ScoreWhy is Norfolk Southern Corp. ?
1
Poor long term growth as Operating profit has grown by an annual rate 4.71% of over the last 5 years
2
With ROCE of 14.29%, it has a expensive valuation with a 2.53 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 18.93%, its profits have risen by 114.5% ; the PEG ratio of the company is 0.2
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Norfolk Southern Corp. should be less than 10%
- Overall Portfolio exposure to Construction should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Norfolk Southern Corp. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
Norfolk Southern Corp.
11.14%
1.33
22.98%
S&P 500
15.36%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.47%
EBIT Growth (5y)
3.13%
EBIT to Interest (avg)
5.43
Debt to EBITDA (avg)
2.99
Net Debt to Equity (avg)
1.12
Sales to Capital Employed (avg)
0.39
Tax Ratio
22.40%
Dividend Payout Ratio
42.36%
Pledged Shares
0
Institutional Holding
82.96%
ROCE (avg)
13.59%
ROE (avg)
19.29%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
25
Industry P/E
Price to Book Value
4.46
EV to EBIT
21.65
EV to EBITDA
16.00
EV to Capital Employed
2.70
EV to Sales
7.02
PEG Ratio
NA
Dividend Yield
1.77%
ROCE (Latest)
12.46%
ROE (Latest)
17.74%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 95.66 %
INTEREST COVERAGE RATIO(Q)
Highest at 788.32
NET SALES(Q)
Highest at USD 3,465 MM
OPERATING PROFIT(Q)
Highest at USD 1,553 MM
PRE-TAX PROFIT(Q)
Highest at USD 1,031 MM
NET PROFIT(Q)
Highest at USD 788.11 MM
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Norfolk Southern Corp.
Interest Coverage Ratio
Highest at 788.32
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio
Lowest at 95.66 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Net Sales
Highest at USD 3,465 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 1,553 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 1,031 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 788.11 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Depreciation
Highest at USD 358 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
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