GATX Corporation (NYSE:GATX) is trending higher in the market today as the company shares are trading 3.15% or 2.35 points down from last closing price of $74.52, reaching $72.17 at last check. Any clue why there is so much of action in the GATX stock? The share price has dropped in 3 of the last 5 days and is down -2.18% over the past week. It will be exciting to see whether the stock manages to continue decreasing or take a minor break for the next few days. The move came on weak volume too with far less shares changing hands than in a normal session. Trading activity as of this writing weakened by -160,056 shares, and in total 60544 shares valued at $4.369 million were seen changing hands compared with 220600 shares valued at $16.439 million recorded at the previous session. You should take into consideration that a falling volume on lower prices shows the bearish trend but this is an early indication which means that the GATX stock is near its bottom.
GATX Corporation (GATX) shares have notched a 3-month decline of about -2.18%, but has still advanced 5.89% year to date. By comparison, the stock sank -11.1% over the past 12 months, while it slipped -1.19% over the 1 month. The company’s market cap is around $2.73B, with its short interest ratio standing at 24.65%.
In the current trading session for GATX, the stock witnessed two major price actions, it rose to a high of $73.26 and was down as much as $72.17 at one point. The high recorded is very low when compared to their 52-week high which is $67.46. The 52-week high is now at -19.48 distance from current price. Their recent low of $89.94 represents a 7.35% recovery. This data is quite important for investors who look to benefit from the recent rise of the company’s stock. The price target currently for GATX is $79.4, this is below the recent high that the stock attained. Taking a look at the overall sentimental views of financial analysts, the trading pattern of this stock recently is very clear.
The stock of GATX Corporation earned $5.06 per share in the trailing 12 months and has a P/E ratio of 14.26. You can compare it with that of similar companies in its industry to get a sense of whether the stock you’re looking to purchase is overvalued or undervalued. Its current price to earnings ratio is lower than the ones recorded by the industry which is 19.3 and lower compared to the sector’s average of 21.14. When the P/E ratio is low let’s say below 1.0, then the stock price is considered a good value. GATX also has P/S multiple of 1.9. This is smaller versus the 12 month P/S ratios of other companies in the same indutry. The peer average price to sales ratio is 36.96x.
The company recorded an interesting insider sale transaction by the EVP on Aug 06, 2019. A Securities and Exchanges Commission filings show that Robert C Lyons sold a total of 3,895 GATX shares that day for a sum of around $288,230. The filings show that the insider now retains 66,663 shares, currently worth $4,811,069. GATX Corporation (GATX) insiders have acquired 5,296 shares in the stock within the past three months. The total insider sales reported to the SEC in that time frame amounted to 43,042 shares. In total, individual insiders traded 48,338 shares in the business, which makes up 20.745% of 233,011 shares that were traded over a year. In the past 12 months, insiders have purchased 39,152 shares while the seller parted with 193,859 shares.
GATX‘s last price was down -4.5% as compared to the average trading price of 50 days recorded at $75.57 while enlarging the period to 200 trading days, the average closing price was $75.67. At present, there are 36.35 million in the total number of common shares owned by the public and among those 35.11 million shares have been available to trade. The percentage of shares being held by the company management was 0.8% while institutions stake was 0%. The company has generated positive returns on equity over the last 12 months (11.3%). It managed to keep its gross profit margin at 66.8% over the past 12 months.
When assessing the full upside of the GATX stock, there is another set of technicals that should be looked into and considered. Its -4.71% decline from moving average of $75.74 has brought about a negative sentiment when calculated over the last 20 days. The market has allocated a beta of 1.5 to the stock. With the beta been greater than one, this implies that the company shares are theoretically more volatile than the market, something that the traders definitely are keeping an eye on.
Most of the analysts surveyed by Thomson/First Call think quite highly of GATX Corporation — 2 analysts rate the stock as a buy with another 0 rating it strong buy. There are 0 analysts who maintain a hold rating for the stock, with 0 giving it a sell rating. Analysts arrived at a 12-month price target of $88.5 on shares of GATX Corporation (NYSE:GATX), which corresponds to 22.09% upside potential than its current market price of $72.17 and implies potential despite the recent drop in the price. However, their current target price has climbed from $82.25 a month ago and is up handily from the consensus target of $82.25 a quarter ago.
In the last five years, the EPS of the company has been roughly 7.2%. Though the percentage looks disappointing, extra tailwinds are emerging as looking out over a next 5-year period, with analysts estimating that their earnings will increase annually by 12%. The revenue of the company has risen at an average annualized rate of about 0.6 over the last five years. The company recently recorded an increase of 2.8%, but this figure is rather unattractive.