Research Alert: Wabtec Beats Q1 Expectations, 2026 Guidance Lifted
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:WAB delivered a strong Q1 beat with adjusted EPS of $2.71 (+18.9% Y/Y) vs. consensus of $2.52, while sales reached $2.95B (+13.0% Y/Y) driven by solid revenue and margin performance across both operating segments. Transit was a standout with sales of $835M (+17.8% Y/Y) and adjusted operating margin improving 200 bps to 16.6%, supported by the Dellner acquisition, organic growth of 11%, and favorable FX impacts. Freight posted mixed but positive results with sales of $2.12B (+11.3% Y/Y) and adjusted operating margin of 26.0% (+30 bps), as Equipment sales surged 52.5% from higher locomotive deliveries and strong mining demand, while Digital revenues jumped 75.7% benefiting from recent acquisitions including Inspection Tech and Frauscher, though Services declined 17.3%. Total backlog expanded 38.1% to $30.8B, providing strong revenue visibility with notable Q1 wins including a multi-billion-dollar mining contract for drive systems and $210M Massachusetts Bay Transit Authority modernization order.