We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
GATX Corporation (GATX - Free Report) continues to benefit from the gradual improvement in the North American railcar leasing market and share-holder-friendly moves.
Against this backdrop, let’s look at the factors that make this stock an attractive pick.
What Makes GATX an Attractive Pick?
An Outperformer: A glimpse at the company’s price trend reveals that the stock has had an impressive run on the bourse over the past year. Shares of GATX have gained 19.7% over the past year, outperforming the 6.5% surge of the industry it belongs to.
Image Source: Zacks Investment Research
Solid Zacks Rank: GATX has a Zacks Rank #2 (Buy). Our research shows that stocks with a Zacks Rank #1 (Strong Buy) or #2 offer the best investment opportunities. Thus, the company is a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions:The direction of estimate revisions serves as an important pointer when it comes to the price of a stock. Over the past 90 days, the Zacks Consensus Estimate for GATX’s 2022 earnings has moved up 2.1% year over year to $5.95. For full-year 2023, the company’s earnings have increased 2.6% year over year.
Positive Earnings Surprise History: GATX has an impressive earnings surprise history. The company delivered an earnings surprise of 28.9% in the last four quarters, on average.
Earnings Expectations: Earnings growth and stock price gains often indicate a company’s prospects. For third-quarter 2022, GATX’s earnings are expected to register 2.7% growth. For 2022 and 2023, the company’s earnings are expected to grow at 17.6% and 11.8%, year over year, respectively.
Growth Factors:The gradual improvement in the North American railcar leasing market is aiding GATX’s top line. Demand for the majority of railcar types in GATX's fleet remains robust, and absolute lease rates grew sequentially for the eighth consecutive quarter in second-quarter 2022. Also, GATX raising its 2022 earnings guidance on the back of strength in global rail markets and a robust secondary market for railcars is encouraging. We are upbeat about GATX's measures to reward its shareholders despite coronavirus-led woes. Consistent dividend payouts highlight GATX's commitment to boost shareholders’ value, and underscore its strong financial condition and bright prospects.
Other Stocks to Consider
Some other stocks in the broader Zacks Transportation sector that investors can consider are Ryder System, Inc. (R - Free Report) ,Triton International Limited and Teekay Tankers Ltd. (TNK - Free Report) ,each carrying a Zacks Rank #2 as well.
Ryder has an expected earnings growth rate of 56.3% for the current year. R delivered a trailing four-quarter earnings surprise of 30.2%, on average.
Shares of Ryder have gained 12.6% over the past year.
Triton has an expected earnings growth rate of 22.4% for the current year. TRTN delivered a trailing four-quarter earnings surprise of 7.5%, on average.
Shares of TRTN have gained 24.5% over the past year.
Teekay Tankers has an expected earnings growth rate of 140.1% for the current year. TNK delivered a trailing four-quarter earnings surprise of 46.1%, on average.
Shares of TNK have gained 135.8% over the past year.
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
6 Reasons Why Investors Should Buy GATX Stock Now
GATX Corporation (GATX - Free Report) continues to benefit from the gradual improvement in the North American railcar leasing market and share-holder-friendly moves.
Against this backdrop, let’s look at the factors that make this stock an attractive pick.
What Makes GATX an Attractive Pick?
An Outperformer: A glimpse at the company’s price trend reveals that the stock has had an impressive run on the bourse over the past year. Shares of GATX have gained 19.7% over the past year, outperforming the 6.5% surge of the industry it belongs to.
Image Source: Zacks Investment Research
Solid Zacks Rank: GATX has a Zacks Rank #2 (Buy). Our research shows that stocks with a Zacks Rank #1 (Strong Buy) or #2 offer the best investment opportunities. Thus, the company is a compelling investment proposition at the moment. You can see the complete list of today’s Zacks #1 Rank stocks here.
Northward Estimate Revisions:The direction of estimate revisions serves as an important pointer when it comes to the price of a stock. Over the past 90 days, the Zacks Consensus Estimate for GATX’s 2022 earnings has moved up 2.1% year over year to $5.95. For full-year 2023, the company’s earnings have increased 2.6% year over year.
Positive Earnings Surprise History: GATX has an impressive earnings surprise history. The company delivered an earnings surprise of 28.9% in the last four quarters, on average.
Earnings Expectations: Earnings growth and stock price gains often indicate a company’s prospects. For third-quarter 2022, GATX’s earnings are expected to register 2.7% growth. For 2022 and 2023, the company’s earnings are expected to grow at 17.6% and 11.8%, year over year, respectively.
Growth Factors:The gradual improvement in the North American railcar leasing market is aiding GATX’s top line. Demand for the majority of railcar types in GATX's fleet remains robust, and absolute lease rates grew sequentially for the eighth consecutive quarter in second-quarter 2022. Also, GATX raising its 2022 earnings guidance on the back of strength in global rail markets and a robust secondary market for railcars is encouraging. We are upbeat about GATX's measures to reward its shareholders despite coronavirus-led woes. Consistent dividend payouts highlight GATX's commitment to boost shareholders’ value, and underscore its strong financial condition and bright prospects.
Other Stocks to Consider
Some other stocks in the broader Zacks Transportation sector that investors can consider are Ryder System, Inc. (R - Free Report) ,Triton International Limited and Teekay Tankers Ltd. (TNK - Free Report) ,each carrying a Zacks Rank #2 as well.
Ryder has an expected earnings growth rate of 56.3% for the current year. R delivered a trailing four-quarter earnings surprise of 30.2%, on average.
Shares of Ryder have gained 12.6% over the past year.
Triton has an expected earnings growth rate of 22.4% for the current year. TRTN delivered a trailing four-quarter earnings surprise of 7.5%, on average.
Shares of TRTN have gained 24.5% over the past year.
Teekay Tankers has an expected earnings growth rate of 140.1% for the current year. TNK delivered a trailing four-quarter earnings surprise of 46.1%, on average.
Shares of TNK have gained 135.8% over the past year.