Latest news with #TheGreenbrierCompanies
Yahoo
28-04-2025
- Business
- Yahoo
Is The Greenbrier Companies, Inc. (GBX) Among The Best Railroad Stocks To Buy According To Billionaires?
We recently published a list of . In this article, we are going to take a look at where The Greenbrier Companies, Inc. (NYSE:GBX) stands against other best railroad metals stocks to buy according to billionaires. The trade war initiated by President Trump will force freight railroads to position themselves for the chain reaction. Tariffs on Mexico, Canada, China, and Europe will set in and shake up the trade network. In 2024 alone, American railroads moved $203.1 billion worth of goods across the Canadian and Mexican borders. The rail sector remains a vital economic engine, generating $233.4 billion in output and supporting approximately 750,000 jobs in 2023. At the same time, railroads also demonstrated their commitment to long-term growth by reinvesting $26.8 billion into infrastructure last year. While much of the attention has been on autos and consumer goods, chemicals are a critical piece of the puzzle. The United States exported over $28 billion in chemicals to Canada last year and imported around $25 billion, making Canada the top supplier of chemical imports. Canada also plays a strategic role in the US critical minerals supply chains, EV battery production, and energy imports, including crude oil, natural gas, and electricity. Industry experts warn that new tariffs could drive up costs across sectors, from chemicals used in drinking water treatment to construction materials like lumber, creating potential inflationary pressure. Despite the risks, Wall Street remains cautiously optimistic. Analysts believe the supply chain could adapt, especially for goods like lumber that already face steep tariffs. Early signs suggest the administration is moving deliberately, giving companies time to adjust strategies. Railroads and freight remain central players, particularly with Mexico's auto exports, 70% of which move by rail, and chemicals are heavily reliant on cross-border logistics. Longer term, a trade war could test the strength of USMCA relationships and ripple across North American supply chains, but for now, businesses are preparing while the administration signals a phased approach. In November 2024, Joe Hinrichs, CEO of a leading US rail company, shared an insight with CNBC's Jim Cramer that still holds true today: 'From our standpoint, actually, as long as it's coming to the U.S., we're going to move it somewhere. If tariffs change the trade portfolio — as long as the economy's growing, we'll be a part of it.' Warren Buffett is a major investor in the railroad industry and has commented that the railroad industry, including BNSF, is a "better business now" than it was in the past. With that outlook in mind, let's take a look at some of the best railroad stocks that billionaires are piling into. A freight train carrying railcar equipment in the foreground with a commercial area in the background. For this article, we focused on making a list of all railroad and railcar stocks publicly listed in the United States. Using Insider Monkey's Q4 2024 database, we examined billionaire sentiment for each stock and selected the 10 most popular ones. The stocks are ranked in ascending order based on the number of billionaire investors as of Q4 2024. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). Number of Billionaire Investors: 11 Stake Value of Billionaire Holdings: $86,312,886 The Greenbrier Companies, Inc. (NYSE:GBX) is a railcar manufacturer and service provider operating in North America, Europe, and South America. It has three business segments – Manufacturing, Maintenance Services, and Leasing & Management Services. GBX produces freight railcars, offers railcar repairs and parts, and manages a fleet of around 15,000 leased railcars. It ranks 7th on our list of the best railroad stocks to invest in. On April 3, The Greenbrier Companies, Inc. (NYSE:GBX) announced a dividend of $0.32 per share, a 7% increase from its last dividend of $0.30. This marks GBX's 44th consecutive quarterly dividend. The dividend will be paid on May 13, to shareholders listed by April 22. For the second quarter of fiscal 2025, The Greenbrier Companies, Inc. (NYSE:GBX) reported net earnings of $52 million on $762 million in revenue. This includes a $6 million charge due to the closure of a European manufacturing facility, which impacted earnings but did not affect the overall strong performance. The company also performed well in its leasing business, with a fleet utilization rate of 98% and a gross margin of 18%, which is consistent with the company's target range. During the quarter, Greenbrier secured 3,100 new orders worth nearly $400 million, bringing its railcar backlog to 20,400 units valued at about $2.6 billion. According to Insider Monkey's data, 11 billionaire investors were bullish on The Greenbrier Companies, Inc. (NYSE:GBX) in Q4 2024. Overall, GBX ranks 7th among the 10 Best Railroad Stocks To Buy According To Billionaires. While we acknowledge the potential of GBX as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than GBX but that trades at less than 5 times its earnings, check out our report about this . READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
22-04-2025
- General
- Yahoo
Fire erupts in sandblasting equipment at industrial site south of Kennewick
A fire broke out at the Finley branch of Greenbrier Rail Services on Monday afternoon. Employees noticed smoke about 12:50 p.m. outside a long building where train cars have paint, rust and other debris sandblasted off, said Jenna Roberts, the Benton County Fire Distrct 1 public information officer. Firefighters soon discovered the fire was contained to a large collection bin outside the building at the 228919 E. Cochran Road. Oregon-based The Greenbrier Companies offers rail car repair and maintenance around the world. They also offer logistics support. About 60 people were working at the Finley operation on Monday when the fire started but no one was hurt. Roberts said the fire burned some paper filters inside the bin, and Benton County and Kennewick fire department crews put out the remaining fire. Fire burned several filters but Roberts said the building was not damaged and there was only minor damage to the bin. The cause is being investigated.
Yahoo
08-04-2025
- Business
- Yahoo
Greenbrier Companies' (NYSE:GBX) Shareholders Will Receive A Bigger Dividend Than Last Year
The board of The Greenbrier Companies, Inc. (NYSE:GBX) has announced that the dividend on 13th of May will be increased to $0.32, which will be 6.7% higher than last year's payment of $0.30 which covered the same period. This makes the dividend yield 2.7%, which is above the industry average. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. While it is great to have a strong dividend yield, we should also consider whether the payment is sustainable. Greenbrier Companies is quite easily earning enough to cover the dividend, however it is being let down by weak cash flows. In general, we consider cash flow to be more important than earnings, so we would be cautious about relying on the sustainability of this dividend. Over the next year, EPS is forecast to expand by 2.1%. If the dividend continues along recent trends, we estimate the payout ratio will be 22%, which is in the range that makes us comfortable with the sustainability of the dividend. See our latest analysis for Greenbrier Companies The company has been paying a dividend for a long time, and it has been quite stable which gives us confidence in the future dividend potential. Since 2015, the annual payment back then was $0.60, compared to the most recent full-year payment of $1.20. This works out to be a compound annual growth rate (CAGR) of approximately 7.2% a year over that time. Dividends have grown at a reasonable rate over this period, and without any major cuts in the payment over time, we think this is an attractive combination as it provides a nice boost to shareholder returns. Some investors will be chomping at the bit to buy some of the company's stock based on its dividend history. Greenbrier Companies has seen EPS rising for the last five years, at 26% per annum. Earnings have been growing rapidly, and with a low payout ratio we think that the company could turn out to be a great dividend stock. Overall, this is probably not a great income stock, even though the dividend is being raised at the moment. With cash flows lacking, it is difficult to see how the company can sustain a dividend payment. Overall, we don't think this company has the makings of a good income stock. Market movements attest to how highly valued a consistent dividend policy is compared to one which is more unpredictable. However, there are other things to consider for investors when analysing stock performance. Just as an example, we've come across 3 warning signs for Greenbrier Companies you should be aware of, and 1 of them is significant. Is Greenbrier Companies not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
