Latest Ratios: P/E Ratio 9.2x · EV/EBITDA 11.3x · ROE 20.6%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $2.2B | $2.2B | $3.0B | $2.2B | $2.5B | $3.1B | $3.1B | $2.8B | $3.0B | $4.1B | $3.0B |
| Enterprise Value | $7.5B | $7.4B | $8.4B | $7.9B | $7.9B | $8.1B | $7.9B | $7.5B | $6.9B | $6.6B | $5.5B |
| P/E Ratio → | 9.20 | 8.67 | 21.40 | 20.94 | 37.91 | 79.47 | — | 20.70 | 18.89 | 5.96 | 8.88 |
| P/S Ratio | 1.03 | 1.02 | 0.96 | 0.74 | 1.26 | 2.07 | 1.75 | 1.02 | 1.20 | 1.12 | 0.65 |
| P/B Ratio | 2.03 | 1.91 | 2.26 | 1.74 | 1.96 | 2.42 | 1.52 | 1.19 | 1.18 | 0.84 | 0.69 |
| P/FCF | — | — | — | — | — | 76.46 | — | — | — | 83.80 | 18.94 |
| P/OCF | 6.20 | 6.09 | 5.15 | 7.50 | — | 5.12 | 4.69 | 7.16 | 7.95 | 5.38 | 2.72 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.45 | 2.72 | 2.63 | 4.00 | 5.35 | 4.54 | 2.71 | 2.74 | 1.79 | 1.19 |
| EV / EBITDA | 11.26 | 11.20 | 10.68 | 11.06 | 12.97 | 15.52 | 76.43 | 11.09 | 12.11 | 8.43 | 5.33 |
| EV / EBIT | 20.85 | 11.44 | 16.93 | 18.95 | 23.59 | 32.88 | — | 18.87 | 20.74 | 17.29 | 7.35 |
| EV / FCF | — | — | — | — | — | 197.79 | — | — | — | 134.19 | 34.84 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 26.6% | 26.6% | 21.7% | 17.7% | 18.6% | 23.4% | 24.1% | 20.9% | 22.7% | 25.0% | 24.7% |
| Operating Margin | 16.6% | 16.6% | 16.0% | 14.0% | 16.9% | 16.9% | -8.8% | 14.4% | 12.6% | 15.0% | 16.2% |
| Net Profit Margin | 11.7% | 11.7% | 4.5% | 3.6% | 3.0% | 12.0% | -8.4% | 5.0% | 6.3% | 19.2% | 7.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 20.6% | 20.6% | 10.7% | 8.3% | 4.7% | 11.0% | -6.7% | 5.6% | 4.3% | 15.3% | 7.8% |
| ROA | 2.9% | 2.9% | 1.6% | 1.2% | 0.7% | 2.1% | -1.7% | 1.6% | 1.8% | 7.5% | 3.8% |
| ROIC | 4.1% | 4.1% | 5.4% | 4.6% | 3.9% | 2.9% | -1.7% | 4.4% | 3.4% | 5.8% | 8.2% |
| ROCE | 4.7% | 4.7% | 6.5% | 5.4% | 4.3% | 3.3% | -1.9% | 5.1% | 3.9% | 6.3% | 8.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 4.75 | 4.75 | 4.44 | 4.60 | 4.51 | 4.07 | 2.53 | 2.07 | 1.57 | 0.67 | 0.71 |
| Debt / EBITDA | 8.20 | 8.20 | 7.39 | 8.27 | 9.37 | 10.10 | 49.19 | 7.32 | 7.11 | 4.16 | 2.98 |
| Net Debt / Equity | — | 4.58 | 4.15 | 4.42 | 4.28 | 3.84 | 2.42 | 1.95 | 1.50 | 0.51 | 0.58 |
| Net Debt / EBITDA | 7.90 | 7.90 | 6.91 | 7.94 | 8.89 | 9.52 | 46.99 | 6.90 | 6.79 | 3.16 | 2.43 |
| Debt / FCF | — | — | — | — | — | 121.33 | — | — | — | 50.38 | 15.90 |
| Interest Coverage | 2.37 | 2.37 | 1.81 | 1.56 | 1.60 | 1.29 | -1.45 | 1.78 | 1.85 | 2.06 | 4.09 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.12 | 2.12 | 0.85 | 1.01 | 1.59 | 1.30 | 2.46 | 1.81 | 2.05 | 3.79 | 3.65 |
| Quick Ratio | 1.30 | 1.30 | 0.52 | 0.47 | 0.79 | 0.72 | 1.84 | 1.01 | 1.15 | 2.75 | 2.50 |
| Cash Ratio | 0.35 | 0.35 | 0.26 | 0.18 | 0.37 | 0.41 | 0.50 | 0.51 | 0.31 | 1.78 | 1.37 |
| Asset Turnover | — | 0.26 | 0.35 | 0.33 | 0.23 | 0.18 | 0.20 | 0.32 | 0.31 | 0.38 | 0.50 |
| Inventory Turnover | 3.38 | 3.38 | 5.06 | 3.59 | 2.56 | 2.68 | 4.65 | 5.03 | 3.70 | 4.29 | 5.19 |
| Days Sales Outstanding | — | 70.50 | 45.22 | 45.11 | 61.16 | 56.10 | 127.29 | 36.44 | 46.11 | 20.37 | 38.25 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.2% | 4.5% | 3.2% | 3.9% | 3.1% | 2.8% | 3.0% | 2.9% | 2.6% | 1.8% | 2.2% |
| Payout Ratio | 39.0% | 39.0% | 67.3% | 81.1% | 128.0% | 48.6% | — | 59.7% | 48.6% | 10.3% | 19.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 10.9% | 11.5% | 4.7% | 4.8% | 2.6% | 1.3% | — | 4.8% | 5.3% | 16.8% | 11.3% |
| FCF Yield | — | — | — | — | — | 1.3% | — | — | — | 1.2% | 5.3% |
| Buyback Yield | 3.6% | 3.6% | 1.0% | 0.3% | 2.3% | 26.9% | 6.6% | 8.3% | 17.2% | 2.3% | 1.7% |
| Total Shareholder Yield | 7.8% | 8.2% | 4.2% | 4.2% | 5.4% | 29.7% | 9.6% | 11.2% | 19.8% | 4.1% | 4.0% |
| Shares Outstanding | — | $83M | $84M | $83M | $84M | $104M | $116M | $127M | $146M | $152M | $149M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying TRN stock.
