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GATX

NYSE:GATX
Snowflake Description

Established dividend payer and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
GATX
NYSE
$3B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

GATX Corporation leases, operates, manages, and remarkets assets in the rail and marine markets worldwide. The last earnings update was 50 days ago. More info.


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GATX Share Price and Events
7 Day Returns
2.9%
NYSE:GATX
1.3%
US Trade Distributors
0.4%
US Market
1 Year Returns
14.3%
NYSE:GATX
-3.5%
US Trade Distributors
6.8%
US Market
GATX Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
GATX (GATX) 2.9% 3.7% 9.8% 14.3% 58.7% 14.5%
US Trade Distributors 1.3% 5.7% 10% -3.5% 32.3% 16.1%
US Market 0.4% 2.6% 11% 6.8% 38.1% 45.7%
1 Year Return vs Industry and Market
  • GATX outperformed the Trade Distributors industry which returned -3.5% over the past year.
  • GATX outperformed the Market in United States of America which returned 6.8% over the past year.
Price Volatility
GATX
Industry
5yr Volatility vs Market

GATX Value

 Is GATX undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of GATX to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for GATX.

NYSE:GATX Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 13.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:GATX
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.93
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.93 (1 + (1- 21%) (160.12%))
1.741
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.74
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.741 * 5.96%)
13.11%

Discounted Cash Flow Calculation for NYSE:GATX using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for GATX is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:GATX DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 13.11%)
2019 89.80 Analyst x2 79.39
2020 85.60 Analyst x2 66.91
2021 83.44 Est @ -2.53% 57.66
2022 82.65 Est @ -0.95% 50.50
2023 82.77 Est @ 0.15% 44.71
2024 83.54 Est @ 0.93% 39.90
2025 84.77 Est @ 1.47% 35.79
2026 86.33 Est @ 1.85% 32.23
2027 88.15 Est @ 2.11% 29.10
2028 90.18 Est @ 2.3% 26.32
Present value of next 10 years cash flows $462.52
NYSE:GATX DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $90.18 × (1 + 2.73%) ÷ (13.11% – 2.73%)
$892.79
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $892.79 ÷ (1 + 13.11%)10
$260.54
NYSE:GATX Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $462.52 + $260.54
$723.06
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $723.06 / 36.45
$19.84
NYSE:GATX Discount to Share Price
Calculation Result
Value per share (USD) From above. $19.84
Current discount Discount to share price of $78.12
= -1 x ($78.12 - $19.84) / $19.84
-293.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of GATX is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for GATX's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are GATX's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:GATX PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $5.62
NYSE:GATX Share Price ** NYSE (2019-04-16) in USD $78.12
United States of America Trade Distributors Industry PE Ratio Median Figure of 41 Publicly-Listed Trade Distributors Companies 15.54x
United States of America Market PE Ratio Median Figure of 3,072 Publicly-Listed Companies 18.08x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of GATX.

NYSE:GATX PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:GATX Share Price ÷ EPS (both in USD)

= 78.12 ÷ 5.62

13.9x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • GATX is good value based on earnings compared to the US Trade Distributors industry average.
  • GATX is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does GATX's expected growth come at a high price?
Raw Data
NYSE:GATX PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13.9x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
-6.1%per year
United States of America Trade Distributors Industry PEG Ratio Median Figure of 33 Publicly-Listed Trade Distributors Companies 1.28x
United States of America Market PEG Ratio Median Figure of 2,107 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

NYSE:GATX PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 13.9x ÷ -6.1%

-2.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • GATX earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on GATX's assets?
Raw Data
NYSE:GATX PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $48.84
NYSE:GATX Share Price * NYSE (2019-04-16) in USD $78.12
United States of America Trade Distributors Industry PB Ratio Median Figure of 53 Publicly-Listed Trade Distributors Companies 1.55x
United States of America Market PB Ratio Median Figure of 5,176 Publicly-Listed Companies 1.91x
NYSE:GATX PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:GATX Share Price ÷ Book Value per Share (both in USD)

