-0.29%
4.01%
0.98%
-5.01%
-8.97%
-2.01%
22.76%
AI Spotlight on CNR
Company Description
Canadian National Railway Company, together with its subsidiaries, engages in the rail and related transportation business.The company's portfolio of goods includes petroleum and chemicals, grain and fertilizers, coal, metals and minerals, forest products, intermodal, and automotive products serving exporters, importers, retailers, farmers, and manufacturers.It operates a network of 19,500 route miles of track spanning Canada and the United States.
The company also provides vessels and docks, transloading and distribution, automotive logistics, and freight forwarding and transportation management services.Canadian National Railway Company was incorporated in 1919 and is headquartered in Montreal, Canada.
Market Data
| Last Price | 151.82 |
| Change Percentage | -0.29% |
| Open | 151.49 |
| Previous Close | 152.26 |
| Market Cap ( Millions) | 95464 |
| Volume | 1738866 |
| Year High | 181.34 |
| Year Low | 143.18 |
| M A 50 | 149.66 |
| M A 200 | 159.03 |
Financial Ratios
| FCF Yield | 3.95% |
| Dividend Yield | 2.23% |
| ROE | 27.10% |
| Debt / Equity | 107.59% |
| Net Debt / EBIDTA | 244.61% |
| Price To Book | 4.91 |
| Price Earnings Ratio | 16.43 |
| Price To FCF | 25.35 |
| Price To sales | 5.12 |
| EV / EBITDA | 13.75 |
News
- 14:22 - Canadian National Q4 Earnings Lag Estimates, Decrease Year Over Year
- 12:55 - CN Rail Price Target Lowered to $171 at RBC
- 07:40 - Canadian National Railway Co (CNI) Q4 2024 Earnings Call Highlights: Navigating Challenges and ...
- Jan -30 - CN Rail Down 0.6% After Hours On Earnings Miss; But Flagged Strong 2025 and Lifted Its Dividend
- Jan -30 - CN: Q4 Earnings Snapshot
- Jan -30 - CN Announces New Normal Course Issuer Bid for Share Repurchase and 5% Dividend Increase
- Jan -30 - CN Announces Fourth Quarter and Year-End Results
- Jan -30 - CN to Report Fourth-Quarter and Full-Year 2024 Financial and Operating Results Today
- Jan -28 - CN, IBEW reach tentative agreement, avoid strike
- Jan -28 - CN Reaches New Tentative Collective Agreement with IBEW
- Jan -24 - Is Canadian National Railway (CNI) Among Billionaire Chris Hohn’s Top Stock Picks?
- Jan -24 - CNI's Q4 Earnings Coming Up: What's in the Offing for the Stock?
- Jan -20 - Why Canadian National Railway (CNI) Is One of the Best Shipping Stocks to Invest in Now?
- Jan -18 - The Smartest Dividend Stocks to Buy With $500 Right Now
- Jan -17 - Canadian National Railway launches hybrid locomotive pilot project
- Jan -16 - Canadian National Railway's Valuation Is An Opportunity, Analyst Shifts To Bullish Outlook
- Jan -16 - CN Rail Launching New Medium Horsepower Hybrid Locomotive Pilot Project
- Jan -16 - CN Launches New Medium Horsepower Hybrid Locomotive Pilot Project
- Jan -14 - National Bank with Monthly Canadian Freight Update
- Jan -14 - CN’s Acquisition of Iowa Northern Approved by STB
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Intermodal
Expected Growth : 5 %
What the company do ?
Intermodal from Canadian National Railway Company refers to the transportation of goods in shipping containers that can be easily transferred between ships, trains, and trucks, increasing efficiency and reducing transit times.
Why we expect these perspectives ?
CN's intermodal segment growth is driven by increasing demand for e-commerce, rising imports, and growing trade volumes between Canada, the US, and Mexico. Additionally, CN's investments in digitalization, expanded capacity, and improved service reliability are attracting more customers, contributing to the 5% growth rate.
Segment n°2 -> Grain Products and Fertilizers
Expected Growth : 4 %
What the company do ?
Grain Products and Fertilizers from Canadian National Railway Company refers to the transportation of grain and fertilizers across Canada via rail, supporting the country's agricultural industry.
Why we expect these perspectives ?
Grain Products and Fertilizers segment of Canadian National Railway Company is driven by strong demand for Canadian wheat and canola, increased fertilizer shipments, and a growing need for rail transportation in Western Canada. Additionally, investments in grain handling and transportation infrastructure, as well as favorable weather conditions, contribute to the 4% growth rate.
Segment n°3 -> Petroleum and Chemicals
Expected Growth : 5 %
What the company do ?
Petroleum and Chemicals from Canadian National Railway Company refers to the transportation of petroleum and chemical products through CN's rail network, serving refineries, terminals, and industrial facilities.
Why we expect these perspectives ?
Petroleum and Chemicals segment of Canadian National Railway Company is driven by growth in crude oil production in Western Canada, increasing demand for frac sand and pipe shipments, and rising exports of chemicals to the US and Asia. Additionally, investments in pipeline infrastructure and refinery expansions support the segment's growth.
Segment n°4 -> Metals and Minerals
Expected Growth : 4 %
What the company do ?
Metals and Minerals from Canadian National Railway Company refers to the transportation of ores, minerals, and metals such as iron, copper, and coal via rail networks.
Why we expect these perspectives ?
Canadian National Railway Company's Metals and Minerals segment growth is driven by increasing demand for iron ore and coal from Asian markets, coupled with rising production from Canadian mines. Additionally, growth in the automotive and construction industries fuels demand for metals such as copper and aluminum, further boosting segment growth.
