Wabtec

WAB · NYSE · Industrials · Financials, fiscal 2016 to 2025

WAB · Last close · October 26, 2026

$277.67

Wabtec's revenue rose 7.5% to $11.2 billion in fiscal 2025. Its operating margin was 16.1%, up from 15.5% a year earlier. Free cash flow was $1.5 billion, down 7.9%. It paid out $396 million in dividends and buybacks, 26% of free cash flow. The diluted share count fell 2.1%.

WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION Latest fiscal year ended December 31, 2025 10-K filed February 13, 2026 · 0001628280-26-008067 Updated October 21, 2026

Revenue

$11.2B

7.5%

Operating margin

16.1%

0.6 pts

Net income

$1.2B

10.8%

Free cash flow

$1.5B

7.9%

Return on capital

9.1%

0.2 pts

Market cap

$46.9B

Oct 26 close

P/E

34.5x

On $8.06 EPS, 4 qtrs

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

What Wabtec does

Wabtec, based in Pittsburgh, makes locomotives, equipment, systems and services for freight rail and passenger transit, and for mining, marine and industrial markets. Its products include braking systems, couplers, pantographs, door mechanisms, air conditioning for transit vehicles, engines and electric motors. It says its products are on most locomotives, freight cars, passenger transit cars and buses around the world. It has about 31,000 employees and operations in over 50 countries.

It reports two segments, Freight and Transit, which have different markets and business drivers. It sells both original equipment and aftermarket parts and services. Its results depend on the activity, finances and capital spending plans of freight railroads, passenger transit agencies, and the equipment makers that serve them.

George Westinghouse founded the original company in 1869 when he invented the air brake. Wabtec grew through acquisitions, including Faiveley Transport in 2017 and GE Transportation in 2019, and it says it plans more.

Its biggest risks, as it describes them

Competition in a highly competitive industry.
Revenue that rises and falls with railway and transit markets and with government spending.
A backlog of orders that may not predict future revenue.
Failing to predict customer demand or to keep up with changes in technology.
Disruption of its supply chain, and acquisitions that bring risks or may not bring the expected gains.

From Wabtec's annual report on Form 10-K, filed February 13, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new 10-K.

Charts show fiscal years, from the 10-K filings.

Revenue and margins

Revenue

US$ billions, fiscal years

Margins

Percent of revenue

GrossOperatingNetFree cash flow

Net income and earnings per share

From fiscal 2016 to 2025, earnings per share grew 8.3% a year and net income 16.1% a year, as new shares raised the share count by 88% and diluted each share's earnings.

Net income

US$ billions, fiscal years; loss years in red.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Cash flow

Free cash flow

US$ billions. Cash from operations minus capital expenditure; negative years in red.

Payouts and share count

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Valuation

Two ways to value Wabtec yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.

What Wabtec says to expect

Full year 2026: adjusted earnings per shareWabtec raised and tightened its 2026 adjusted EPS guidance range to $10.85 - $11.05, raising it $0.20 at the midpoint, or up 22.0% versus prior year.
Full year 2026: revenueFor the full year 2026, Wabtec continues to expect revenues to be between $12.30 billion to $12.60 billion, up 11.5% at the midpoint versus prior year.

The company's own words, from its earnings release (Form 8-K, Exhibit 99), filed October 21, 2026. They are its expectations, not ours, and not a forecast or price target from The Filing Desk. Replaced when the next release is out.

Discounted cash flow (DCF)

A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from Wabtec's 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.

Value per share on three example scenarios, from Wabtec's fiscal 2025 free cash flow of $1.5B, net cash of −$4.8B at December 31, 2025 and 171 million diluted shares, from its filings. The scenarios are fitted to Wabtec: the base scenario's growth in years 1 to 5 is its revenue growth over the last 3 years, 10.1% a year; the cautious and optimistic ones are lower and higher, and growth in years 6 to 10 is halfway to the long-run rate. The base scenario's discount rate is 11% for a cyclical or higher-risk business (Construction Machinery & Heavy Transportation Equipment); the cautious and optimistic ones use a point more and a point less. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

From the filings

Starting free cash flow, US$ millions

Cash from operations minus capital spending in fiscal 2025.

Net cash, US$ millions

Cash and short-term investments minus debt and finance leases at December 31, 2025. Negative means net debt.

Diluted shares, millions

Weighted-average diluted shares in fiscal 2025.

Your assumptions

Start from

Fitted to Wabtec's own revenue growth, as above. Cautious: growth of 5% then 3.5% a year, 2% after year 10, a 12% discount rate. Base: growth of 10% then 6% a year, 2.5% after year 10, a 11% discount rate. Optimistic: growth of 15% then 9% a year, 3% after year 10, a 10% discount rate.

Free cash flow growth, years 1 to 5 (% a year)

Free cash flow growth, years 6 to 10 (% a year)

Growth after year 10 (% a year)Long-run growth forever after year 10. Usually close to inflation, and always below the discount rate.

Discount rate (% a year)The yearly return an investor wants for the risk. A higher rate gives a lower value.

Value per share on these assumptions

—

Last close, October 26, 2026: $277.67
Value on these assumptions, against the last close: —

Cash flows in years 1 to 10, valued today: —
Everything after year 10, valued today: —
Plus net cash: —
Share of value from after year 10: —

Projected free cash flow

US$ billions. Each column is one year's projected free cash flow, split into what it is worth today and the part removed by discounting.

Value todayRemoved by discounting

How the value changes with two assumptions

Value per share in US$, with the growth rates above. The highlighted cell matches the current assumptions.

How the model works. Free cash flow grows at the first rate for five years and the second rate for five more, and each year is discounted at the discount rate. Everything after year 10 is valued as year-10 cash flow × (1 + growth after year 10) ÷ (discount rate − growth after year 10), discounted back ten years. Net cash is added and the total is divided by diluted shares. The result depends entirely on the assumptions. It is not a forecast, a price target or a recommendation. The last close is the consolidated US closing price, from Databento.

Price-to-earnings (P/E) method

Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.

Value per share on three example scenarios, from Wabtec's earnings per share of $8.06 (over the last four quarters). Each grows earnings for a year at the cash flow scenarios' rates and applies a multiple to next year's earnings: 26.7×, the middle of Wabtec's own P/E today, its peers' median and its sector's median (the Industrials median) for the base scenario, 20% less and more for the cautious and optimistic ones. The price is brought back a year at 12%, 11% and 10%. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

Earnings per share, US$

Diluted earnings per share over the four quarters to September 30, 2026, from the 10-Qs and 10-K.

P/E multiple

P/E today is the last close divided by the latest earnings per share, the four quarters' where available. Peers: Oshkosh, Paccar, Cummins.

Earnings growth in the years ahead (% a year) Starts at Wabtec's revenue growth over the last 3 years, 10.1% a year, as the base scenario does.

Earnings per share in the years ahead, US$

Year 1Year 2Year 3Year 4Year 5

Type your own estimate for any year; the years after it carry on at the growth rate.

Apply the multiple to earnings

A multiple on a future year's earnings gives the price then, brought back to today at the discount rate below.

Discount rate (% a year) The yearly return an investor wants for the risk, as in the cash flow model.

Value per share today at this multiple

—

Last close, October 26, 2026: $277.67
Value at this multiple, against the last close: —
Wabtec's P/E at the last close: 34.5×

Company	Last close	Earnings per share	P/E today
WabtecWAB	$277.67	$8.06	34.5×
CumminsCMI	$522.13	$19.57	26.7×
PaccarPCAR	$104.37	$4.76	21.9×
OshkoshOSK	$133.34	$8.98	14.8×

How the P/E method works. Value per share is earnings per share times the multiple. On a future year's earnings, that gives the price in that year, which is brought back to today at the discount rate: price ÷ (1 + discount rate) for each year ahead. It is quick and easy to compare across companies, but it ignores debt and cash, and earnings can swing with one-off gains and charges, so a multiple says most about steady, profitable businesses. Like the cash flow model, the result depends entirely on the assumptions you choose. It is not a forecast, a price target or a recommendation.

Balance sheet

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	473	541	620	715	789
Debt incl. finance leases	4,058	4,002	4,069	3,980	5,541
Net debt (negative means net cash)	3,585	3,461	3,449	3,265	4,752
Net debt to EBITDA	2.6x	2.3x	1.9x	1.6x	2.1x
Debt to equity	0.4x	0.4x	0.4x	0.4x	0.5x
Interest coverage	5.3x	5.4x	5.8x	8.0x	8.0x
Current ratio	1.3x	1.2x	1.2x	1.3x	1.1x
Quick ratio	0.7x	0.7x	0.6x	0.7x	0.6x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Insider trades

Over the 12 months between October 27, 2025 and October 26, 2026, no insider bought Wabtec shares on the open market, and 12 insiders sold $43.5 million, $24.4 million of it under trading plans set up in advance.

Date	Insider	Trade	Shares	Price	Value	Filing
Oct 6, 2026	Rafael SantanaPresident and CEO, Director	Sold plan	1,087	$292.72	$318,185	Form 4
Oct 5, 2026	Rafael SantanaPresident and CEO, Director	Sold plan	1,087	$291.79	$317,171	Form 4
Sep 2, 2026	Rafael SantanaPresident and CEO, Director	Sold plan	1,087	$280.30	$304,686	Form 4
Sep 1, 2026	Rafael SantanaPresident and CEO, Director	Sold plan	1,096	$280.08	$306,968	Form 4
Aug 21, 2026	Rogerio MendoncaPresident, Equipment Group	Sold	2,919	$297.05	$867,082	Form 4
Aug 20, 2026	Michael FetskoPres., Freight Components Grp.	Sold	3,250	$293.22	$952,966	Form 4
Aug 17, 2026	Gregory SbroccoEVP Operations	Sold plan	952	$300.00	$285,600	Form 4
Aug 5, 2026	Rafael SantanaPresident and CEO, Director	Sold plan	1,163	$297.02	$345,440	Form 4
Aug 4, 2026	Rafael SantanaPresident and CEO, Director	Sold plan	1,163	$299.04	$347,782	Form 4
Jul 24, 2026	Eric GebhardtChief Technology Officer	Sold	7,100	$299.27	$2.1 million	Form 4
Jul 24, 2026	David L DeNinnoExec VP, General Counsel, Sec.	Sold	3,000	$301.31	$903,930	Form 4
Jul 24, 2026	Sameer GaurPres., Global Freight Services	Sold	1,000	$300.64	$300,640	Form 4

The latest 12 of 45 trades. Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Piotroski F-score

The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.

