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Wabtec reported Q1 EPS of $2.71, beating estimates and rising 18.9% year over year.
WAB revenue rose 13% to $2.95B, driven by Freight and Transit growth and acquisitions.
Wabtec raised its 2026 EPS outlook to $10.25-$10.65, reflecting stronger sales momentum.
Westinghouse Air Brake Technologies (WAB - Free Report) , operating as Wabtec Corporation, reported encouraging first-quarter 2026 results wherein both earnings and revenues surpassed the Zacks Consensus Estimate and increased year over year.
Quarterly earnings per share of $2.71 beat the Zacks Consensus Estimate of $2.55 and improved 18.9% year over year due to higher sales and non-operational benefits primarily related to currency fluctuation and timing of tax expense. Revenues of $2.95 billion outpaced the Zacks Consensus Estimate of $2.93 billion and grew 13% year over year, owing to higher sales in the Freight and Transit segments, which include the acquisitions of Inspection Technologies, Frauscher Sensor Technologies and Dellner Couplers.
Apart from the better-than-expected results, Wabtec has also raised its 2026 adjusted earnings per share guidance to the range of $10.25 to $10.65 from the prior guidance of $10.05-$10.45 range. The Zacks Consensus Estimate of $10.43 lies within the updated guidance.
WAB’s Segmental Highlights
Freight segment’s net sales of $2.11 billion grew 11.3% year over year. The upside was aided by growth in Equipment sales (up 52.5% driven by higher locomotive deliveries), Digital sales (up 75.7% owing to the acquisitions of Inspection Technologies & Frauscher Sensor Technology) and Components sales. Freight segment’s adjusted operating margin grew to 26% from 25.7% in the year-ago quarter. Adjusted operating margin benefited from gross margin improvements, which were partially offset by higher operating expenses as a percentage of revenue.
In the Transit segment, net sales grew 17.8% year over year to $835 million, owing to the acquisition of Dellner, higher original equipment and aftermarket sales and favorable foreign currency exchange. The segmental adjusted operating margin grew 2 points to 16.6% owing to improved gross margins, which were partially offset by higher operating expenses as a percent of revenue.
Other Q1 Details of WAB
Total operating expenses in the reported quarter increased by $118 million from the year-ago quarter to $544 million. Operating ratio (operating expenses as a percentage of net sales) improved to 18.4% from 16.3% a year ago.
Wabtec exited the first quarter with cash, cash equivalents and restricted cash of $531 million compared with $789 million at 2024-end. Long-term debt was $4.71 billion compared with $4.29 billion at the prior-quarter end.
During the reported quarter, Wabtec repurchased shares worth $242 million and paid $53 million in the form of dividend payments.
Remaining Aspects of WAB’s 2026 Guidance
Wabtec continues to expect sales in the range of $12.19-$12.49 billion. The Zacks Consensus Estimate of $12.35 billion lies within the guidance.
The guidance includes the impact from the recent acquisition of Dellner Couplers, which was closed on Feb. 10, 2026. The tax rate is still expected to be roughly 24.5%.
Delta Air Lines (DAL - Free Report) reported first-quarter 2026 earnings (excluding $1.08 from non-recurring items) of 64 cents per share, which beat the Zacks Consensus Estimate of 61 cents. Earnings increased 39.1% on a year-over-year basis due to high labor costs. Adjusted revenues in the March-end quarter were $14.2 billion, beating the Zacks Consensus Estimate of $14 billion and increasing on a year-over-year basis.
United Airlines Holdings, Inc. (UAL - Free Report) reported solid first-quarter 2026 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate as well as improved on a year-over-year basis.
UAL's first-quarter 2026 adjusted earnings per share (EPS) (excluding 95 cents from non-recurring items) of $1.19 surpassed the Zacks Consensus Estimate of $1.08 and increased 30.8% on a year-over-year basis. The reported figure lies within the guided range of $1.00-$1.50.
Operating revenues of $14.6 billion outpaced the Zacks Consensus Estimate of $14.3 billion and increased 10.5% year over year. Passenger revenues (which accounted for 90.1% of the top line) increased 11% year over year to $13.1 billion. UAL flights transported 42,486 passengers in the first quarter, up 4.1% year over year.
Cargo revenues fell 1.6% year over year to $422 million. Revenues from other sources rose 10.5% year over year to $1.02 billion.
J.B. Hunt Transport Services (JBHT - Free Report) posted first-quarter 2026 earnings per share of $1.49, up 27% from $1.17 a year ago. The result topped the Zacks Consensus Estimate by $0.04, a 2.8% surprise.
Operating revenues totaled $3.06 billion, rising 4.6% year over year. Revenues beat the consensus mark of $2.94 billion, resulting in a 3.9% surprise, as demand proved resilient across several service offerings, led by Intermodal volume growth and higher revenue per load in select highway-related businesses.
