WAB Wabtec
too hard · 60
Owner-earnings value$187.94
Price$291.86
Margin of safety
-35.6%
Quality gate · 60/100
⚠ sub-hurdle returns (median roic 7% < 9%)
Median ROIC7.4%
Gross margin35.0%
Net debt / EBITDA1.9x
FCF conversion137%
Share count / yr-2.0%
Profitable years4/4
Moat & management
Owner-earnings inputs
| Owner earnings (TTM) | 1.49B |
| Owner-earnings yield | 3.0% |
| Free-cash-flow yield | 3.5% |
| Growth used (normalized) | 10.0% |
| Market-implied growth (reverse DCF) | 21.1% |
| Terminal growth | 3.0% |
| Discount rate (hurdle) | 9.4% |
Projected owner earnings
| Yr | Owner earnings | Growth | PV |
|---|---|---|---|
| 1 | 1.64B | 10.0% | 1.50B |
| 2 | 1.79B | 9.2% | 1.49B |
| 3 | 1.94B | 8.4% | 1.48B |
| 4 | 2.09B | 7.7% | 1.46B |
| 5 | 2.23B | 6.9% | 1.42B |
| 6 | 2.37B | 6.1% | 1.38B |
| 7 | 2.49B | 5.3% | 1.33B |
| 8 | 2.61B | 4.6% | 1.27B |
| 9 | 2.71B | 3.8% | 1.20B |
| 10 | 2.79B | 3.0% | 1.13B |
⚠ maintenance capex ≈ min(capex, D&A), capped at FCF · Price pays for ~21%/yr owner-earnings growth over 10y (reverse DCF); model credits 10%.