Trinity Industries, Inc.'s current P/E ratio is 9.2x. The historical average is 15.0x. This places it at the 54th percentile of its historical range.
Trinity Industries, Inc.'s current EV/EBITDA is 11.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.8x.
Trinity Industries, Inc.'s return on equity (ROE) is 20.6%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 9.5%.
Based on historical data, Trinity Industries, Inc. is trading at a P/E of 9.2x. This is at the 54th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Trinity Industries, Inc.'s current dividend yield is 4.24% with a payout ratio of 39.0%.
Trinity Industries, Inc. has 26.6% gross margin and 16.6% operating margin. Operating margin between 10-20% is typical for established companies.
Trinity Industries, Inc.'s Debt/EBITDA ratio is 8.2x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
High leverage and asset intensity
Metrics are mathematically derived from official filings.
Margin Resilience Amid Volume Decline
Despite a 42% revenue drop since 2024Q2, gross margin improved to 22.7% in 2026Q2, while operating margin fell to 12.1%, per reported quarterly data.
The gross margin expansion from 21.3% in 2024Q2 to 22.7% in 2026Q2 suggests pricing discipline or a favorable product mix, but the operating margin compression from 16.9% to 12.1% over the same period indicates that fixed costs are not flexing downward with volume. Net margin spiked to 21.1% in 2026Q2, likely due to non-operating items, which obscures the underlying earning power. Investors should focus on operating margin as the truer measure of profitability, as it excludes the volatility of tax and interest items.
Return on Capital Stuck Near 1%
ROIC has hovered between 0.9% and 1.5% over the past ten quarters, with 2026Q2 at 1.2%, according to the quarterly ratio data.
The persistently low ROIC, despite a large asset base, indicates that the company is not generating adequate returns on its invested capital. The slight improvement in 2026Q2 to 1.2% from 0.9% in the prior quarter is marginal and may reflect the one-time gains in net income. ROE spiked to 8.9% in 2026Q2, but this is distorted by the thin equity base and non-recurring items. The underlying trend suggests that capital efficiency is not improving, and the company may be destroying value relative to its cost of capital.
Working Capital Cycle Lengthens
The cash conversion cycle extended from 90 days in 2024Q2 to 122 days in 2026Q2, driven by a rise in DSO to 65 days and DIO to 123 days, per reported figures.
The lengthening of the cash conversion cycle indicates that Trinity is taking longer to convert inventory and receivables into cash, which is concerning given the revenue decline. DSO increased from 48 days to 65 days over the period, suggesting potential collection issues or a shift in customer mix. DIO also rose from 86 to 123 days, implying that inventory is not being sold as quickly, which may lead to obsolescence risks. The DPO remained relatively stable, so the company is not stretching payables to offset the working capital drag.
Leverage Elevated with Thin Coverage
Debt-to-equity stood at 4.70 in 2026Q1, with interest coverage of only 1.54x, based on the latest available quarterly data.
The high debt-to-equity ratio, combined with low interest coverage, suggests that Trinity's debt service is becoming less comfortable. Interest coverage improved to 3.08x in 2026Q2, but this is likely due to the spike in operating income from non-recurring items. The D/EBITDA ratio of 35.69 in 2026Q1 is extremely elevated, indicating that EBITDA is insufficient to service debt. This level of leverage, coupled with declining revenue, raises refinancing risk, especially if interest rates remain high.
Liquidity Buffer Improves but Cash Thin
The current ratio jumped to 3.72 in 2026Q2 from 0.85 in 2024Q4, yet cash dropped to $155.7M, according to the balance sheet data.
The improvement in the current ratio is largely due to a reduction in current liabilities, but the absolute cash balance is low relative to the company's size. The quick ratio of 1.79 in 2026Q2 suggests that the company can cover short-term obligations without relying on inventory sales, but the cash position remains vulnerable. Under a severe stress scenario, such as a prolonged downturn, the thin cash buffer may not be sufficient to cover operating needs, especially given the negative free cash flow in most quarters.
Misapplied Metric: P/E on Distorted Earnings
The trailing P/E of 9.70 is misleading because net income includes non-recurring items, as seen in the 21.1% net margin in 2026Q2, per reported data.
The P/E ratio is commonly used to value Trinity, but the earnings base is volatile and includes significant non-operating gains and losses. For example, net margin swung from 2.8% in 2025Q2 to 30.5% in 2025Q4, making the P/E unreliable. A more appropriate metric would be EV/EBITDA, which at 11.45x is still elevated but better reflects the company's operating performance. However, even EV/EBITDA is distorted by the high debt levels and the asset-heavy model. Investors should adjust for non-recurring items and consider the cyclicality of the railcar industry when valuing the company.