Here's Why Investors Should Bet on Wabtec Stock Right Now

Westinghouse Air Brake Technologies WAB, operating as Wabtec Corp., is benefiting from robust demand driving backlog growth. Moreover, shareholder-friendly initiatives are further boosting the company’s prospects. Due to these tailwinds, WAB shares have performed impressively on the bourse. If you have not taken advantage of its share price appreciation yet, it’s time to do so.Let’s delve deeper.WAB’s Northward Earnings Estimate Revision: The Zacks Consensus Estimate for earnings per share has been revised upward by 0.9% over the past 60 days for the current quarter. For 2025, the consensus mark for earnings per share has moved 2% north in the same time frame. The favorable estimate revisions indicate brokers’ confidence in the stock.Robust Price Performance: A look at the company’s price trend reveals that its shares have risen 18.5% over the past year, surpassing the  Zacks Transportation - Equipment and Leasing industry’s 14.9% decline.Image Source: Zacks Investment ResearchPositive Earnings Surprise History: Wabtec has an encouraging earnings surprise history. The company's earnings outpaced the Zacks Consensus Estimate in three of the trailing four quarters and missed once in the remaining quarter, delivering an average surprise of 5.9%.Solid Zacks Rank: WAB currently carries a Zacks Rank #2 (Buy).Bullish Industry Rank: The industry to which WAB belongs currently has a Zacks Industry Rank of 68 (out of 245). Such a favorable rank places it in the top 28% of Zacks Industries.Studies show that 50% of a stock’s price movement is directly related to the performance of the industry group it belongs to.A mediocre stock within a strong group is likely to outperform a robust stock in a weak industry. Reckoning the industry’s performance becomes imperative.Growth Factors: Wabtec is demonstrating strong momentum, with its growing backlog signaling a bullish outlook. The company boosted its 12-month backlog by 6.3% year over year to $8.2 billion, showing rising short-term demand and solidifying near-term revenue visibility in the first quarter of 2025. It also expanded its total multi-year backlog to $22.3 billion. By steadily building both near and long-term backlog, WAB positions itself for sustained revenue growth and operational stability.Wabtec has consistently demonstrated a strong commitment to delivering value to its shareholders through regular dividends and share repurchases. In 2021, the company returned $92 million in dividends and repurchased $300 million in shares. These figures increased to $111 million and $473 million in 2022, and $123 million and $409 million in 2023. In 2024, Wabtec significantly ramped up its capital returns, delivering a total of $1.2 billion to shareholders through a combination of dividends and share buybacks. Further underscoring its shareholder focus, the company approved a 25% dividend increase in the fourth quarter of 2024, raising the dividend to $0.25 per share, effective March 7, 2025.Other Stocks to ConsiderInvestors interested in the Transportation sector may also consider Copa Holdings CPA and Ryanair RYAAY.CPA currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.CPA has an expected earnings growth rate of 13.5% for the current year. The company has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 5.5%. Shares of CPA have risen 16.1% year to date.RYAAY currently sports a Zacks Rank of 1.RYAAY has an expected earnings growth rate of 30.5% for the current year. The company has a mixed earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in two of the trailing four quarters and missed twice, delivering an average beat of 46.6%. Shares of RYAAY have rallied 26.3% year to date.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.0% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>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 Ryanair Holdings PLC (RYAAY): Free Stock Analysis Report Copa Holdings, S.A. (CPA): Free Stock Analysis Report Wabtec (WAB): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks