Why Rail Transport Company Greenbrier's Shares Are Rising Today
Portfolio Pulse from Lekha Gupta
Shares of Greenbrier Companies Inc (NYSE:GBX) rose approximately 8% after reporting Q1 FY24 results with revenue of $808.8 million, surpassing the consensus of $849.9 million. The company's lease fleet utilization was at 98%, and the fleet size grew by 700 units. GBX secured orders for 5,100 new railcars valued at $710 million and delivered 5,700 units. The backlog as of Nov. 30, 2023, was 29,700 units worth $3.8 billion. Adjusted EBITDA was $93.2 million with an 11.5% margin, and adjusted EPS of $0.96 missed the consensus of $0.73. Cash and equivalents were $307.3 million, and a dividend of 30 cents per share is payable on Feb. 15, 2024. The FY24 outlook remains positive with expected revenue of $3.40 billion to $3.70 billion and delivery targets of 22,500 to 25,000 units.
January 05, 2024 | 4:22 pm
News sentiment analysis
Sort by:
Descending
POSITIVE IMPACT
Greenbrier Companies Inc reported strong Q1 FY24 results with higher revenue and a robust backlog, leading to an approximate 8% rise in stock price. The company's positive outlook for FY24 and strong order book may continue to support the stock price in the short term.
The positive earnings report and revenue beat are likely to instill investor confidence, contributing to the stock's short-term rise. The robust backlog and positive outlook for FY24 suggest continued operational strength, which can further support the stock price. However, the missed EPS consensus may temper some of the enthusiasm, but the overall impact remains positive.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100