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Triton International (TRTN) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Triton International (TRTN - Free Report) closed at $61.67, marking a +1.6% move from the previous day. This move outpaced the S&P 500's daily gain of 1.12%. Meanwhile, the Dow gained 1.01%, and the Nasdaq, a tech-heavy index, lost 0.08%.

Coming into today, shares of the shipping container leasing company had lost 7.3% in the past month. In that same time, the Transportation sector lost 3.59%, while the S&P 500 gained 4.63%.

Triton International will be looking to display strength as it nears its next earnings release. In that report, analysts expect Triton International to post earnings of $2.63 per share. This would mark year-over-year growth of 37.7%. Our most recent consensus estimate is calling for quarterly revenue of $416.93 million, up 20.24% from the year-ago period.

TRTN's full-year Zacks Consensus Estimates are calling for earnings of $10.66 per share and revenue of $1.71 billion. These results would represent year-over-year changes of +16.38% and +11.78%, respectively.

Any recent changes to analyst estimates for Triton International should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Triton International is currently a Zacks Rank #2 (Buy).

Investors should also note Triton International's current valuation metrics, including its Forward P/E ratio of 5.7. Its industry sports an average Forward P/E of 14.79, so we one might conclude that Triton International is trading at a discount comparatively.

It is also worth noting that TRTN currently has a PEG ratio of 0.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Transportation - Equipment and Leasing was holding an average PEG ratio of 1.11 at yesterday's closing price.

The Transportation - Equipment and Leasing industry is part of the Transportation sector. This group has a Zacks Industry Rank of 45, putting it in the top 18% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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