(TRN) - company registered an 11.1% earnings surprise for the first quarter of this year

Trinity Industries, Inc. (TRN) has exceeded earnings estimates for five consecutive quarters, with four of them coming by double-digit percentages. Three analysts have raised their numbers for this year, while two have done so for next year. . As one would expect, earnings estimates have been on the rise. Over the past 60 days, this year's estimates have jumped 15.2%, while next year's numbers have climbed 7.4%. The stock is cheap at 13.6x next year's estimates of $2.91 per share, below the long-term growth rate of 17.77%, giving the stock a PEG ratio of 0.77 Full Analysis Trinity Industries, Inc., a diversified industrial company, provides various products and services for the transportation, industrial, construction, and energy sectors in the United States. It operates in five groups: Rail, Construction Products, Inland Barge, Energy Equipment, and Railcar Leasing and Management Services. The company's customers include railroads, leasing companies, and shippers, such as utilities, petrochemical companies, grain shippers, and construction and industrial companies. TRN recently raised their second-quarter earnings guidance due to a strong construction season. The company now sees earnings between 60 cents and 65 cents per share, up from the previous prediction of between 52 cents and 57 cents per share. Both the old and new guidance account for a 3-for-2 stock split on June 9. The current consensus estimate is 62 cents per share for the second quarter. "All of our business segments continue to perform well, which will result in a stronger second quarter than we anticipated," said Timothy R. Wallace, Trinity's Chairman, President and CEO. "Our rail and barge businesses have exceeded our previous expectations. The weather during the second quarter in the southwestern U.S. has been generally favorable for our Construction Products Group and we have maintained our momentum in the Energy Equipment Group, specifically in the Structural Wind Tower business." The company registered an 11.1% earnings surprise for the first quarter of this year. Earnings per share of 47 cents (split-adjusted) beat the 42-cent estimate and easily surpassed the 10 cents per share it earned last year. Trinity received new orders for 12,941 railcars in North America during the first quarter, the highest quarterly order volume since 1998. The Company shipped 6,164 railcars in North America during the first quarter, the highest quarterly total since 1999. From the total shipments, the Company added more than 1,800 new railcars to its lease fleet during the first quarter, bringing the total number of railcars in the fleet to approximately 26,000. The company has exceeded earnings estimates for five consecutive quarters, with four of them coming by double-digit percentages. Three analysts have raised their numbers for this year, while two have done so for next year. As one would expect, earnings estimates have been on the rise. Over the past 60 days, this year's estimates have jumped 15.2%, while next year's numbers have climbed 7.4%. The stock is cheap at 13.6x next year's estimates of $2.91 per share, below the long-term growth rate of 17.77%, giving the stock a PEG ratio of 0.77. Note: The Zacks Rank is a very sensitive indicator that can change frequently for an individual stock. The ranks are updated every Monday morning on Zacks.com. As such, it is prudent to check the site for the latest Zacks Rank on the stocks highlighted in this section. Simply click the link for the stock or enter the symbol in the ticker entry box in the upper left hand corner of the web site. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. Blog Home