Stock fact sheet · data as of
GATX Corporation (GATX): fair value, margin of safety and Wheel Score
Industrials · Rental & Leasing Services · United States · Value
Is GATX undervalued?
At 165.09 (close of 16 Oct 2026), GATX trades 13% over the GLS average fair value of 146.59. 2 of the 6 models land above the price and 4 below. A negative margin of safety costs Value points in the Wheel Score (7 of 25 here) - the models see no discount, which does not make the business a poor one, only the price a full one.
The 6 models disagree widely: DDM gives 38.11 while Graham Growth gives 266.99. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files GATX under Value: positive earnings at a P/E of 18 or less.
Nine valuation models for GATX
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 134.52 | -19% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 266.99 | +62% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 92.71 | -44% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 232.68 | +41% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | - | - | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10%; no value tonight |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 38.11 | -77% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 114.57 | -31% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -268.46 | -263% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 220.00 | +33% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - GATX passes 5 of the nine Piotroski tests, which falls one point short of the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 5.5 out of 10: a ten-year record that is consistent in some of the metrics the score tracks (revenue, earnings, margins, cash flow, returns on capital) and patchy in others.
Returns on capital are thin or negative - ROIC 2.1%, ROE 12.1%, ROA 1.8% - with debt at 4.66 times equity and negative free cash flow. Debt of 4.66 times equity is on the high side for the sector and is worth checking against the cash flow before treating the stock as a long-term hold.
The dividend yield is 1.57% at a payout ratio of 25%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Rail North America 75%, Rail International 18%, Portfolio Management 5% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 3/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 5 / 9 | ROIC | 2.1% |
|---|---|---|---|
| GLS Moat | 5.5 / 10 | ROE | 12.1% |
| Debt / equity | 4.66 | ROA | 1.8% |
| Free-cash-flow yield | -80.4% | Payout ratio | 25% |
| Institutions | 10 / 10 | Insiders · Congress | 3 · 5 / 10 |
Wheel Score 60: Fair
GATX scores 60 out of 100 on the Wheel Score (Fair band, 50-64): a usable but unremarkable fit for the wheel strategy. The parts: Value 7/25, Health 11/20, Moat 8/15, Premium 20/20, Stability 13/20. Value (7/25) is where the points are missing.
Implied volatility is 35% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 536 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 210k shares a day on a market cap of $5.8B, with a beta of 1.20; the Stability part of the Wheel Score gives that 13 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 7 / 25 | -13% margin of safety | |
| Health | 11 / 20 | Piotroski 5/9 | |
| Moat | 8 / 15 | moat 5.5/10 | |
| Premium | 20 / 20 | implied volatility 35% | |
| Stability | 13 / 20 | 210k shares/day, $5.8B cap, beta 1.20 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
GATX Corporation reports earnings on 20 Oct 2026 (before the open) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Rental & Leasing Services
The 12 companies below are the closest to GATX Corporation by market cap within the Rental & Leasing Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| HRI Herc Holdings Inc. | 124.00 | 76.54 | -62% | 48Weak | $4.1B |
| CAR Avis Budget Group, Inc. | 109.77 | - | - | 45Weak | $3.9B |
| R Ryder System, Inc. | 237.82 | 293.38 | +19% | 78Good | $9.1B |
| EQPT EquipmentShare.com Inc. | 14.41 | 5.99 | -140% | 44Weak | $3.7B |
| UHAL U-Haul Holding Company | 55.92 | 13.96 | -301% | 54Fair | $9.7B |
| UHAL-B U-Haul Holding Company | 49.84 | 13.61 | -266% | 36No options | $10.9B |
| WSC WillScot Holdings Corporation | 16.19 | 33.49 | +52% | 45Weak | $2.9B |
| MGRC McGrath RentCorp | 113.19 | 136.29 | +17% | 75Good | $2.8B |
| CTOS Custom Truck One Source, Inc. | 9.20 | 3.02 | -205% | 52Fair | $2.1B |
| VSTS Vestis Corporation | 13.97 | 16.38 | +15% | 45Weak | $1.8B |
| LIME Neutron Holdings, Inc. | 27.07 | - | - | 25No options | $1.7B |
| AER AerCap Holdings N.V. | 145.92 | 341.90 | +57% | 82Prime | $22.9B |
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Start free See the Sunday ScanQuestions about GATX
Is GATX undervalued right now?
No: at 165.09 the stock trades 13% above the GLS average fair value of 146.59 (data as of 16 Oct 2026). The margin of safety is negative.
What is the Wheel Score of GATX and what does it mean?
GATX scores 60 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for GATX?
146.59 per share as of 16 Oct 2026 - the simple average of the 6 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does GATX Corporation report earnings next?
The next earnings report is due on 20 Oct 2026 (before the open), 4 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does GATX have listed options, and how liquid are they?
Yes. The nightly snapshot found 248 listed contracts with 536 open interest across all expiries and implied volatility of 35% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.