day | 12.6% | 10.2% | 8.0% |
| 30 Day | -2.5% | -8.6% | -4.5% |
| 90 Day | -20.0% | -29.8% | -17.8% |
| 1 Year | -14.8%-16.8% | -19.9%-21.4% | -6.0%-8.1% |
| 3 Year | 17.2%8.9% | -7.5%-11.8% | 21.3%13.2% |
| 5 Year | 23.9%7.8% | 4.5%-3.2% | 39.1%23.7% |
Price Volatility Vs. Market
How volatile is GATX's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall St
Did Changing Sentiment Drive GATX's (NYSE:GATX) Share Price Down By 28%?2 weeks ago | Simply Wall St
Does GATX Corporation (NYSE:GATX) Have A Particularly Volatile Share Price?3 weeks ago | Simply Wall St
How Does GATX's (NYSE:GATX) P/E Compare To Its Industry, After The Share Price Drop?Valuation
Is GATX undervalued compared to its fair value and its price relative to the market?
10.88x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: GATX ($64.45) is trading above our estimate of fair value ($26.6)
Significantly Below Fair Value: GATX is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: GATX is poor value based on its PE Ratio (10.9x) compared to the Trade Distributors industry average (10.8x).
PE vs Market: GATX is good value based on its PE Ratio (10.9x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: GATX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: GATX is overvalued based on its PB Ratio (1.2x) compared to the US Trade Distributors industry average (0.9x).
Next Steps
Future Growth
How is GATX forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
-14.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GATX's earnings are forecast to decline over the next 3 years (-14.2% per year).
Earnings vs Market: GATX's earnings are forecast to decline over the next 3 years (-14.2% per year).
High Growth Earnings: GATX's earnings are forecast to decline over the next 3 years.
Revenue vs Market: GATX's revenue is expected to decline over the next 3 years (-0.6% per year).
High Growth Revenue: GATX's revenue is forecast to decline over the next 3 years (-0.6% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GATX's Return on Equity is forecast to be low in 3 years time (8.9%).
Next Steps
Past Performance
How has GATX performed over the past 5 years?
6.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GATX has a large one-off gain of $62.1M impacting its December 31 2019 financial results.
Growing Profit Margin: GATX's current net profit margins (15.2%) are lower than last year (15.5%).
Past Earnings Growth Analysis
Earnings Trend: GATX's earnings have grown by 6.3% per year over the past 5 years.
Accelerating Growth: GATX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GATX had negative earnings growth (-0.05%) over the past year, making it difficult to compare to the Trade Distributors industry average (5.1%).
Return on Equity
High ROE: GATX's Return on Equity (11.5%) is considered low.
Next Steps
Financial Health
How is GATX's financial position?
Financial Position Analysis
Short Term Liabilities: GATX's short term assets ($424.5M) exceed its short term liabilities ($253.4M).
Long Term Liabilities: GATX's short term assets ($424.5M) do not cover its long term liabilities ($6.2B).
Debt to Equity History and Analysis
Debt Level: GATX's debt to equity ratio (261.4%) is considered high.
Reducing Debt: GATX's debt to equity ratio has reduced from 324.2% to 261.4% over the past 5 years.
Debt Coverage: GATX's debt is not well covered by operating cash flow (9.6%).
Interest Coverage: GATX's interest payments on its debt are not well covered by EBIT (1.7x coverage).
Balance Sheet
Next Steps
Dividend
What is GATX's current dividend yield, its reliability and sustainability?
2.98%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GATX's dividend (2.98%) is higher than the bottom 25% of dividend payers in the US market (1.93%).
High Dividend: GATX's dividend (2.98%) is low compared to the top 25% of dividend payers in the US market (5.46%).
Stability and Growth of Payments
Stable Dividend: GATX's dividends per share have been stable in the past 10 years.
Growing Dividend: GATX's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (31.1%), GATX's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: GATX's dividends in 3 years are forecast to be well covered by earnings (38.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.3yrs
Average management tenure
CEO
Brian Kenney (60yo)
15s
Tenure
US$7,663,128
Compensation
Mr. Brian A. Kenney has been the Chairman of the Board, President and Chief Executive Officer at GATX Corp. since October 12, 2005, October 2004 and April 22, 2005 respectively. Mr. Kenney served as the Ch ...
