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WAB (Westinghouse Air Brake Technologies) Return-on-Tangible-Equity : Negative Tangible Equity% (As of Mar. 2025)


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What is Westinghouse Air Brake Technologies Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Westinghouse Air Brake Technologies's annualized net income for the quarter that ended in Mar. 2025 was $1,288 Mil. Westinghouse Air Brake Technologies's average shareholder tangible equity for the quarter that ended in Mar. 2025 was $-1,432 Mil. Therefore, Westinghouse Air Brake Technologies's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was Negative Tangible Equity%.

The historical rank and industry rank for Westinghouse Air Brake Technologies's Return-on-Tangible-Equity or its related term are showing as below:

WAB' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 86.41   Med: 86.41   Max: 86.41
Current: Negative Tangible Equity

During the past 13 years, Westinghouse Air Brake Technologies's highest Return-on-Tangible-Equity was 86.41%. The lowest was 86.41%. And the median was 86.41%.

WAB's Return-on-Tangible-Equity is ranked better than
99.9% of 958 companies
in the Transportation industry
Industry Median: 10.185 vs WAB: Negative Tangible Equity

Westinghouse Air Brake Technologies Return-on-Tangible-Equity Historical Data

The historical data trend for Westinghouse Air Brake Technologies's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Westinghouse Air Brake Technologies Return-on-Tangible-Equity Chart

Westinghouse Air Brake Technologies Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

Westinghouse Air Brake Technologies Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

Competitive Comparison of Westinghouse Air Brake Technologies's Return-on-Tangible-Equity

For the Railroads subindustry, Westinghouse Air Brake Technologies's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Westinghouse Air Brake Technologies's Return-on-Tangible-Equity Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Westinghouse Air Brake Technologies's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Westinghouse Air Brake Technologies's Return-on-Tangible-Equity falls into.


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Westinghouse Air Brake Technologies Return-on-Tangible-Equity Calculation

Westinghouse Air Brake Technologies's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=1056/( (-1498+-1553 )/ 2 )
=1056/-1525.5
=Negative Tangible Equity %

Westinghouse Air Brake Technologies's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=1288/( (-1553+-1311)/ 2 )
=1288/-1432
=Negative Tangible Equity %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Westinghouse Air Brake Technologies  (NYSE:WAB) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Westinghouse Air Brake Technologies Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Westinghouse Air Brake Technologies's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Westinghouse Air Brake Technologies Business Description

Address
30 Isabella Street, Pittsburgh, PA, USA, 15212
Westinghouse Air Brake Technologies Corp provides value-added, technology-based products and services for the freight rail and passenger transit industries and the mining, marine, and industrial markets. It provides its products and services through two main business segments: Freight and Transit. The company generates maximum revenue from the Freight segment, which manufactures new and modernized locomotives, provides aftermarket parts and services to existing locomotives, provides components to new and existing freight cars; builds new commuter locomotives; supplies rail control and infrastructure products, including electronics, positive train control equipment, signal design, and engineering services. Geographically, it generates a majority of its revenue from the United States.
Executives
Rafael Santana officer: President and CEO C/O TRANSPORTATION SYSTEMS HOLDINGS INC., 901 MAIN AVENUE, NORWALK CT 06851
Gregory Sbrocco officer: Sr. VP, Global Operations 1001 AIR BRAKE AVENUE, WILMERDING PA 15148
Albert J Neupaver director
Mastalerz John A Jr officer: VP Fin., Corp. Controller, CAO 1001 AIR BRAKE AVENUE, WILMERDING PA 15148
David L Deninno officer: Exec VP, General Counsel, Sec. 1001 AIR BRAKE AVENUE, WILMERDING PA 15148
Pascal Schweitzer officer: President, Services Group C/O TRANSPORTATION SYSTEMS HOLDINGS INC., 901 MAIN AVENUE, NORWALK CT 06851
Alicia Hammersmith officer: President - Services Group 30 ISABELLA STREET, PITTSBURGH PA 15212
Rogerio Mendonca officer: President, Equipment Group 30 ISABELLA STREET, PITTSBURGH PA 15212
Brian Hehir director 1001 AIR BRAKE AVENUE, WILMERDING PA 15148
Eric Gebhardt officer: Chief Technology Officer 30 ISABELLA STREET, PITTSBURGH PA 15212
Nicole B Theophilus officer: EVP & Chief H.R. Officer C/O WEST CORPORATION, 11808 MIRACLE HILLS DRIVE, OMAHA NE 68154
Kristine Kubacki other: VP, Investor Relations 1001 AIR BRAKE AVENUE, WILMERDING PA 15148
Michael Fetsko officer: Pres., Freight Components Grp. 1001 AIR BRAKE AVENUE, WILMERDING PA 15148
William E Kassling director C/O WASTEC, 10001 AIR BREAK AVE, WILMERDING PA 15148
Linda S Harty director MEDTRONIC PLC, 710 MEDTRONIC PARKWAY NE, LC-150, MINNEAPOLIS MN 55432