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Here's Why Investors Should Bet on Greenbrier Stock Now

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Key Takeaways

  • GBX secured 3,900 new railcar orders worth $500M and delivered 5,600 units in Q3 2025.
  • Lease fleet utilization hit 98%, and the backlog stands at 18,900 units, valued at $2.5B.
  • GBX ended Q3 with a 1.48 current ratio, reflecting strong liquidity and financial flexibility.

Greenbrier Companies (GBX - Free Report) is bolstered by its robust operational efficiency and strong demand, boosting the company’s top line. Strong liquidity also bodes well for GBX. Due to these tailwinds, GBX shares have performed impressively on the bourse. If you have not taken advantage of its share price appreciation yet, it’s time to do so.

Let’s delve deeper.

Factors in GBX’s Favor

GBX’s Northward Earnings Estimate Revision: The Zacks Consensus Estimate for earnings per share has been revised upward by 28.2% over the past 60 days for the current year. For 2026, the consensus mark for earnings per share has moved 2.8% north in the same time frame. The favorable estimate revisions indicate brokers’ confidence in the stock.

Zacks Investment Research
Image Source: Zacks Investment Research

Robust Price Performance: A look at the company’s price trend reveals that its shares have risen 23% over the past year, surpassing the  Zacks Transportation - Equipment and Leasing industry’s 9.8% fall.

Zacks Investment Research
Image Source: Zacks Investment Research

Solid Zacks Rank: GBX currently carries a Zacks Rank #2 (Buy).

Bullish Industry Rank: The industry to which GBX belongs currently has a Zacks Industry Rank of 25 (out of 246). Such a favorable rank places it in the top 10% of Zacks Industries.Studies show that 50% of a stock price movement is directly related to the performance of the industry group to which it belongs.

A mediocre stock within a strong group is likely to outperform a robust stock in a weak industry. Reckoning the industry’s performance becomes imperative.

Growth Factors: Greenbrier Companies’ third-quarter results reflect strong operational and financial momentum. The company reported impressive lease fleet utilization at 98%, signaling robust demand and efficient asset use. Securing new railcar orders for 3,900 units, valued at more than $500 million, and delivering 5,600 units demonstrates healthy market activity and execution. The resulting backlog of 18,900 units, worth an estimated $2.5 billion, provides solid revenue visibility going forward.

Moreover, renewing and extending $850 million in bank facilities through 2030 strengthens Greenbrier’s financial flexibility and supports long-term growth. Overall, these results position the company well for continued stability and expansion in a resilient railcar market.

Greenbrier’s history of strong liquidity is another tailwind for the company. In the third quarter of fiscal 2025, GBX exited with a current ratio (a measure of liquidity) of 1.48. A current ratio above 1 is always recommended as it indicates that the company has sufficient resources to meet its short-term obligations. This liquidity cushion not only reinforces investor confidence but also gives the company flexibility to invest in operations, weather market fluctuations and pursue strategic opportunities.

Stocks to Consider

Investors interested in the Transportation sector may consider Wabtec (WAB - Free Report) and Kirby (KEX - Free Report) .

WAB currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

WAB has an expected earnings growth rate of 15.3% for the current year. The company has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 5.9%. Shares of WAB have risen 12.4% year to date.

KEX currently carries a Zacks Rank of #2.

KEX has an expected earnings growth rate of 18.7% for the current year. The company has an encouraging earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 5%. Shares of KEX have rallied 9.4% year to date.


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