CEO Compensation Analysis
Compensation vs Market: Brian's total compensation ($USD7.66M) is above average for companies of similar size in the US market ($USD4.67M).
Compensation vs Earnings: Brian's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 15yrs | US$7.66m | 0.54% $12.1m | |
| Executive VP & CFO | 1.67yrs | US$2.72m | 0.12% $2.7m | |
| Executive VP | 14.25yrs | US$1.96m | 0.097% $2.2m | |
| Executive VP & President of Rail North America | no data | US$2.92m | 0.16% $3.5m | |
| Senior VP & COO of Rail North America | 6.83yrs | US$1.72m | 0.039% $867.3k | |
| Senior VP | 0.25yr | no data | 0.0039% $88.6k | |
| Senior VP & Chief Information Officer | 4.25yrs | no data | 0.019% $437.9k | |
| Director of Investor Relations | 0.42yr | no data | no data | |
| Executive VP & Chief Human Resources Officer | 5.33yrs | no data | 0.014% $323.3k | |
| Senior Vice President | 13.25yrs | US$330.52k | no data |
5.3yrs
Average Tenure
55yo
Average Age
Experienced Management: GATX's management team is seasoned and experienced (5.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 15yrs | US$7.66m | 0.54% $12.1m | |
| Lead Director | 3.25yrs | US$230.00k | 0.014% $321.7k | |
| Independent Director | 13yrs | US$205.00k | no data | |
| Independent Director | 12.75yrs | US$220.00k | 0.029% $643.6k | |
| Independent Director | 7.75yrs | US$215.00k | 0.0061% $137.1k | |
| Independent Director | 3.5yrs | US$205.00k | no data | |
| Independent Director | 8.75yrs | US$205.00k | 0.0057% $128.8k | |
| Independent Director | 11.25yrs | US$225.00k | 0.00090% $20.2k | |
| Independent Director | 5.5yrs | US$205.00k | 0.011% $257.4k | |
| Independent Director | 0.58yr | US$66.63k | no data |
8.3yrs
Average Tenure
64yo
Average Age
Experienced Board: GATX's board of directors are considered experienced (8.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GATX insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
GATX Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: GATX Corporation
- Ticker: GATX
- Exchange: NYSE
- Founded: 1898
- Industry: Trading Companies and Distributors
- Sector: Capital Goods
- Market Cap: US$2.248b
- Shares outstanding: 34.93m
- Website: https://www.gatx.com
Number of Employees
Location
- GATX Corporation
- 233 South Wacker Drive
- Chicago
- Illinois
- 60606-7147
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| GATX | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| GAX | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| GAX | BRSE (Berne Stock Exchange) | Yes | Common Stock | CH | CHF | Jan 1968 |
Biography
GATX Corporation leases, operates, manages, and remarkets assets in the rail and marine markets worldwide. The company operates through four segments: Rail North America, Rail International, Portfolio Management, and American Steamship Company (ASC). It leases tank and freight railcars, and locomotives for petroleum, chemical, food/agriculture, and transportation industries. The company also offers services, including the interior cleaning of railcars, the routine maintenance and repair of car body and safety appliances, regulatory compliance works, wheelset replacements, interior blast and lining operations, exterior blast and painting, and car stenciling. In addition, it leases aircraft spare engines and liquefied gas-carrying vessels, as well as manages portfolios of assets for third parties. Further, the company operates a fleet of vessels that provide waterborne transportation of dry bulk commodities, such as iron ore, coal, limestone aggregates, and metallurgical limestone for the steel making, automobile manufacturing, electricity generation, and non-residential construction markets. As of December 31, 2019, it operated a fleet of approximately 147,000 railcars; 601 four-axle and 28 six-axle locomotives; and 11 vessels. GATX Corporation was founded in 1898 and is headquartered in Chicago, Illinois.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/09 03:40 |
| End of Day Share Price | 2020/04/08 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.