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
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Trinity Industries. This is due to cash flow or dividend data being
unavailable. The share price is
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
is considered below, and whether this is a fair price.
Price based on past earnings
Trinity Industries's earnings available for a low price, and how does
this compare to other companies in the same industry?
Trinity Industries's earnings are expected to grow by 19.4% yearly, however this is not considered high growth (20% yearly).
Trinity Industries's revenue is expected to grow by 7.8% 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.
Trinity Industries's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Trinity Industries's finances.
The net worth of a company is the difference between its assets and liabilities.
Trinity Industries is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Trinity Industries's long term commitments exceed its cash and other short term assets.
This treemap shows a more detailed breakdown of
Trinity Industries'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
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 0.3x debt.
Nearly all companies have debt. Debt in itself isn’t
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.
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.
TENURE AS CEO
Mr. Timothy R. Wallace, also known as Tim, has been the President and Chief Executive Officer of Trinity Industries Inc. since 1999. Mr. Wallace had been Director of Trinity Industries Inc. since 1992 and had been its Chairman from 1999 to March 19, 2019. Mr. Wallace served as the Chief Operating Officer of Trinity Industries Inc. from 1996 to 1998. He serves as a Director of Southern Methodist University - Edwin L. Cox School of Business. He served as a Director of Moneygram International Inc. from June 30, 2004 to March 25, 2008. He served as a Director of Viad Corp. since 1996.
Tim's compensation has been consistent with company performance over the past year.
Tim's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the
management team in years:
The average tenure for the Trinity Industries management team is less than 2 years, this suggests a new team.
CEO, President & Director
Senior VP & CFO
Senior VP & Chief Compliance Officer
Senior Vice President & Group President
Executive VP of TrinityRail & President of TrinityRail Products
VP & Chief Accounting Officer
VP & Chief Technical Officer
VP & Chief Administrative Officer
Vice President of Investor Relations & Communications
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The average tenure for the Trinity Industries board of directors is less than 3 years, this suggests a new board.
Trinity Industries, Inc.’s (NYSE:TRN) Investment Returns Are Lagging Its Industry
The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Trinity Industries: 0.036 = US$287m ÷ (US$8.4b - US$534m) (Based on the trailing twelve months to March 2019.) So, Trinity Industries has an ROCE of 3.6%. … What Are Current Liabilities, And How Do They Affect Trinity Industries's ROCE? … Trinity Industries has a low level of current liabilities, which have a negligible impact on its already low ROCE.
With A 4.3% Return On Equity, Is Trinity Industries, Inc. (NYSE:TRN) A Quality Stock?
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.043 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
The Trinity Industries (NYSE:TRN) Share Price Is Down 37% So Some Shareholders Are Getting Worried
(NYSE:TRN), since the last five years saw the share price fall 37%. … By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … During the five years over which the share price declined, Trinity Industries's earnings per share (EPS) dropped by 21% each year.
Why Trinity Industries, Inc. (NYSE:TRN) Could Have A Place In Your Portfolio
Help shape the future of investing tools and you could win a $250 gift card! … Building up an investment case requires looking at a stock holistically. … Today I've chosen to put the spotlight on Trinity Industries, Inc.
Do You Like Trinity Industries, Inc. (NYSE:TRN) At This P/E Ratio?
We'll look at Trinity Industries, Inc.'s (NYSE:TRN) P/E ratio and reflect on what it tells us about the company's share price. … Trinity Industries has a P/E ratio of 5.11, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Why Trinity Industries, Inc.’s (NYSE:TRN) Return On Capital Employed Might Be A Concern
To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Have Insiders Been Selling Trinity Industries, Inc. (NYSE:TRN) Shares This Year?
So shareholders might well want to know whether insiders have been buying or selling shares in Trinity Industries, Inc. … What Is Insider Selling? … Trinity Industries Insider Transactions Over The Last Year.
What To Know Before Buying Trinity Industries, Inc. (NYSE:TRN) For Its Dividend
The company currently pays out a dividend yield of 2.5% to shareholders, making it a relatively attractive dividend stock. … Does Trinity Industries tick all the boxes of a great dividend stock? … 5 questions I ask before picking a dividend stock
What does Trinity Industries Inc's (NYSE:TRN) Balance Sheet Tell Us About Its Future?
Stocks with market capitalization between $2B and $10B, such as Trinity Industries Inc (NYSE:TRN) with a size of US$3.5b, do not attract as much attention from the investing community as do the small-caps and large-caps. … Today we will look at TRN’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis.
Is Trinity Industries Inc's (NYSE:TRN) CEO Paid At A Competitive Rate?
How Does Tim Wallace's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that Trinity Industries Inc has a market cap of US$3.1b, and is paying total annual CEO compensation of US$9.0m. … As you can see, Tim Wallace is paid more than the median CEO pay at companies of a similar size, in the same market
Trinity Industries, Inc. provides rail transportation products and services in North America. It operates through three segments: Railcar Leasing and Management Services Group, Rail Products Group, and All Other. The Railcar Leasing and Management Services Group segment leases freight and tank railcars; originates and manages railcar leases for third-party investor-owned fund; and provides fleet maintenance and management services to industrial shippers. As of December 31, 2018, it had a fleet of 99,215 owned or leased railcars. This segment serves industrial shipper and railroad companies operating in agriculture, construction and metals, consumer products, energy, and refined products and chemicals markets. The Rail Products Group segment provides freight and tank railcars for transporting various liquids, gases, and dry cargo; and offers railcar maintenance services. Its railcars include autorack, box, covered hopper, gondola, intermodal, open hopper, and tank cars. This segment serves railroads, leasing companies, and industrial shippers of products in the agriculture, construction and metals, consumer products, energy, and refined products and chemicals markets. The All Other segment manufactures guardrail, crash cushions, and other highway barriers; and engages in the captive insurance, transportation, and other peripheral businesses. The company sells or leases products and services through its own sales personnel and independent sales representatives. Trinity Industries, Inc. was founded in 1933 and is headquartered in Dallas, Texas.
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