Wabtec (NYSE:WAB) to Repurchase $1.20 billion in Outstanding Stock

Wabtec (NYSE:WAB) declared that its board has authorized a stock buyback program on Wednesday, February 11th, RTT News reports. The company plans to buyback $1.20 billion in outstanding shares. This buyback authorization allows the transportation company to purchase up to 2.9% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s management believes its stock is undervalued.

Analysts Set New Price Targets

WAB has been the subject of a number of research analyst reports. Stephens upped their price objective on Wabtec from $230.00 to $290.00 and gave the stock an “overweight” rating in a report on Thursday. Bank of America boosted their price target on Wabtec from $228.00 to $233.00 and gave the company a “buy” rating in a research report on Thursday, November 13th. Morgan Stanley raised their price objective on Wabtec from $257.00 to $264.00 and gave the stock an “overweight” rating in a report on Monday, January 12th. JPMorgan Chase & Co. boosted their target price on Wabtec from $215.00 to $245.00 and gave the stock a “neutral” rating in a report on Wednesday, January 14th. Finally, Susquehanna set a $300.00 target price on shares of Wabtec in a research report on Thursday. Eight investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $259.30.

Wabtec Stock Performance

Shares of WAB opened at $254.05 on Friday. The firm has a market cap of $43.43 billion, a price-to-earnings ratio of 37.20, a PEG ratio of 1.74 and a beta of 1.01. The company has a quick ratio of 0.75, a current ratio of 1.11 and a debt-to-equity ratio of 0.38. The business’s 50 day moving average is $225.53 and its two-hundred day moving average is $206.78. Wabtec has a 52-week low of $151.81 and a 52-week high of $262.40.

Wabtec (NYSE:WAB) last announced its quarterly earnings data on Wednesday, February 11th. The transportation company reported $2.10 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.08 by $0.02. Wabtec had a return on equity of 14.12% and a net margin of 10.48%.The firm had revenue of $2.97 billion for the quarter, compared to analysts’ expectations of $2.86 billion. During the same period last year, the business posted $1.68 earnings per share. The firm’s revenue for the quarter was up 14.8% on a year-over-year basis. Wabtec has set its FY 2026 guidance at 10.050-10.450 EPS. Analysts forecast that Wabtec will post 8.54 EPS for the current fiscal year.

Wabtec Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 2nd. Investors of record on Tuesday, February 17th will be given a $0.31 dividend. The ex-dividend date is Tuesday, February 17th. This represents a $1.24 annualized dividend and a yield of 0.5%. This is an increase from Wabtec’s previous quarterly dividend of $0.25. Wabtec’s payout ratio is 14.53%.

Key Wabtec News

Here are the key news stories impacting Wabtec this week:

• Positive Sentiment: Q4 results beat consensus and management issued upbeat FY‑2026 guidance — EPS and revenue topped estimates, adjusted EPS jumped y/y, and management raised FY guidance for both EPS (10.05–10.45) and revenue ($12.2–12.5B), signaling stronger-than-expected demand and margin outlook. Wabtec (NYSE:WAB) Delivers Strong Q4 CY2025 Numbers
• Positive Sentiment: Record backlog and large locomotive contracts support multi-year revenue visibility — backlog hit ~$27B and Wabtec cited major new orders (including ~$2.5B in locomotive deals), underpinning revenue growth and aftermarket services. Wabtec sales increase in fourth quarter as backlog hits record levels
• Positive Sentiment: $1.2 billion share buyback authorized — board approval to repurchase up to ~2.9% of shares can support EPS and signal management confidence in valuation. RTT News – Stock Buybacks
• Positive Sentiment: Acquisition of Dellner Couplers completed (adds safety‑critical passenger-rail tech and global footprint) — strengthens transit portfolio and should accelerate cross-selling in passenger systems. Wabtec Finalizes Acquisition of Dellner Couplers
• Positive Sentiment: Analysts are revising estimates and price targets higher — Stephens raised its price target to $290 (overweight) and other shops boosted forecasts after Q4, which could attract buy-side interest. Benzinga – Analysts Boost Forecasts
• Neutral Sentiment: Rail customer orders in the market (CSX and others) may benefit Wabtec as fleet renewals continue — CSX awarded large locomotive contracts that expand addressable market, but timing and Wabtec’s direct participation vary. Railway Gazette – CSX awards $670m contract
• Negative Sentiment: Insider selling by CEO — Rafael Santana sold ~1,798 shares (~1.49% lower personal holding), a small, disclosed sale that some traders may view negatively despite being modest relative to total holdings. SEC Form 4 – Insider Sale

Insiders Place Their Bets

In other Wabtec news, insider Rogerio Mendonca sold 2,019 shares of Wabtec stock in a transaction on Thursday, December 4th. The stock was sold at an average price of $214.51, for a total transaction of $433,095.69. Following the sale, the insider owned 9,516 shares of the company’s stock, valued at $2,041,277.16. The trade was a 17.50% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP David L. Deninno sold 5,000 shares of the stock in a transaction on Thursday, December 4th. The stock was sold at an average price of $214.62, for a total value of $1,073,100.00. Following the completion of the transaction, the vice president directly owned 50,450 shares of the company’s stock, valued at approximately $10,827,579. The trade was a 9.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 15,673 shares of company stock worth $3,420,576 over the last 90 days. Insiders own 1.10% of the company’s stock.

About Wabtec

Wabtec Corporation (Westinghouse Air Brake Technologies Corporation) is a global provider of equipment, systems and services for the rail industry. The company supplies products and solutions to freight railroads, transit agencies and other industrial operators, focusing on technologies that improve the performance, safety and efficiency of locomotives and rail networks. Wabtec’s business spans new equipment manufacturing, aftermarket parts and services, and digital and control systems for rail operations.

Product and service offerings include locomotive systems and components, braking and air systems, propulsion and traction equipment, signaling and control technologies, and a range of aftermarket services such as maintenance, remanufacturing, parts distribution and fleet modernization.