WallStSmart

Westinghouse Air Brake Technologies Corp (WAB)vsEssential Utilities Inc (WTRG)

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Smart Verdict

WallStSmart Research — data-driven comparison

Westinghouse Air Brake Technologies Corp generates 365% more annual revenue ($11.51B vs $2.47B). WTRG leads profitability with a 24.9% profit margin vs 10.5%. WAB appears more attractively valued with a PEG of 1.37. WAB earns a higher WallStSmart Score of 64/100 (C+).

WAB

Buy

64

out of 100

Grade: C+

Growth: 6.7Profit: 6.5Value: 6.0Quality: 5.0
Piotroski: 2/9Altman Z: 1.68

WTRG

Buy

60

out of 100

Grade: C+

Growth: 4.7Profit: 7.5Value: 6.7Quality: 3.3
Piotroski: 2/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

WABUndervalued (+16.2%)

Margin of Safety

+16.2%

Fair Value

$303.67

Current Price

$270.49

$33.18 discount

UndervaluedFair: $303.67Overvalued
WTRGUndervalued (+47.4%)

Margin of Safety

+47.4%

Fair Value

$71.13

Current Price

$37.54

$33.59 discount

UndervaluedFair: $71.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

WAB0 strengths · Avg: 0/10

No standout strengths identified

WTRG5 strengths · Avg: 8.6/10
Operating MarginProfitability
32.4%10/10

Strong operational efficiency at 32.4%

Profit MarginProfitability
24.9%9/10

Keeps 25 of every $100 in revenue as profit

P/E RatioValuation
17.3x8/10

Attractively priced relative to earnings

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

Areas to Watch

WAB3 concerns · Avg: 3.7/10
P/E RatioValuation
37.5x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.684/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

WTRG4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.622/10

Expensive relative to growth rate

EPS GrowthGrowth
-30.0%2/10

Earnings declined 30.0%

Free Cash FlowQuality
$-240.78M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : WAB

Revenue growth of 13.0% demonstrates continued momentum. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bull Case : WTRG

The strongest argument for WTRG centers on Operating Margin, Profit Margin, P/E Ratio. Profitability is solid with margins at 24.9% and operating margin at 32.4%. Revenue growth of 15.7% demonstrates continued momentum.

Bear Case : WAB

The primary concerns for WAB are P/E Ratio, Altman Z-Score, Piotroski F-Score.

Bear Case : WTRG

The primary concerns for WTRG are Piotroski F-Score, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

WAB profiles as a value stock while WTRG is a growth play — different risk/reward profiles.

WAB carries more volatility with a beta of 0.97 — expect wider price swings.

WTRG is growing revenue faster at 15.7% — sustainability is the question.

WAB generates stronger free cash flow (153M), providing more financial flexibility.

Bottom Line

WAB scores higher overall (64/100 vs 60/100) and 13.0% revenue growth. WTRG offers better value entry with a 47.4% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Westinghouse Air Brake Technologies Corp

INDUSTRIALS · RAILROADS · USA

Wabtec Corporation (derived from Westinghouse Air Brake Technologies Corporation) is an American company formed by the merger of the Westinghouse Air Brake Company (WABCO) and MotivePower Industries Corporation in 1999. It is headquartered in Pittsburgh, Pennsylvania.

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Essential Utilities Inc

UTILITIES · UTILITIES - REGULATED WATER · USA

Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.

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