📊 TRN Key Takeaways
Is Trinity Industries Inc. (TRN) a Good Investment?
Trinity Industries maintains exceptional operating profitability (30.1% margin) and strong free cash flow ($314.1M), evidencing operational resilience despite a severe 30% revenue decline. However, the combination of deteriorating top-line growth and high leverage (5.07x debt-to-equity) with limited liquidity ($201.3M cash) creates material refinancing risk if the cyclical downturn persists.
Why Buy Trinity Industries Inc. Stock? TRN Key Strengths
- Exceptional operating margins of 30.1% demonstrate pricing power and operational efficiency despite volume pressures
- Robust free cash flow generation of $314.1M (14.6% FCF margin) provides debt service coverage independent of net income volatility
- Strong interest coverage ratio of 12.6x indicating comfortable debt servicing capacity with meaningful safety margin
- High ROE of 23.5% reflecting effective capital deployment to shareholders despite challenging industry conditions
TRN Stock Risks: Trinity Industries Inc. Investment Risks
- Severe 30% YoY revenue decline signals substantial cyclical weakness in railroad equipment sector with uncertain recovery timing
- Excessive leverage at 5.07x debt-to-equity (86.9% liabilities-to-assets) creates refinancing vulnerability and limits financial flexibility
- Minimal cash cushion of $201.3M relative to $5.5B long-term debt and $7.3B total liabilities constrains operational optionality
- Low ROA of 3.0% despite 23.5% ROE indicates leverage dependency; downturn could pressure profitability if margins compress
Key Metrics to Watch
- Sequential revenue stabilization or further deterioration - cyclical bottom determination critical to recovery trajectory
- Operating margin sustainability during volume declines - watch for operating deleverage and fixed cost pressures
- Free cash flow-to-debt service coverage ratio and refinancing activity to assess medium-term solvency risk
- Debt covenant compliance and any credit rating actions reflecting leverage management in downturned environment
Trinity Industries Inc. (TRN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
TRN Profit Margin, ROE & Profitability Analysis
TRN vs Industrial Sector: How Trinity Industries Inc. Compares
How Trinity Industries Inc. compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Trinity Industries Inc. Stock Overvalued? TRN Valuation Analysis 2026
Based on fundamental analysis, Trinity Industries Inc. has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Trinity Industries Inc. Balance Sheet: TRN Debt, Cash & Liquidity
TRN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Trinity Industries Inc.'s revenue has grown significantly by 12% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.27 reflects profitable operations.
TRN Revenue Growth, EPS Growth & YoY Performance
TRN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $454.1M | $30.3M | $0.37 |
| Q2 2025 | $506.2M | $14.1M | $0.17 |
| Q1 2025 | $585.4M | $22.1M | $0.26 |
| Q3 2024 | $798.8M | $21.8M | $0.26 |
| Q2 2024 | $722.4M | $17.0M | $0.20 |
| Q1 2024 | $641.7M | $4.4M | $0.05 |
| Q3 2023 | $496.6M | $21.8M | $0.26 |
| Q2 2023 | $416.8M | $3.0M | $0.04 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Trinity Industries Inc. Dividends, Buybacks & Capital Allocation
TRN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Trinity Industries Inc. (CIK: 0000099780)
📋 Recent SEC Filings
❓ Frequently Asked Questions about TRN
What is the AI rating for TRN?
Trinity Industries Inc. (TRN) has an AI rating of HOLD with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are TRN's key strengths?
Claude: Exceptional operating margins of 30.1% demonstrate pricing power and operational efficiency despite volume pressures. Robust free cash flow generation of $314.1M (14.6% FCF margin) provides debt service coverage independent of net income volatility.
What are the risks of investing in TRN?
Claude: Severe 30% YoY revenue decline signals substantial cyclical weakness in railroad equipment sector with uncertain recovery timing. Excessive leverage at 5.07x debt-to-equity (86.9% liabilities-to-assets) creates refinancing vulnerability and limits financial flexibility.
What is TRN's revenue and growth?
Trinity Industries Inc. reported revenue of $2.2B.
Does TRN pay dividends?
Trinity Industries Inc. pays dividends, with $98.7M distributed to shareholders in the trailing twelve months.
Where can I find TRN SEC filings?
Official SEC filings for Trinity Industries Inc. (CIK: 0000099780) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is TRN's EPS?
Trinity Industries Inc. has a diluted EPS of $3.05.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is TRN a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Trinity Industries Inc. has a HOLD rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is TRN stock overvalued or undervalued?
Valuation metrics for TRN: ROE of 23.5% (sector avg: 15%), net margin of 11.7% (sector avg: 10%). Higher ROE suggests strong returns relative to peers.
Should I buy TRN stock in 2026?
Our dual AI analysis gives Trinity Industries Inc. a combined HOLD rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is TRN's free cash flow?
Trinity Industries Inc.'s operating cash flow is $359.7M, with capital expenditures of $45.6M. FCF margin is 14.6%.
How does TRN compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 11.7% (avg: 10%), ROE 23.5% (avg: 15%), current ratio N/A (avg: 1.8).
Is Trinity Industries Inc. carrying too much debt?
TRN has a debt-to-equity ratio of 5.07x, which is above the Industrial sector average of 0.7x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.