= 78.12 ÷ 48.84

1.6x

* Primary Listing of GATX.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • GATX is overvalued based on assets compared to the US Trade Distributors industry average.
X
Value checks
We assess GATX's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Trade Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Trade Distributors industry average (and greater than 0)? (1 check)
  5. GATX has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

GATX Future Performance

 How is GATX expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-6.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is GATX expected to grow at an attractive rate?
  • GATX's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • GATX's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • GATX's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:GATX Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:GATX Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts -6.1%
NYSE:GATX Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 1.7%
United States of America Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 13%
United States of America Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 6.1%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:GATX Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:GATX Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 1,408 494 185 5
2019-12-31 1,382 499 184 6
NYSE:GATX Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 1,361 509 211
2018-09-30 1,357 520 504
2018-06-30 1,367 480 506
2018-03-31 1,366 522 521
2017-12-31 1,369 497 502
2017-09-30 1,378 512 191
2017-06-30 1,382 612 238
2017-03-31 1,392 601 245
2016-12-31 1,408 629 257
2016-09-30 1,425 658 284
2016-06-30 1,448 584 228
2016-03-31 1,455 558 212

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • GATX's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • GATX's revenue is expected to grow by 1.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:GATX Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from GATX Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GATX Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 5.19 5.38 4.90 5.00
2019-12-31 4.99 5.02 4.95 5.00
NYSE:GATX Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 5.62
2018-09-30 13.30
2018-06-30 13.29
2018-03-31 13.55
2017-12-31 12.94
2017-09-30 4.86
2017-06-30 6.01
2017-03-31 6.14
2016-12-31 6.35
2016-09-30 6.94
2016-06-30 5.47
2016-03-31 5.00

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • GATX is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess GATX's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
GATX has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

GATX Past Performance

  How has GATX performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare GATX's growth in the last year to its industry (Trade Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • GATX's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • GATX's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • GATX's 1-year earnings growth is negative, it can't be compared to the US Trade Distributors industry average.
Earnings and Revenue History
GATX's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from GATX Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:GATX Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 1,360.90 211.30 191.10
2018-09-30 1,357.30 504.20 191.30
2018-06-30 1,367.20 506.20 187.30
2018-03-31 1,366.10 520.80 183.70
2017-12-31 1,369.10 502.00 180.00
2017-09-30 1,378.40 190.80 174.30
2017-06-30 1,381.70 237.50 174.20
2017-03-31 1,392.20 245.30 172.50
2016-12-31 1,408.30 257.10 169.00
2016-09-30 1,424.90 284.40 170.80
2016-06-30 1,448.20 228.20 172.80
2016-03-31 1,454.60 212.40 176.50
2015-12-31 1,449.90 205.30 183.40
2015-09-30 1,472.60 205.60 190.50
2015-06-30 1,483.60 217.40 191.90
2015-03-31 1,484.10 225.10 192.20
2014-12-31 1,451.00 205.00 189.20
2014-09-30 1,406.20 199.80 181.90
2014-06-30 1,362.20 202.30 178.10
2014-03-31 1,335.30 184.30 179.00
2013-12-31 1,321.00 169.30 178.30
2013-09-30 1,296.10 145.70 174.40
2013-06-30 1,274.80 145.70 171.00
2013-03-31 1,259.00 134.10 164.10
2012-12-31 1,243.20 137.30 160.20
2012-09-30 1,185.40 139.20 158.60
2012-06-30 1,191.40 118.30 158.50

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • GATX has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • GATX used its assets less efficiently than the US Trade Distributors industry average last year based on Return on Assets.
  • GATX's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess GATX's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Trade Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
GATX has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

GATX Health

 How is GATX's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up GATX's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • GATX is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • GATX's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of GATX's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from GATX Company Filings, last reported 3 months ago.

