Aristotle Small Cap Fund Q4 Performance Insights
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy WAB?
Source: Yahoo Finance
- Small Cap Market Recovery: In Q4 2025, U.S. small-cap equities experienced modest gains driven by a favorable macroeconomic backdrop, with the Aristotle Small Cap Equity Fund (Class I-2) returning 1.96%, slightly trailing the Russell 2000 Index's 2.19% return.
- Westinghouse Performance: Westinghouse Air Brake Technologies Corporation (NYSE:WAB) reported a 14.8% year-over-year sales increase in Q4 2025, achieving $2.97 billion in sales, highlighting strong demand and its solid market position in the rail industry.
- Portfolio Adjustment Strategy: The fund's investor letter indicated that Westinghouse has transitioned from a small-cap to a large-cap company, prompting a redeployment of capital into new positions that are expected to offer future upside potential, demonstrating the fund's agility in responding to market changes.
- AI Stock Perspective: While acknowledging Westinghouse's investment potential, the fund believes that certain AI stocks present greater upside potential and lower downside risk, indicating a strategic focus on emerging technologies and market trends.
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Analyst Views on WAB
Wall Street analysts forecast WAB stock price to fall
8 Analyst Rating
6 Buy
2 Hold
0 Sell
Strong Buy
Current: 259.690
Low
215.00
Averages
242.33
High
264.00
Current: 259.690
Low
215.00
Averages
242.33
High
264.00
About WAB
Westinghouse Air Brake Technologies Corporation, doing business as Wabtec Corporation, is a global provider of value-added, technology-based locomotives, equipment, systems, and services for the freight rail and passenger transit industries, as well as the mining, marine and industrial markets. Its Freight Segment primarily manufactures new and modernized locomotives; provides aftermarket parts and services to existing locomotives; provides components to new and existing freight cars; builds new commuter locomotives; supplies rail control and infrastructure products; overhauls locomotives; and provides heat exchangers and cooling systems for rail and other industrial markets. Its Transit Segment primarily manufactures and services components for new and existing passenger transit vehicles, typically regional trains, high speed trains, subway cars, light-rail vehicles and buses. It also specializes in train detection, wayside object control solutions, and axle counting systems.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Aristotle Small Cap Fund Q4 Performance Insights
- Small Cap Market Recovery: In Q4 2025, U.S. small-cap equities experienced modest gains driven by a favorable macroeconomic backdrop, with the Aristotle Small Cap Equity Fund (Class I-2) returning 1.96%, slightly trailing the Russell 2000 Index's 2.19% return.
- Westinghouse Performance: Westinghouse Air Brake Technologies Corporation (NYSE:WAB) reported a 14.8% year-over-year sales increase in Q4 2025, achieving $2.97 billion in sales, highlighting strong demand and its solid market position in the rail industry.
- Portfolio Adjustment Strategy: The fund's investor letter indicated that Westinghouse has transitioned from a small-cap to a large-cap company, prompting a redeployment of capital into new positions that are expected to offer future upside potential, demonstrating the fund's agility in responding to market changes.
- AI Stock Perspective: While acknowledging Westinghouse's investment potential, the fund believes that certain AI stocks present greater upside potential and lower downside risk, indicating a strategic focus on emerging technologies and market trends.
See More
Westinghouse Air Brake Technologies Reports Strong Q4 Earnings Beat
- Earnings Beat: Westinghouse Air Brake Technologies reported Q4 earnings of $2.10 per share, surpassing the analyst consensus of $2.08, demonstrating the company's strong execution capabilities in dynamic markets.
- Sales Growth: The company achieved quarterly sales of $2.965 billion, exceeding analyst expectations of $2.864 billion, reflecting robust market demand and product competitiveness.
- Positive Outlook: Westinghouse expects FY2026 adjusted EPS in the range of $10.05 to $10.45, above market estimates of $10.23, indicating strong confidence in future growth.
- Analyst Rating Upgrades: Keybanc and Stephens & Co. maintained an Overweight rating on Westinghouse, raising their price targets from $240 and $230 to $308 and $290 respectively, signaling optimistic market expectations for the company's future performance.
See More
Westinghouse Air Brake Technologies Q4 2025 Earnings Highlights
- Significant Performance Growth: Westinghouse Air Brake Technologies reported Q4 2025 sales of $2.97 billion, a 14.8% year-over-year increase, with equipment sales soaring by 33.5%, indicating strong market performance that is expected to drive sustained future growth.