Test	FY23	FY24	FY25
Net income is positive	Pass	Pass	Pass
Cash from operations is positive	Pass	Pass	Pass
Return on assets rose	Pass	Pass	Pass
Cash from operations exceeds net income	Pass	Pass	Pass
Debt fell relative to assets	Fail	Pass	Fail
Current ratio rose	Fail	Pass	Fail
Share count didn't rise	Pass	Pass	Pass
Gross margin rose	Pass	Pass	Pass
Revenue rose relative to assets	Pass	Pass	Pass
F-score	7 of 9	9 of 9	7 of 9
Accruals ratio	−2.1%	−4.1%	−2.9%

The accruals ratio is net income minus cash from operations, over average total assets.

Compare

Put Wabtec side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Wabtec	FY25	7.5%	16.1%	13.4%	9.1%	2.1x	7
Oshkosh	FY25	−2.9%	9.0%	5.9%	14.8%	0.6x	5	Compare
Terex	FY25	5.7%	8.8%	5.9%	9.0%	2.9x	6	Compare
Paccar	FY25	−15.5%	—	12.9%	—	—	—	Compare
Cummins	FY25	−1.3%	11.9%	7.1%	18.3%	0.7x	7	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score above.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	2,931	3,882	4,364	8,200	7,556	7,822	8,362	9,677	10,387	11,167
Revenue growth	−11.4%	32.4%	12.4%	87.9%	−7.8%	3.5%	6.9%	15.7%	7.3%	7.5%
Gross profit	924	1,065	1,234	2,278	2,137	2,369	2,540	2,944	3,366	3,806
Research and development	71	95	88	210	162	176	209	218	206	223
Operating income	457	421	473	663	745	876	1,011	1,266	1,609	1,793
Net income	305	262	295	327	414	558	633	815	1,056	1,170
Diluted EPS (US$)	3.34	2.72	3.05	1.84	2.17	2.96	3.46	4.53	6.04	6.83
Diluted shares (millions)	91	96	96	177	190	188	183	180	175	171
Cash flow
Cash from operations	450	189	315	1,016	784	1,073	1,038	1,201	1,834	1,759
Capital expenditure	50	90	93	186	136	130	149	186	207	260
Free cash flow	400	99	221	830	648	943	889	1,015	1,627	1,499
Dividends paid	32	42	46	82	93	92	111	123	140	173
Share buybacks	212	0	0	0	207	300	473	409	1,097	223
Acquisitions	183	945	51	2,996	40	435	89	308	168	2,520
Stock-based compensation	21	21	25	50	20	46	41	47	66	80
Balance sheet at fiscal year end
Cash and short-term investments	398	233	581	604	599	473	541	620	715	789
Debt incl. finance leases	1,893	1,870	3,857	4,431	4,240	4,058	4,002	4,069	3,980	5,541
Total assets	6,581	6,580	8,649	18,944	18,454	18,454	18,516	18,988	18,702	22,069
Total liabilities	3,604	3,751	5,780	8,951	8,301	8,215	8,369	8,464	8,569	10,879
Shareholders' equity	2,206	2,809	2,865	9,956	10,123	10,201	10,102	10,487	10,091	11,142
Margins and ratios
Gross margin	31.5%	27.4%	28.3%	27.8%	28.3%	30.3%	30.4%	30.4%	32.4%	34.1%
Operating margin	15.6%	10.8%	10.8%	8.1%	9.9%	11.2%	12.1%	13.1%	15.5%	16.1%
Net margin	10.4%	6.8%	6.8%	4.0%	5.5%	7.1%	7.6%	8.4%	10.2%	10.5%
Free cash flow margin	13.7%	2.6%	5.1%	10.1%	8.6%	12.1%	10.6%	10.5%	15.7%	13.4%
Return on capital	10.4%	7.0%	7.1%	4.9%	4.0%	4.9%	5.5%	6.9%	8.9%	9.1%
Return on equity	15.6%	10.5%	10.4%	5.1%	4.1%	5.5%	6.2%	7.9%	10.3%	11.0%
Return on assets	6.2%	4.0%	3.9%	2.4%	2.2%	3.0%	3.4%	4.3%	5.6%	5.7%
Net debt to EBITDA	2.8x	3.1x	5.6x	3.6x	3.0x	2.6x	2.3x	1.9x	1.6x	2.1x

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Wabtec's Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Wabtec.