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ACM vs. WAB: A Head-to-Head Stock Comparison

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Here’s a clear look at ACM and WAB, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

WAB’s market capitalization of 36.68 billion USD is significantly greater than ACM’s 15.31 billion USD, highlighting its more substantial market valuation.

With betas of 0.97 for ACM and 1.13 for WAB, both stocks show similar sensitivity to overall market movements.

SymbolACMWAB
Company NameAecomWestinghouse Air Brake Technologies Corporation
CountryUSUS
SectorIndustrialsIndustrials
IndustryEngineering & ConstructionRailroads
CEOW. Troy RuddRafael Ottoni Santana
Price115.75 USD214.37 USD
Market Cap15.31 billion USD36.68 billion USD
Beta0.971.13
ExchangeNYSENYSE
IPO DateMay 10, 2007June 16, 1995
ADRNoNo

Historical Performance

This chart compares the performance of ACM and WAB by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ACM vs. WAB: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ACM

27.52%

Engineering & Construction Industry

Max
39.77%
Q3
28.08%
Median
13.64%
Q1
7.13%
Min
-14.48%

ACM’s Return on Equity of 27.52% is on par with the norm for the Engineering & Construction industry, indicating its profitability relative to shareholder equity is typical for the sector.

WAB

10.73%

Railroads Industry

Max
40.80%
Q3
24.36%
Median
18.32%
Q1
11.84%
Min
8.37%

WAB’s Return on Equity of 10.73% is in the lower quartile for the Railroads industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

ACM vs. WAB: A comparison of their ROE against their respective Engineering & Construction and Railroads industry benchmarks.

Return on Invested Capital

ACM

6.55%

Engineering & Construction Industry

Max
22.01%
Q3
12.65%
Median
8.09%
Q1
4.79%
Min
-2.53%

ACM’s Return on Invested Capital of 6.55% is in line with the norm for the Engineering & Construction industry, reflecting a standard level of efficiency in generating profits from its capital base.

WAB

8.17%

Railroads Industry

Max
11.47%
Q3
9.66%
Median
9.08%
Q1
7.36%
Min
4.32%

WAB’s Return on Invested Capital of 8.17% is in line with the norm for the Railroads industry, reflecting a standard level of efficiency in generating profits from its capital base.

ACM vs. WAB: A comparison of their ROIC against their respective Engineering & Construction and Railroads industry benchmarks.

Net Profit Margin

ACM

3.85%

Engineering & Construction Industry

Max
11.23%
Q3
6.47%
Median
3.96%
Q1
2.79%
Min
-2.45%

ACM’s Net Profit Margin of 3.85% is aligned with the median group of its peers in the Engineering & Construction industry. This indicates its ability to convert revenue into profit is typical for the sector.

WAB

10.53%

Railroads Industry

Max
27.77%
Q3
26.50%
Median
24.33%
Q1
9.34%
Min
4.79%

WAB’s Net Profit Margin of 10.53% is aligned with the median group of its peers in the Railroads industry. This indicates its ability to convert revenue into profit is typical for the sector.

ACM vs. WAB: A comparison of their Net Profit Margin against their respective Engineering & Construction and Railroads industry benchmarks.

Operating Profit Margin

ACM

5.98%

Engineering & Construction Industry

Max
13.74%
Q3
8.50%
Median
6.20%
Q1
4.58%
Min
0.34%

ACM’s Operating Profit Margin of 5.98% is around the midpoint for the Engineering & Construction industry, indicating that its efficiency in managing core business operations is typical for the sector.

WAB

16.09%

Railroads Industry

Max
41.08%
Q3
37.86%
Median
35.40%
Q1
15.99%
Min
10.85%

WAB’s Operating Profit Margin of 16.09% is around the midpoint for the Railroads industry, indicating that its efficiency in managing core business operations is typical for the sector.

ACM vs. WAB: A comparison of their Operating Margin against their respective Engineering & Construction and Railroads industry benchmarks.

Profitability at a Glance

SymbolACMWAB
Return on Equity (TTM)27.52%10.73%
Return on Assets (TTM)5.24%5.79%
Return on Invested Capital (TTM)6.55%8.17%
Net Profit Margin (TTM)3.85%10.53%
Operating Profit Margin (TTM)5.98%16.09%
Gross Profit Margin (TTM)7.09%31.55%

Financial Strength

Current Ratio

ACM

--

Engineering & Construction Industry

Max
2.02
Q3
1.66
Median
1.38
Q1
1.24
Min
0.94

Current Ratio data for ACM is currently unavailable.

WAB

1.34

Railroads Industry

Max
1.97
Q3
1.41
Median
0.85
Q1
0.77
Min
0.62

WAB’s Current Ratio of 1.34 aligns with the median group of the Railroads industry, indicating that its short-term liquidity is in line with its sector peers.

ACM vs. WAB: A comparison of their Current Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Debt-to-Equity Ratio

ACM

1.32

Engineering & Construction Industry

Max
1.76
Q3
0.91
Median
0.67
Q1
0.28
Min
0.01

ACM’s leverage is in the upper quartile of the Engineering & Construction industry, with a Debt-to-Equity Ratio of 1.32. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

WAB

0.39

Railroads Industry

Max
2.11
Q3
1.44
Median
1.19
Q1
0.72
Min
0.39

Falling into the lower quartile for the Railroads industry, WAB’s Debt-to-Equity Ratio of 0.39 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ACM vs. WAB: A comparison of their D/E Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Interest Coverage Ratio

ACM

5.28

Engineering & Construction Industry

Max
20.20
Q3
11.91
Median
6.46
Q1
3.18
Min
-2.69

ACM’s Interest Coverage Ratio of 5.28 is positioned comfortably within the norm for the Engineering & Construction industry, indicating a standard and healthy capacity to cover its interest payments.

