Markets
GBX

Bear of the Day: Greenbrier (GBX)

Despite a booming rail transport cycle, analysts can't seem to downgrade Greenbrier (GBX) often enough lately, largely after institutions have buried the shares by half since the spring.

It seems they are trying to get ahead of what they see on the horizon: a decline in industrial manufacturing and oil transport trends that Greenbrier rail cars have banked on for the past 5 years.

While a 7% miss on earnings last quarter didn't help the outlook, what is amazing is how even reduced EPS estimates still have GBX trading at under 6X next year's projected $6. Here are the detailed Zacks EPS tables showing the downward revision trend of the past 90 days...

Bottom line: GBX shares appear to be an incredible value, but that doesn't mean the downward earnings momentum has stopped. Until it does, it's best to wait for a different mode of transport. The Zacks Rank will let you know.

Kevin Cook is a Senior Stock Strategist for Zacks where he runs the Follow The Money portfolio.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

GREENBRIER COS (GBX): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

GBX

Other Topics

Stocks

Latest Markets Videos

    Zacks

    Zacks is the leading investment research firm focusing on stock research, analysis and recommendations. In 1978, our founder discovered the power of earnings estimate revisions to enable profitable investment decisions. Today, that discovery is still the heart of the Zacks Rank. A wealth of resources for individual investors is available at www.zacks.com.

    Learn More