Revisiting Greenbrier Companies, we see a buy opportunity as the stock dips further, supported by strong margins, limited tariff impact, and a dividend increase. Q2 earnings missed expectations with revenues down 11.7% YoY, but gross margin remained strong at 18.2%, and operating income was $83 million. The company raised its margin guidance and dividend, despite narrowing railcar delivery guidance and lowering revenue expectations, reflecting a mixed but promising outlook.
The Greenbrier Companies, Inc. (NYSE:GBX ) Q2 2025 Earnings Conference Call April 7, 2025 5:00 PM ET Company Participants Justin Roberts - Vice President, Financial Operations, The Americas Lorie Tekorius - President and Chief Executive officer Brian Comstock - Executive Vice President and President, The Americas Michael Donfris - Senior Vice President and Chief Financial Officer Conference Call Participants Ken Hoexter - Bank of America Harrison Bauer - Susquehanna Operator Hello, and welcome to The Greenbrier Companies Second Quarter 2025 Earnings Conference Call. Following today's presentation, we will conduct a question-and-answer session.
The prevailing volatility in the economy is expected to have hindered GBX's performance in the to-be-reported quarter.
Greenbrier's recent 20% stock price pullback, solid fundamentals, and favorable market trends present a good re-entry point despite challenges in revenue growth and shrinking order backlog. Earnings have surged due to improved profit margins, but future growth depends on increasing sales, which in turn depends on the orders backlog, which is currently shrinking. Positive external factors, like the global energy landscape and European rail transport expansion, support potential long-term demand for Greenbrier's railcars.
Investors with an interest in Transportation - Equipment and Leasing stocks have likely encountered both Greenbrier Companies (GBX) and Westinghouse Air Brake Technologies (WAB). But which of these two stocks is more attractive to value investors?
We have screened bargain stocks GBX, TAP, PRAA, LOCO and ROCK based on the EV-to-EBITDA ratio, which gives the true picture of valuation and earnings potential.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Investors interested in Transportation - Equipment and Leasing stocks are likely familiar with Greenbrier Companies (GBX) and Herc Holdings (HRI). But which of these two stocks presents investors with the better value opportunity right now?
GBX, PPC and PBI made it to the Zacks Rank #1 (Strong Buy) growth stocks list on February 12, 2025.
GBX, PPC and PBI made it to the Zacks Rank #1 (Strong Buy) growth stocks list on February 10, 2025.
Greenbrier Companies (GBX) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, GBX broke out above the 50-day moving average, suggesting a short-term bullish trend.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.