- Increased Shareholder Returns: The Board of Directors announced a 24% dividend increase and raised the stock buyback authorization to $1.2 billion, reflecting management's confidence in future performance and aiming to enhance investor trust and attractiveness.
- Robust Order Backlog: By the end of 2025, the company’s multiyear backlog exceeded $27 billion, up 23%, providing a solid foundation for future revenue growth and showcasing the company's competitive edge in critical rail technologies.
- Launch of EVO Modernization Program: The introduction of the first-ever EVO modernization program is expected to deliver over a 20% improvement in reliability and tractive effort, along with up to 7% fuel savings, further solidifying the company's leadership position in the industry.
See More
Wabtec Completes Acquisition of Dellner Couplers to Enhance Rail Solutions
- Acquisition Completed: Wabtec Corporation has successfully acquired Dellner Couplers, a move that enhances its technology portfolio in passenger rail systems and is expected to drive accelerated profitable growth for the company.
- Complementary Technologies: With an 85-year legacy, Dellner Couplers boasts a global installed base of approximately 100,000 couplers and 12,500 gangways, strengthening Wabtec's market position and service capabilities in the rail industry.
- Market Expansion: This acquisition enables Wabtec to leverage Dellner's industry-leading solutions, accelerating its growth strategy in the passenger rail market while further driving innovation and reliability.
- Global Impact: By combining both companies' global business networks through this acquisition, Wabtec aims to provide more innovative and sustainable solutions for the rail industry, enhancing overall market competitiveness.
See More
Wabtec Acquires Dellner Couplers to Strengthen Transit Portfolio
- Acquisition Strategy: Wabtec has completed the acquisition of Sweden's Dellner Couplers, enhancing its technology portfolio in the passenger rail sector, which is expected to accelerate profitable growth and improve market competitiveness.
- Technology Integration: With an 85-year legacy of innovation, Dellner Couplers has approximately 100,000 couplers and 12,500 gangways installed globally, and Wabtec will leverage its industry-leading solutions to enhance product reliability and safety.
- Market Expansion: This acquisition diversifies Wabtec's product offerings to meet the needs of over 200 customers, thereby driving the company's growth strategy in the global passenger rail market.
- Management Team Advantage: The management team of Dellner Couplers and its industry-leading solutions will accelerate Wabtec's growth in the passenger rail market, further driving innovation and productivity improvements.
See More
Westinghouse Air Brake Q4 Earnings Beat Expectations
- Strong Earnings Performance: Westinghouse Air Brake reported a Q4 non-GAAP EPS of $2.10, beating expectations by $0.02, which reflects the company's robust profitability and enhances investor confidence.
- Significant Revenue Growth: The company achieved Q4 revenue of $2.97 billion, a 15.1% year-over-year increase, surpassing market expectations by $110 million, indicating strong performance amid recovering market demand.
- Record Backlog: The multi-year backlog reached a record $27 billion, up 23% year-over-year, highlighting the company's growth potential and sustained market demand for the coming years.
- Increased Shareholder Returns: The Board of Directors raised the quarterly dividend by 24% and increased share buyback authorization to $1.2 billion, demonstrating confidence in future cash flows and commitment to shareholders.
See More
Aristotle Small Cap Fund Q4 Performance Insights
- Small Cap Market Recovery: In Q4 2025, U.S. small-cap equities experienced modest gains driven by a favorable macroeconomic backdrop, with the Aristotle Small Cap Equity Fund (Class I-2) returning 1.96%, slightly trailing the Russell 2000 Index's 2.19% return.
- Westinghouse Performance: Westinghouse Air Brake Technologies Corporation (NYSE:WAB) reported a 14.8% year-over-year sales increase in Q4 2025, achieving $2.97 billion in sales, highlighting strong demand and its solid market position in the rail industry.
- Portfolio Adjustment Strategy: The fund's investor letter indicated that Westinghouse has transitioned from a small-cap to a large-cap company, prompting a redeployment of capital into new positions that are expected to offer future upside potential, demonstrating the fund's agility in responding to market changes.
- AI Stock Perspective: While acknowledging Westinghouse's investment potential, the fund believes that certain AI stocks present greater upside potential and lower downside risk, indicating a strategic focus on emerging technologies and market trends.