NYSE:GATX Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 1,788.10 4,559.50 100.20
2018-09-30 1,838.00 4,408.90 254.50
2018-06-30 1,817.60 4,414.10 237.40
2018-03-31 1,839.70 4,376.10 233.10
2017-12-31 1,792.70 4,393.20 297.70
2017-09-30 1,470.20 4,295.20 199.20
2017-06-30 1,443.00 4,290.00 284.30
2017-03-31 1,385.20 4,267.40 155.20
2016-12-31 1,347.20 4,272.00 310.40
2016-09-30 1,371.50 4,224.60 211.50
2016-06-30 1,308.50 4,346.20 177.60
2016-03-31 1,305.30 4,343.80 216.20
2015-12-31 1,280.20 4,205.40 204.20
2015-09-30 1,269.00 4,302.10 116.00
2015-06-30 1,285.40 4,228.40 58.60
2015-03-31 1,282.50 4,465.30 351.40
2014-12-31 1,314.00 4,262.50 211.70
2014-09-30 1,331.20 4,170.70 59.40
2014-06-30 1,374.40 4,205.80 110.30
2014-03-31 1,423.20 4,429.20 447.00
2013-12-31 1,397.00 3,872.00 385.70
2013-09-30 1,312.10 3,753.90 150.70
2013-06-30 1,219.10 3,677.30 96.70
2013-03-31 1,223.50 3,742.70 321.10
2012-12-31 1,244.20 3,569.20 244.40
2012-09-30 1,225.40 3,709.40 430.60
2012-06-30 1,170.70 3,579.30 227.70
  • GATX's level of debt (255%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (277.6% vs 255% today).
  • Debt is not well covered by operating cash flow (11.2%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 1.9x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess GATX's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. GATX has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

GATX Dividends

 What is GATX's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.36%
Current annual income from GATX dividends. Estimated to be 2.43% next year.
If you bought $2,000 of GATX shares you are expected to receive $47 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • GATX's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.41%).
  • GATX's dividend is below the markets top 25% of dividend payers in United States of America (3.63%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:GATX Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
United States of America Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 2.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2008 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:GATX Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 1.94 1.00
2019-12-31 1.85 1.00
NYSE:GATX Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-01-25 1.840 2.413
2018-10-26 1.760 2.343
2018-07-27 1.760 2.101
2018-05-01 1.760 2.387
2018-01-26 1.760 2.560
2017-10-27 1.680 2.722
2017-07-28 1.680 2.737
2017-05-05 1.680 2.718
2017-01-27 1.680 2.831
2016-10-28 1.600 2.886
2016-07-29 1.600 3.653
2016-04-22 1.600 3.535
2016-01-29 1.600 3.536
2015-10-30 1.520 3.618
2015-07-31 1.520 3.184
2015-04-24 1.520 2.779
2015-02-02 1.520 2.553
2014-10-31 1.320 2.263
2014-07-24 1.320 2.134
2014-04-25 1.320 2.024
2014-01-23 1.320 2.077
2013-10-25 1.240 2.411
2013-07-19 1.240 2.658
2013-04-26 1.240 2.527
2013-01-25 1.240 2.474
2012-10-19 1.200 2.793
2012-07-20 1.200 2.822
2012-04-27 1.200 3.080
2012-01-27 1.200 2.817
2012-01-19 1.160 2.676
2011-07-22 1.160 3.126
2011-04-25 1.160 3.024
2011-01-28 1.160 3.185
2010-10-22 1.120 3.324
2010-07-23 1.120 3.887
2010-04-23 1.120 3.859
2010-01-29 1.120 3.903
2009-10-23 1.120 3.900
2009-07-24 1.120 4.082
2009-04-24 1.120 4.329
2009-04-17 1.120 4.636

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of GATX's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess GATX's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can GATX afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. GATX has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

GATX Management

 What is the CEO of GATX's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Brian Kenney
COMPENSATION $5,792,282
AGE 59
TENURE AS CEO 14 years
CEO Bio

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 Chairman of the Board President, Chief Executive Officer and Assistant Secretary of GATX Financial Corp. Mr. Kenney served as the Chief Financial Officer of GATX Corp. from 1999 to November 12, 2004 and its Senior Vice President from 2002 to October 2004. He served as a Vice President of GATX from 1997 to 2002, Vice President of Finance from 1998 to 2002, Treasurer from 1997 to 1998 and from 1995 to 1996. He held various consulting roles at Boston Consulting Group from 1978 to 1985. He has been an Independent Director at USG Corporation since February 9, 2011. He has been a Director of GATX Corp. since October 19, 2004. He serves as a Member of the Board of Trustees of the John G. Shedd Aquarium in Chicago. He also serves on the Advisory Board of the Kellogg Institute of International Studies at the University of Notre Dame. Mr. Kenney served as a Director at GATX Financial Corp. He holds BBA degree from University of Notre Dame and MBA from University of Michigan in Finance.

