The upcoming report from Westinghouse Air Brake Technologies (WAB) is expected to reveal quarterly earnings of $2.07 per share, indicating an increase of 23.2% compared to the year-ago period. Analysts forecast revenues of $2.86 billion, representing an increase of 10.6% year over year.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 1.5% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Wabtec metrics that are routinely monitored and predicted by Wall Street analysts.
The consensus estimate for 'Sales to external customers- Freight Segment' stands at $2.00 billion. The estimate suggests a change of +11.7% year over year.
The combined assessment of analysts suggests that 'Sales to external customers- Transit Segment' will likely reach $853.65 million. The estimate indicates a change of +8.2% from the prior-year quarter.
Analysts' assessment points toward 'Backlog - Total' reaching $24.00 billion. The estimate is in contrast to the year-ago figure of $22.27 billion.
It is projected by analysts that the 'Backlog - Transit Group' will reach $4.60 billion. Compared to the current estimate, the company reported $4.29 billion in the same quarter of the previous year.
Analysts predict that the 'Backlog - Freight Group' will reach $19.40 billion. Compared to the present estimate, the company reported $17.99 billion in the same quarter last year.
Analysts forecast 'Income (loss) from operations- Freight Segment' to reach $399.94 million. Compared to the current estimate, the company reported $273.00 million in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Adjusted Income (loss) from operations- Transit Segment' should arrive at $133.13 million. Compared to the current estimate, the company reported $130.00 million in the same quarter of the previous year.
According to the collective judgment of analysts, 'Adjusted Income (loss) from operations- Freight Segment' should come in at $445.30 million. Compared to the present estimate, the company reported $348.00 million in the same quarter last year.
Analysts expect 'Income (loss) from operations- Transit Segment' to come in at $126.54 million. The estimate is in contrast to the year-ago figure of $103.00 million.
View all Key Company Metrics for Wabtec here>>>
Over the past month, Wabtec shares have recorded returns of +8% versus the Zacks S&P 500 composite's -1.5% change. Based on its Zacks Rank #2 (Buy), WAB will likely outperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Wabtec (WAB): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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