See More
Westinghouse Air Brake Technologies Reports Strong Q4 Earnings Beat
- Earnings Beat: Westinghouse Air Brake Technologies reported Q4 earnings of $2.10 per share, surpassing the analyst consensus of $2.08, demonstrating the company's strong execution capabilities in dynamic markets.
- Sales Growth: The company achieved quarterly sales of $2.965 billion, exceeding analyst expectations of $2.864 billion, reflecting robust market demand and product competitiveness.
- Positive Outlook: Westinghouse expects FY2026 adjusted EPS in the range of $10.05 to $10.45, above market estimates of $10.23, indicating strong confidence in future growth.
- Analyst Rating Upgrades: Keybanc and Stephens & Co. maintained an Overweight rating on Westinghouse, raising their price targets from $240 and $230 to $308 and $290 respectively, signaling optimistic market expectations for the company's future performance.
See More
Westinghouse Air Brake Technologies Q4 2025 Earnings Highlights
- Significant Performance Growth: Westinghouse Air Brake Technologies reported Q4 2025 sales of $2.97 billion, a 14.8% year-over-year increase, with equipment sales soaring by 33.5%, indicating strong market performance that is expected to drive sustained future growth.
- Increased Shareholder Returns: The Board of Directors announced a 24% dividend increase and raised the stock buyback authorization to $1.2 billion, reflecting management's confidence in future performance and aiming to enhance investor trust and attractiveness.
- Robust Order Backlog: By the end of 2025, the company’s multiyear backlog exceeded $27 billion, up 23%, providing a solid foundation for future revenue growth and showcasing the company's competitive edge in critical rail technologies.
- Launch of EVO Modernization Program: The introduction of the first-ever EVO modernization program is expected to deliver over a 20% improvement in reliability and tractive effort, along with up to 7% fuel savings, further solidifying the company's leadership position in the industry.
See More
Wabtec Completes Acquisition of Dellner Couplers to Enhance Rail Solutions
- Acquisition Completed: Wabtec Corporation has successfully acquired Dellner Couplers, a move that enhances its technology portfolio in passenger rail systems and is expected to drive accelerated profitable growth for the company.
- Complementary Technologies: With an 85-year legacy, Dellner Couplers boasts a global installed base of approximately 100,000 couplers and 12,500 gangways, strengthening Wabtec's market position and service capabilities in the rail industry.
- Market Expansion: This acquisition enables Wabtec to leverage Dellner's industry-leading solutions, accelerating its growth strategy in the passenger rail market while further driving innovation and reliability.
- Global Impact: By combining both companies' global business networks through this acquisition, Wabtec aims to provide more innovative and sustainable solutions for the rail industry, enhancing overall market competitiveness.
See More
Wabtec Acquires Dellner Couplers to Strengthen Transit Portfolio
- Acquisition Strategy: Wabtec has completed the acquisition of Sweden's Dellner Couplers, enhancing its technology portfolio in the passenger rail sector, which is expected to accelerate profitable growth and improve market competitiveness.
- Technology Integration: With an 85-year legacy of innovation, Dellner Couplers has approximately 100,000 couplers and 12,500 gangways installed globally, and Wabtec will leverage its industry-leading solutions to enhance product reliability and safety.
- Market Expansion: This acquisition diversifies Wabtec's product offerings to meet the needs of over 200 customers, thereby driving the company's growth strategy in the global passenger rail market.
- Management Team Advantage: The management team of Dellner Couplers and its industry-leading solutions will accelerate Wabtec's growth in the passenger rail market, further driving innovation and productivity improvements.
See More
Westinghouse Air Brake Q4 Earnings Beat Expectations
- Strong Earnings Performance: Westinghouse Air Brake reported a Q4 non-GAAP EPS of $2.10, beating expectations by $0.02, which reflects the company's robust profitability and enhances investor confidence.
- Significant Revenue Growth: The company achieved Q4 revenue of $2.97 billion, a 15.1% year-over-year increase, surpassing market expectations by $110 million, indicating strong performance amid recovering market demand.
- Record Backlog: The multi-year backlog reached a record $27 billion, up 23% year-over-year, highlighting the company's growth potential and sustained market demand for the coming years.
- Increased Shareholder Returns: The Board of Directors raised the quarterly dividend by 24% and increased share buyback authorization to $1.2 billion, demonstrating confidence in future cash flows and commitment to shareholders.
See More