Segment n°5 -> Forest Products
Expected Growth : 3 %
What the company do ?
Forest Products from Canadian National Railway Company refers to the transportation of wood and paper products, such as lumber, pulp, and paperboard, across North America.
Why we expect these perspectives ?
Canadian National Railway Company's Forest Products segment growth is driven by increasing lumber demand from the US housing market, strong pulp and paper prices, and CN's efficient transportation network. Additionally, the company's strategic partnerships with forest product companies and investments in digital technologies to enhance supply chain visibility also contribute to its growth.
Segment n°6 -> Coal
Expected Growth : 2 %
What the company do ?
Coal from Canadian National Railway Company refers to the transportation of coal, a fossil fuel, by the Canadian National Railway, a major North American railroad.
Why we expect these perspectives ?
Coal segment growth driven by increasing demand from Asian markets, particularly China and India, and CN's strategic partnerships with key coal producers. Additionally, CN's investments in rail infrastructure and efficiency improvements have enhanced its ability to transport coal, further supporting growth.
Segment n°7 -> Motor Vehicles
Expected Growth : 7 %
What the company do ?
Motor Vehicles from Canadian National Railway Company refers to the transportation of vehicles, including cars, trucks, and SUVs, via railcars on CN's network across North America.
Why we expect these perspectives ?
The 7% growth in Motor Vehicles from Canadian National Railway Company is driven by increasing demand for electric and autonomous vehicles, government incentives for eco-friendly transportation, and rising consumer spending on luxury vehicles. Additionally, CN's strategic partnerships with automakers and investments in railcar capacity expansion have improved efficiency and reduced transit times, further boosting growth.
Segment n°8 -> Other
Expected Growth : 5 %
What the company do ?
The 'Other' segment from Canadian National Railway Company includes revenues from logistics services, freight forwarding, and other ancillary services.
Why we expect these perspectives ?
Canadian National Railway Company's 5% growth is driven by increased demand for freight transportation, expansion into new markets, and investments in digitalization and sustainability initiatives. Additionally, the company's diversified revenue streams, including intermodal and automotive transportation, contribute to its growth. Furthermore, CN's focus on operational efficiency and cost savings also support its growth momentum.
Canadian National Railway Company Products
| Product Range | What is it ? |
|---|---|
| Intermodal | A service that combines rail and truck transportation to move goods in containers, providing a cost-effective and efficient way to transport goods over long distances. |
| Coal | Transportation of coal from mines to power plants and industrial facilities, supporting the generation of electricity and industrial processes. |
| Grain | Transportation of grains such as wheat, barley, and oats from farms to processing facilities, supporting the agricultural industry. |
| Forest Products | Transportation of forest products such as lumber, pulp, and paper from mills to manufacturing facilities, supporting the forestry industry. |
| Automotive | Transportation of finished vehicles and automotive parts from manufacturing facilities to dealerships and distribution centers, supporting the automotive industry. |
| Chemicals | Transportation of chemicals and hazardous materials from manufacturing facilities to industrial customers, supporting the chemical industry. |
| Petroleum and Chemicals | Transportation of petroleum products such as crude oil, refined fuels, and chemicals from production facilities to refineries and distribution centers, supporting the energy industry. |
| Metals and Minerals | Transportation of metals and minerals such as iron ore, copper, and nickel from mines to smelters and manufacturing facilities, supporting the mining industry. |
Canadian National Railway Company's Porter Forces
Threat Of Substitutes
The threat of substitutes for Canadian National Railway Company is low due to the high barriers to entry and the lack of viable substitutes for rail transportation.
Bargaining Power Of Customers
The bargaining power of customers for Canadian National Railway Company is medium due to the presence of large industrial customers who can negotiate better rates, but the company's diversified customer base and lack of dependence on a single customer mitigate this power.
Bargaining Power Of Suppliers
The bargaining power of suppliers for Canadian National Railway Company is low due to the company's large scale of operations and its ability to negotiate better prices with suppliers.
Threat Of New Entrants
The threat of new entrants for Canadian National Railway Company is low due to the high barriers to entry, including the need for significant capital investment and regulatory approvals.
Intensity Of Rivalry
The intensity of rivalry for Canadian National Railway Company is high due to the presence of strong competitors in the rail industry, including Canadian Pacific Railway, and the ongoing competition for market share and customers.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 48.42% |
| Debt Cost | 4.41% |
| Equity Weight | 51.58% |
| Equity Cost | 7.26% |
| WACC | 5.88% |
| Leverage | 93.89% |
Canadian National Railway Company : Quality Control
Canadian National Railway Company passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| PCAR | PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Europe, Mexico, South America, Australia, and internationally. It operates through three segments: Truck, Parts, … |
| NSC | Norfolk Southern Corporation, together with its subsidiaries, engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. The company transports agriculture, forest, and … |
| CP.TO | Canadian Pacific Railway Limited, together with its subsidiaries, owns and operates a transcontinental freight railway in Canada and the United States. The company transports bulk commodities, including grain, coal, potash, … |
| WAB | Westinghouse Air Brake Technologies Corporation provides technology-based equipment, systems, and services for the freight rail and passenger transit industries worldwide. It operates through two segments, Freight and Transit. The Freight … |
| UNP | Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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PACCAR
A-Score
1-Year Total Return ->
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Norfolk Southern
A-Score
1-Year Total Return ->
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Union Pacific
A-Score
1-Year Total Return ->
4
CN Rail
A-Score
1-Year Total Return ->
5
Wabtec
A-Score
1-Year Total Return ->
6