WAB

8.45

Railroads Industry

Max
8.45
Q3
7.16
Median
6.40
Q1
5.53
Min
4.30

WAB’s Interest Coverage Ratio of 8.45 is in the upper quartile for the Railroads industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

ACM vs. WAB: A comparison of their Interest Coverage against their respective Engineering & Construction and Railroads industry benchmarks.

Financial Strength at a Glance

SymbolACMWAB
Current Ratio (TTM)--1.34
Quick Ratio (TTM)--0.73
Debt-to-Equity Ratio (TTM)1.320.39
Debt-to-Asset Ratio (TTM)0.260.21
Net Debt-to-EBITDA Ratio (TTM)1.231.64
Interest Coverage Ratio (TTM)5.288.45

Growth

The following charts compare key year-over-year (YoY) growth metrics for ACM and WAB. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ACM vs. WAB: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ACM vs. WAB: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ACM vs. WAB: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ACM

0.86%

Engineering & Construction Industry

Max
1.31%
Q3
0.40%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 0.86%, ACM offers a more attractive income stream than most of its peers in the Engineering & Construction industry, signaling a strong commitment to shareholder returns.

WAB

0.42%

Railroads Industry

Max
4.30%
Q3
2.64%
Median
2.21%
Q1
1.33%
Min
0.43%

WAB’s Dividend Yield of 0.42% is below the typical range for the Railroads industry. This indicates that shareholder returns are likely driven more by potential capital appreciation than by dividend income.

ACM vs. WAB: A comparison of their Dividend Yield against their respective Engineering & Construction and Railroads industry benchmarks.

Dividend Payout Ratio

ACM

20.16%

Engineering & Construction Industry

Max
32.30%
Q3
7.09%
Median
0.00%
Q1
0.00%
Min
0.00%

ACM’s Dividend Payout Ratio of 20.16% is in the upper quartile for the Engineering & Construction industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

WAB

13.29%

Railroads Industry

Max
69.30%
Q3
47.83%
Median
32.93%
Q1
18.85%
Min
13.29%

WAB’s Dividend Payout Ratio of 13.29% is in the lower quartile for the Railroads industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

ACM vs. WAB: A comparison of their Payout Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Dividend at a Glance

SymbolACMWAB
Dividend Yield (TTM)0.86%0.42%
Dividend Payout Ratio (TTM)20.16%13.29%

Valuation

Price-to-Earnings Ratio

ACM

24.84

Engineering & Construction Industry

Max
95.41
Q3
56.70
Median
32.28
Q1
22.94
Min
4.72

ACM’s P/E Ratio of 24.84 is within the middle range for the Engineering & Construction industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

WAB

33.05

Railroads Industry

Max
26.01
Q3
22.00
Median
19.48
Q1
17.09
Min
16.09

At 33.05, WAB’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Railroads industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

ACM vs. WAB: A comparison of their P/E Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Forward P/E to Growth Ratio

ACM

2.51

Engineering & Construction Industry

Max
4.99
Q3
3.64
Median
2.51
Q1
1.64
Min
0.03

The Forward PEG Ratio is often not a primary valuation metric in the Engineering & Construction industry.

WAB

3.48

Railroads Industry

Max
1.85
Q3
1.84
Median
1.79
Q1
1.59
Min
1.52

The Forward PEG Ratio is often not a primary valuation metric in the Railroads industry.

ACM vs. WAB: A comparison of their Forward PEG Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Price-to-Sales Ratio

ACM

0.95

Engineering & Construction Industry

Max
3.34
Q3
2.05
Median
1.50
Q1
0.83
Min
0.44

ACM’s P/S Ratio of 0.95 aligns with the market consensus for the Engineering & Construction industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

WAB

3.49

Railroads Industry

Max
6.74
Q3
5.30
Median
4.55
Q1
2.73
Min
0.42

WAB’s P/S Ratio of 3.49 aligns with the market consensus for the Railroads industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ACM vs. WAB: A comparison of their P/S Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Price-to-Book Ratio

ACM

6.71

Engineering & Construction Industry

Max
10.70
Q3
7.33
Median
4.69
Q1
2.53
Min
0.79

ACM’s P/B Ratio of 6.71 is within the conventional range for the Engineering & Construction industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

WAB

3.53

Railroads Industry

Max
5.11
Q3
4.36
Median
3.70
Q1
1.98
Min
1.00

WAB’s P/B Ratio of 3.53 is within the conventional range for the Railroads industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ACM vs. WAB: A comparison of their P/B Ratio against their respective Engineering & Construction and Railroads industry benchmarks.

Valuation at a Glance

SymbolACMWAB
Price-to-Earnings Ratio (P/E, TTM)24.8433.05
Forward PEG Ratio (TTM)2.513.48
Price-to-Sales Ratio (P/S, TTM)0.953.49
Price-to-Book Ratio (P/B, TTM)6.713.53
Price-to-Free Cash Flow Ratio (P/FCF, TTM)18.3124.94
EV-to-EBITDA (TTM)14.5119.80
EV-to-Sales (TTM)1.043.81