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Wabtec Q1 Earnings & Revenues Beat Estimates, Up Y/Y, EPS View Raised
Key Takeaways
Westinghouse Air Brake Technologies (WAB - Free Report) , operating as Wabtec Corporation, reported encouraging first-quarter 2026 results wherein both earnings and revenues surpassed the Zacks Consensus Estimate and increased year over year.
Quarterly earnings per share of $2.71 beat the Zacks Consensus Estimate of $2.55 and improved 18.9% year over year due to higher sales and non-operational benefits primarily related to currency fluctuation and timing of tax expense. Revenues of $2.95 billion outpaced the Zacks Consensus Estimate of $2.93 billion and grew 13% year over year, owing to higher sales in the Freight and Transit segments, which include the acquisitions of Inspection Technologies, Frauscher Sensor Technologies and Dellner Couplers.
Wabtec Price, Consensus and EPS Surprise
Wabtec price-consensus-eps-surprise-chart | Wabtec Quote
Apart from the better-than-expected results, Wabtec has also raised its 2026 adjusted earnings per share guidance to the range of $10.25 to $10.65 from the prior guidance of $10.05-$10.45 range. The Zacks Consensus Estimate of $10.43 lies within the updated guidance.
WAB’s Segmental Highlights
Freight segment’s net sales of $2.11 billion grew 11.3% year over year. The upside was aided by growth in Equipment sales (up 52.5% driven by higher locomotive deliveries), Digital sales (up 75.7% owing to the acquisitions of Inspection Technologies & Frauscher Sensor Technology) and Components sales. Freight segment’s adjusted operating margin grew to 26% from 25.7% in the year-ago quarter. Adjusted operating margin benefited from gross margin improvements, which were partially offset by higher operating expenses as a percentage of revenue.
In the Transit segment, net sales grew 17.8% year over year to $835 million, owing to the acquisition of Dellner, higher original equipment and aftermarket sales and favorable foreign currency exchange. The segmental adjusted operating margin grew 2 points to 16.6% owing to improved gross margins, which were partially offset by higher operating expenses as a percent of revenue.
Other Q1 Details of WAB
Total operating expenses in the reported quarter increased by $118 million from the year-ago quarter to $544 million. Operating ratio (operating expenses as a percentage of net sales) improved to 18.4% from 16.3% a year ago.
Wabtec exited the first quarter with cash, cash equivalents and restricted cash of $531 million compared with $789 million at 2024-end. Long-term debt was $4.71 billion compared with $4.29 billion at the prior-quarter end.
During the reported quarter, Wabtec repurchased shares worth $242 million and paid $53 million in the form of dividend payments.
Remaining Aspects of WAB’s 2026 Guidance
Wabtec continues to expect sales in the range of $12.19-$12.49 billion. The Zacks Consensus Estimate of $12.35 billion lies within the guidance.
The guidance includes the impact from the recent acquisition of Dellner Couplers, which was closed on Feb. 10, 2026. The tax rate is still expected to be roughly 24.5%.
WAB’s Zacks Rank
Currently, Wabtec carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Q1 Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported first-quarter 2026 earnings (excluding $1.08 from non-recurring items) of 64 cents per share, which beat the Zacks Consensus Estimate of 61 cents. Earnings increased 39.1% on a year-over-year basis due to high labor costs. Adjusted revenues in the March-end quarter were $14.2 billion, beating the Zacks Consensus Estimate of $14 billion and increasing on a year-over-year basis.
United Airlines Holdings, Inc. (UAL - Free Report) reported solid first-quarter 2026 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate as well as improved on a year-over-year basis.
UAL's first-quarter 2026 adjusted earnings per share (EPS) (excluding 95 cents from non-recurring items) of $1.19 surpassed the Zacks Consensus Estimate of $1.08 and increased 30.8% on a year-over-year basis. The reported figure lies within the guided range of $1.00-$1.50.
Operating revenues of $14.6 billion outpaced the Zacks Consensus Estimate of $14.3 billion and increased 10.5% year over year. Passenger revenues (which accounted for 90.1% of the top line) increased 11% year over year to $13.1 billion. UAL flights transported 42,486 passengers in the first quarter, up 4.1% year over year.
Cargo revenues fell 1.6% year over year to $422 million. Revenues from other sources rose 10.5% year over year to $1.02 billion.
J.B. Hunt Transport Services (JBHT - Free Report) posted first-quarter 2026 earnings per share of $1.49, up 27% from $1.17 a year ago. The result topped the Zacks Consensus Estimate by $0.04, a 2.8% surprise.
Operating revenues totaled $3.06 billion, rising 4.6% year over year. Revenues beat the consensus mark of $2.94 billion, resulting in a 3.9% surprise, as demand proved resilient across several service offerings, led by Intermodal volume growth and higher revenue per load in select highway-related businesses.