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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Lee Lichterman III who wrote (70417)	6/3/2022 3:39:09 AM
From: bruwin	1 Recommendation Recommended By Lee Lichterman III Respond to of 78774

TRN. A few comments from the past ....... Message 32338875 Message 32338925 At TRN's current price of ~$25 it's done very little since September 2019 when its price was around $21 ...... it appears to have a "Resistance/Support" area at around $25 ..... It seems there's also been a fall off in its Top Line Revenue and Operating Income since 2018 .....

To: Lee Lichterman III who wrote (70417)	6/3/2022 8:33:06 AM
From: E_K_S	1 Recommendation Recommended By Lee Lichterman III Respond to of 78774

Re: TRN Below is the competitor screen from Barchart.com From the group I own TRN, GBX, TRTN & TGH. Owned RAIL in the past but sold it all a few years ago TRTN & TGH lease/own shipping containers and recently (past 3 years) have been growing their management service business for larger clients. These service revenues have increased their cash flows (and EPS) w/o significant new capital investments (other than in IT management software). The management and service business for rail cars is similar and is the future growth component for TRN & GBX. Their business is cyclical and capital intensive so you see a lot of one time write downs, large depreciation expenses and high debt/equity. I look at FCF from the income statement. The DATAROMA site breaks this out and TRN has positive FCF (+21.3M) and GBX is negative (Free Cash Flow (TTM) -446.647M): I saw this news story on Wednesday: Trinity (TRN) Acquires Quasar, Expands Trinsight Platform The acquisition of Quasar, a rail logistics software platform providing real-time data to freight rail shippers and operators, expands Trinity’s digital product portfolio, including Trinsight, by adding capabilities such as yard management, activity-based costing and new data visualization tools. Based on the container companies (TGH & TTRN) entry into management services( a big push in 2019), it looks like TRN is making a similar move. Revenues/employee is larger for TRN (Revenue per Employee (TTM) 259366.9803) vs GBX (Revenue per Employee (TTM) 169777.5728) or almost 50% higher. That may/could grow more w/ the expansion of their 'Trinsight Platform' service software management platform. My avg cost for TRN is $16.29/share from buys in 2016. Div yield 3.7% -------------------------------------------------------------- TGH & TRTN have had a good run since my Buys in 2019 (TGH avg cost $7.15/share) especially moving into the management service area and the whole supply chain growth. Will this happen in the rail car service area? That's my thesis for TRN as I peeled off shares at/above $30/share earlier this year and am now starting to buy those shares back (20% lower). I have been selling TGH & TRTN and think this may be a good area to deploy those funds. Have also moved some of those monies into domestic warehouse REITs. I like TRN over GBX an my total exposure still quite small less than 0.5% portfolio position combined.