FreightCar America, Inc. (RAIL) Stock

FreightCar America, Inc. (RAIL) is a Industrials stock trading at $7.23 (as of 2026-08-20), with a market capitalization of $237.08M. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

FreightCar America, Inc., through its subsidiaries, designs, manufactures, and sells railcars and railcar components for the transportation of bulk commodities and containerized freight products primarily in North America. It operates in two segments, Manufacturing and Parts. The company offers a range of freight cars, including open top hoppers; covered hopper cars; gondolas; triple hoppers and hybrid aluminum/stainless steel railcars; ore hopper and gondola railcars; ballast hopper cars; aggregate hopper cars; intermodal flats; and non-intermodal flat cars. It also provides railcars, including coal cars, bulk commodity cars, coil steel cars, and boxcars; and woodchip hoppers, aluminum vehicle carriers, and articulated bulk container railcars. In addition, the company sells used railcars; leases, rebuilds, and converts railcars; and sells forged, cast, and fabricated parts for various railcars. It also exports its manufactured railcars to Latin America and the Middle East. The company's customers primarily include financial institutions, railroads, and shippers. FreightCar America, Inc. was founded in 1901 and is headquartered in Chicago, Illinois.

Understand FreightCar America, Inc.: how it makes money

FreightCar America designs, manufactures, and sells railcars and railcar components for bulk commodities and containerized freight, making money primarily by booking railcar orders and then generating revenue when railcars are delivered (with additional value from parts).

Profit and revenue are driven by the flow from ordered railcars into scheduled deliveries, so order momentum (book-to-bill and railcar orders booked) and backlog size (remaining performance obligations) are key to future revenue visibility, while current profitability depends on how effectively deliveries convert into operating margin.

Business quality (Weak): In the latest reported quarter, profitability was weak at the operating level (operating margin -0.9%) despite positive gross margin (16.8%), but order momentum looks strong (Book-to-Bill Ratio 2.6) with sizable remaining backlog (Remaining Performance Obligations Rail Cars 3800), which can support future delivery-driven revenue.

Valuation: At 14× earnings, RAIL trades 24% below the Shipbuilding & Railroad Equipment average (19×). Note: one-time items can distort reported P/E.

Bull case

  • Strong order momentum: Book-to-Bill Ratio was 2.6, supported by Value of Rail Car Orders Booked of 0.11 USD_B.
  • Backlog provides delivery visibility: Remaining Performance Obligations Rail Cars were 3800, with Planned Railcar Deliveries of 710.

Bear case

  • Operating losses despite gross profit: Operating margin was -0.9% in the latest quarter, even though gross margin was 16.8%.
  • Revenue depends on delivery execution and timing: Railcars Delivered (Company Deliveries) were 577 versus Remaining Performance Obligations Rail Cars of 3800, so future results depend on converting backlog into completed deliveries.
Valuation — source: SEC EDGAR (first-party)
Price$7.23
Market Cap$237.08M
EV / EBITDA11.3
Price / Book6.55
Price / Sales0.51
FCF Yield7.5%
DCF Value (model)$17.74
DCF Upside vs Price145.4%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$500.99M
Net Margin7.6%
Revenue Growth (YoY)-4.6%
EPS Growth (YoY)-361.1%
FCF Growth (YoY)43.3%
Financial Health — source: SEC EDGAR
Altman Z-Score1.75 (distress)
Piotroski F-Score6/9 (moderate)
Valuation vs Sector & Industry
Sector P/E (Industrials)25.9
Industry P/E (Shipbuilding & Railroad Equipment)21.0
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderAllianz Asset Management GmbH ($12.33M)
Institutional Holders Tracked10
Company
SectorIndustrials
IndustryShipbuilding & Railroad Equipment
CEONicholas J. Randall
Employees2,030
CountryUS
IPO Date2005-04-06

Related Companies (Business model: Industrials / Capital Goods (Heavy Machinery + Diversified Industrials); 8 closest by market cap; US-domiciled)

  • Trinity Industries, Inc. (TRN)
  • The Greenbrier Companies, Inc. (GBX)
  • MasterCraft Boat Holdings, Inc. (MCFT)
  • Holley Inc. (HLLY)
  • Strattec Security Corporation (STRT)
  • LiveWire Group, Inc. (LVWR)
  • Motorcar Parts of America, Inc. (MPAA)
  • Stoneridge, Inc. (SRI)
RAIL earnings history · RAIL institutional & insider holders · RAIL KPIs & operating metrics · RAIL financials · RAIL investor presentations & press releases · RAIL SEC filings · RAIL peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-20.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.