CEO Compensation
  • Brian's compensation has been consistent with company performance over the past year.
  • Brian's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the GATX management team in years:

5.8
Average Tenure
58
Average Age
  • The average tenure for the GATX management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Brian Kenney

TITLE
Chairman
COMPENSATION
$6M
AGE
59
TENURE
14 yrs

Thomas Ellman

TITLE
Executive VP & CFO
COMPENSATION
$2M
AGE
49
TENURE
0.7 yrs

Deb Golden

TITLE
Executive VP
COMPENSATION
$1M
AGE
63
TENURE
13.3 yrs

Robert Lyons

TITLE
Executive VP & President of Rail North America
COMPENSATION
$2M
AGE
54
TENURE
0.7 yrs

Paul Titterton

TITLE
Senior VP & COO of Rail North America
COMPENSATION
$1M
AGE
42
TENURE
5.8 yrs

William Muckian

TITLE
Senior VP
AGE
58
TENURE
19.3 yrs

Niyi Adedoyin

TITLE
Senior VP & Chief Information Officer
AGE
50
TENURE
3.3 yrs

Jennifer McManus

TITLE
Director of Investor Relations

Jim Conniff

TITLE
Executive VP & Chief Human Resources Officer
AGE
60
TENURE
4.3 yrs

William Hasek

TITLE
Senior Vice President
COMPENSATION
$331K
AGE
62
TENURE
12.3 yrs
Board of Directors Tenure

Average tenure and age of the GATX board of directors in years:

9
Average Tenure
66.5
Average Age
  • The tenure for the GATX board of directors is about average.
Board of Directors

Brian Kenney

TITLE
Chairman
COMPENSATION
$6M
AGE
59
TENURE
13.5 yrs

Dave Sutherland

TITLE
Director
COMPENSATION
$210K
AGE
69
TENURE
11.8 yrs

Anne Arvia

TITLE
Director
COMPENSATION
$213K
AGE
54
TENURE
10.3 yrs

Paul Yovovich

TITLE
Director
COMPENSATION
$205K
AGE
64
TENURE
6.8 yrs

Jim Ream

TITLE
Lead Director
COMPENSATION
$215K
AGE
62
TENURE
2.3 yrs

Casey Sylla

TITLE
Director
COMPENSATION
$195K
AGE
75
TENURE
14.3 yrs

Ernst Häberli

TITLE
Director
COMPENSATION
$195K
AGE
69
TENURE
12 yrs

Rob Ritchie

TITLE
Director
COMPENSATION
$195K
AGE
73
TENURE
7.8 yrs

Steve Wilson

TITLE
Director
COMPENSATION
$195K
AGE
69
TENURE
4.5 yrs

Diane Aigotti

TITLE
Director
COMPENSATION
$195K
AGE
53
TENURE
2.5 yrs
Who owns this company?
Recent Insider Trading
  • GATX insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
04. Feb 19 Sell Robert Zmudka Individual 31. Jan 19 31. Jan 19 -1,526 $76.61 $-116,905
27. Nov 18 Sell GAMCO Investors, Inc. Company 28. Sep 18 26. Nov 18 -75,600 $88.99 $-479,258
27. Nov 18 Buy GAMCO Investors, Inc. Company 03. Oct 18 20. Nov 18 664 $87.48 $0
20. Aug 18 Sell Michael Brooks Individual 16. Aug 18 16. Aug 18 -5,695 $81.78 $-465,723
09. Aug 18 Sell William Muckian Individual 08. Aug 18 08. Aug 18 -2,500 $84.94 $-212,350
X
Management checks
We assess GATX's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. GATX has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

GATX News

Simply Wall St News

Read This Before You Buy GATX Corporation (NYSE:GATX) Because Of Its P/E Ratio

We'll apply a basic P/E ratio analysis to GATX Corporation's (NYSE:GATX), to help you decide if the stock is worth further research. … Based on the last twelve months, GATX's P/E ratio is 13.51. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Should You Think About Buying GATX Corporation (NYSE:GATX) Now?

received a lot of attention from a substantial price movement on the NYSE over the last few months, increasing to $79.5 at one point, and dropping to the lows of $67.99. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … A question to answer is whether GATX's current trading price of $71.95 reflective of the actual value of the?

