Trinity Industries Inc. Common Stock (TRN)

FairStock Score: 59/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Trinity is a capital-intensive railcar lessor and manufacturer, a business I understand as cyclical with some recurring lease value but no wide moat. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $485.1M and net income $98.3M. That was strong, yet fiscal Q1 2026 net income was only $24.2M, and fiscal Q4 2025 net income was $186.6M on $611.2M of revenue. Full-year FY2025 revenue was $2.2B with net income of $253.1M, up from $138.4M in FY2024 and $106.0M in FY2023. Trailing free cash flow is -$351.3M, a -16.8% FCF yield, and debt-to-equity is 4.68. FairStock's Altman Z-score is 0.54, which suggests financial stress. FairStock's ROE is 30.16%, but ROCE is only 2.34%, so leverage may be flattering equity returns. At the 2026-10-13 close of $26.25, FairStock shows a P/E of 6.21, P/B of 1.83, EV/EBITDA of 6.81, and a Graham Number of $36.94—a 28.94% margin of safety. FairStock's Piotroski F-score is 4/9. FairStock classifies it as a STALWART, with profit growing 8.6% a year over four years and revenue 9.2%, yet FY2025 revenue fell to $2.2B from $3.1B in FY2024. I see statistical cheapness, but I want evidence that cash flow and the balance sheet are improving before calling this a high-quality bargain.

In plain English: Trinity Industries builds, leases, and maintains railroad cars, mostly in North America. The latest quarter showed strong profit, but the company is not producing spare cash after spending and it uses a lot of debt, so the business looks mixed. At $26.25, the stock price looks inexpensive compared with its recent earnings, though the weak cash flow and debt are real risks.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q4 2025 10-K (period ended 2025-12-31) · fiscal Q3 2025 10-K (period ended 2025-09-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer