Trinity Industries (NYSE:TRN) Sets New 1-Year High – Should You Buy?

Shares of Trinity Industries, Inc. (NYSE:TRN) reached a new 52-week high during mid-day trading on Tuesday . The company traded as high as $38.81 and last traded at $38.60, with a volume of 204571 shares trading hands. The stock had previously closed at $37.36.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on the company. StockNews.com cut Trinity Industries from a “buy” rating to a “hold” rating in a research note on Monday, November 4th. Susquehanna cut shares of Trinity Industries from a “positive” rating to a “neutral” rating and increased their target price for the stock from $34.00 to $35.00 in a report on Monday, October 21st. Finally, The Goldman Sachs Group assumed coverage on shares of Trinity Industries in a report on Monday, November 18th. They issued a “neutral” rating and a $39.00 price target for the company.

Trinity Industries Stock Up 2.7 %

The stock has a market cap of $3.15 billion, a P/E ratio of 18.22 and a beta of 1.40. The firm has a 50 day simple moving average of $36.10 and a two-hundred day simple moving average of $33.13. The company has a debt-to-equity ratio of 4.39, a quick ratio of 1.08 and a current ratio of 2.00.

Trinity Industries (NYSE:TRN) last posted its quarterly earnings data on Thursday, October 31st. The transportation company reported $0.43 EPS for the quarter, beating analysts’ consensus estimates of $0.38 by $0.05. The business had revenue of $798.80 million for the quarter, compared to analyst estimates of $696.00 million. Trinity Industries had a net margin of 5.31% and a return on equity of 14.57%. The business’s revenue for the quarter was down 2.7% on a year-over-year basis. During the same quarter last year, the business earned $0.26 earnings per share. Equities research analysts predict that Trinity Industries, Inc. will post 1.75 earnings per share for the current year.

Trinity Industries Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, January 31st. Shareholders of record on Wednesday, January 15th will be paid a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 3.13%. The ex-dividend date of this dividend is Wednesday, January 15th. This is a boost from Trinity Industries’s previous quarterly dividend of $0.28. Trinity Industries’s payout ratio is 54.63%.

Hedge Funds Weigh In On Trinity Industries

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Encompass Capital Advisors LLC acquired a new stake in Trinity Industries in the second quarter worth $40,527,000. American Century Companies Inc. increased its position in shares of Trinity Industries by 136.2% in the 2nd quarter. American Century Companies Inc. now owns 1,047,663 shares of the transportation company’s stock valued at $31,346,000 after buying an additional 604,050 shares in the last quarter. Millennium Management LLC raised its stake in Trinity Industries by 180.7% during the 2nd quarter. Millennium Management LLC now owns 823,040 shares of the transportation company’s stock worth $24,625,000 after buying an additional 529,857 shares during the period. Cubist Systematic Strategies LLC bought a new position in Trinity Industries during the second quarter worth about $9,033,000. Finally, Algert Global LLC raised its position in shares of Trinity Industries by 125.0% during the third quarter. Algert Global LLC now owns 297,230 shares of the transportation company’s stock worth $10,355,000 after purchasing an additional 165,105 shares during the period. Institutional investors own 86.57% of the company’s stock.

About Trinity Industries

Trinity Industries, Inc provides rail transportation products and services under the TrinityRail name in North America. It operates in two segments, Railcar Leasing and Management Services Group, and Rail Products Group. The Railcar Leasing and Management Services Group segment leases freight and tank railcars; originates and manages railcar leases for third-party investors; and provides fleet maintenance and management services.