Simply Wall St -

Update: GATX (NYSE:GATX) Stock Gained 64% In The Last Three Years

For example, the GATX Corporation (NYSE:GATX) share price is up 64% in the last three years, clearly besting than the market return of around 39% (not including dividends). … During three years of share price growth, GATX achieved compound earnings per share growth of 5.7% per year. … In comparison, the 18% per year gain in the share price outpaces the EPS growth.

Simply Wall St -

GATX Corporation (NYSE:GATX) Will Pay US$0.46 In Dividends

To qualify for the dividend check of US$0.46 per share, investors must have owned the shares prior to 01 March 2019, which is the last day the company's management will finalize their list of shareholders to which they will send dividend payments. … Below, I will explain how holding GATX can impact your portfolio income stream, by analysing the stock's most recent financial data and dividend attributes. … Will the company be able to keep paying dividend based on the future earnings growth

Simply Wall St -

Shareholders Should Look Hard At GATX Corporation’s (NYSE:GATX) 4.3% Return On Capital

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Is GATX Corporation's (NYSE:GATX) CEO Paid At A Competitive Rate?

Brian Kenney has been the CEO of GATX Corporation (NYSE:GATX) since 2005. … First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Brian Kenney's Compensation Compare With Similar Sized Companies?

Simply Wall St -

Have Insiders Been Selling GATX Corporation (NYSE:GATX) Shares?

So before you buy or sell GATX Corporation (NYSE:GATX), you may well want to know whether insiders have been buying or selling. … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Over the last year we saw more insider selling of GATX shares, than buying

Simply Wall St -

Is GATX Corporation's (NYSE:GATX) 27% Better Than Average?

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Another way to think of that is that for every $1 worth of equity in the company, it was able to earn $0.27. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Do You Like GATX Corporation (NYSE:GATX) At This P/E Ratio?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … How Do I Calculate A Price To Earnings Ratio … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

What Should Investors Know About GATX Corporation's (NYSE:GATX) Capital Returns?

This share represents a portion of capital used by the company to operate the business, and it is important the company is able to use the capital base efficiently to create adequate cash flows for you as an investor. … Therefore, looking at how efficiently GATX is able to use capital to create earnings will help us understand your potential return. … Investors use many different metrics but the analysis below focuses on return on capital employed (ROCE).

Simply Wall St -

GATX Company Info

Description

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). The Rail North America segment primarily leases railcars and locomotives. This segment 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. The Rail International segment leases railcars, as well as offers repair, regulatory compliance, and modernization works for railcars. The Portfolio Management segment is involved in leasing, marine, and asset remarketing operations, as well as manages portfolios of assets for third parties. The ASC segment 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, 2018, it operated a fleet of 148,000 railcars; 644 four-axle and 36 six-axle locomotives; and 12 vessels. GATX Corporation was founded in 1898 and is headquartered in Chicago, Illinois.

Details
Name: GATX Corporation
GATX
Exchange: NYSE
Founded: 1898
$2,847,605,710
36,451,686
Website: http://www.gatx.com
Address: GATX Corporation
233 South Wacker Drive,
Chicago,
Illinois, 60606,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE GATX Common Stock New York Stock Exchange US USD 02. Jan 1968
DB GAX Common Stock Deutsche Boerse AG DE EUR 02. Jan 1968
Number of employees
Current staff
Staff numbers
2,225
GATX employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/16 23:38
End of day share price update: 2019/04/16 00:00
Last estimates confirmation: 2019/04/12
Last earnings filing: 2019/02/25
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.