Wabtec to Report Q4 Earnings: Is a Beat in Store for the Stock?

Westinghouse Air Brake Technologies WAB, operating as Wabtec Corporation, is scheduled to report fourth-quarter 2025 results on Feb. 11, before market open.

The Zacks Consensus Estimate for WAB’s fourth-quarter 2025 earnings has been revised upward 0.49% in the past 60 days to $2.07 per share. Moreover, the consensus mark for earnings implies a 23.2% upside from the year-ago actual. The consensus mark for sales (currently pegged at $2.86 billion) suggests a 10.6% uptick from the year-ago actual.

Wabtec has an encouraging earnings surprise history. The company’s earnings outpaced the Zacks Consensus Estimate in three of the trailing four quarters and missed the mark in the remaining quarter, the average beat being 4.7%.

Wabtec Price and EPS Surprise

Wabtec price-eps-surprise | Wabtec Quote

Factors Likely to Have Influenced WAB's Q4 Performance

We expect Wabtec's performance in the to-be-reported quarter to have been boosted by an uptick in total revenues. The Zacks Consensus Estimate for Freight revenues is pegged at $2 billion, which implies 11.7% growth from the prior-year reported figure. The Freight segment is likely to have delivered a strong performance, driven by increased demand for services and components. The consensus mark for Transit revenues is $853.65 million, indicating 8.2% growth from the prior-year reported figure. The Transit segment is anticipated to have benefited from robust sales in the aftermarket and original equipment manufacturing channels.

On the contrary, the rise in operating expenses, coupled with ongoing supply-chain and tariff-related disruptions, is likely to have weighed on the company’s bottom-line performance in the quarter under review.

What Our Model Says About WAB

Our proven model does not conclusively predict an earnings beat for Wabtec this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.

Wabtec has an Earnings ESP of -0.24% and a Zacks Rank #2 at present. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Highlights of WAB’s Q3 Results

Westinghouse Air Brake Technologies reported encouraging third-quarter 2025 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate and registered year-over-year growth.

Quarterly earnings per share of $2.32 beat the Zacks Consensus Estimate of $2.23 and improved 16% year over year due to higher sales, operating margin expansion and benefits from share repurchases. Revenues of $2.88 billion outpaced the Zacks Consensus Estimate of $2.86 billion. The top line grew 8.4% year over year due to higher sales in the Freight segment (which includes the acquisition of Inspection Technologies) and in the Transit segment.

Stocks to Consider

Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle. 

Expeditors International of Washington EXPD has an Earnings ESP of +0.34% and a Zacks Rank #3 at present.  EXPD is scheduled to report fourth-quarter 2025 earnings on Feb. 24. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for fourth-quarter 2025 earnings has remained flat over the past 60 days. EXPD’s earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 13.94%. 

Ryder System R has an Earnings ESP of +0.27% and a Zacks Rank #3 at present.  EXPD is scheduled to report fourth-quarter 2025 earnings on Feb. 11.

The Zacks Consensus Estimate for fourth-quarter 2025 earnings has been revised upward by 0.27% over the past 60 days. R’s earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 2.60%. 

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This article originally published on Zacks Investment Research (zacks.com).

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