NSC Stock Analysis: Norfolk Southern | NYSE
Railroads | NYSE, USA | Market Cap: 72.960m USD | 12M Return: 13.1% | US6558441084 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 224M
EPS Trend: 63.8%
Qual. Beats: 1
Rev. Trend: 42.7%
Qual. Beats: 1
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Norfolk Southern Corporation is a major U.S. rail transportation company that hauls raw materials, intermediate products, and finished goods across the United States. Its diversified freight categories include agriculture and consumer goods (such as grains, fertilizer, food products, ethanol, paper, and beverages), chemicals and petroleum products, metals and construction materials, and automotive freight. The company also moves overseas cargo through Atlantic and Gulf Coast ports and runs a large intermodal network that connects rail to truck and marine transport. Incorporated in 1980 and headquartered in Atlanta, Georgia, Norfolk Southern is a large-cap industrial listed on the NYSE under the ticker NSC.
Class I railroads like Norfolk Southern operate on a fixed-route network business model, earning revenue primarily by charging per-car rates across long-distance corridors where rail is cost-efficient relative to trucking. The intermodal segment has become an increasingly important growth driver, as it links rails long-haul economics with the flexibility of trucks, while coal volumes have historically been a key earnings contributor for Eastern carriers and a notable exposure to energy-market shifts.
- Intermodal volume growth lifts revenue as supply chains normalize
- Coal segment declines structurally amid energy transition
- Operating ratio improves through PSR efficiency and cost discipline
| Net Income: 2.64b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA -0.97 > 1.0 |
| NWC/Revenue: -4.54% < 20% (prev -6.24%; Δ 1.70% < -1%) |
| CFO/TA 0.08 > 3% & CFO 3.73b > Net Income 2.64b |
| Net Debt (15.8b) to EBITDA (5.42b): 2.91 < 3 |
| Current Ratio: 0.83 > 1.5 & < 3 |
| Outstanding Shares: last quarter (225.1m) vs 12m ago 0.05% < -2% |
| Gross Margin: 53.69% > 18% (prev 36.06%; Δ 17.64% > 0.5%) |
| Asset Turnover: 28.09% > 50% (prev 27.58%; Δ 0.51% > 0%) |
| Interest Coverage Ratio: 5.11 > 6 (EBIT TTM 4.01b / Interest Expense TTM 786.0m) |
| A: -0.01 (Total Current Assets 2.80b - Total Current Liabilities 3.37b) / Total Assets 45.1b |
| B: 0.31 (Retained Earnings 13.9b / Total Assets 45.1b) |
| C: 0.09 (EBIT TTM 4.01b / Avg Total Assets 44.6b) |
| D: 0.56 (Book Value of Equity 16.3b / Total Liabilities 28.9b) |
| Altman-Z'' = 2.12 = BBB |
| DSRI: 1.02 (Receivables 1.18b/1.12b, Revenue 12.5b/12.2b) |
| GMI: 0.67 (GM 36.06% / 53.69%) |
| AQI: 1.05 (AQ_t 0.13 / AQ_t-1 0.12) |
| SGI: 1.03 (Revenue 12.5b / 12.2b) |
| TATA: -0.02 (NI 2.64b - CFO 3.73b) / TA 45.1b) |
| Beneish M = -3.26 (Cap -4..+1) = AA |
As of October 20, 2026, the stock is trading at USD 323.48 with a total of 724,307 shares traded. Over the past week, the price has changed by +1.29%, over one month by +4.66%, over three months by -3.05% and over the past year by +13.06%.
Current recommended Stop Loss: 314.80 (which is 2.7% or 1.7 ATR below the current price).
Norfolk Southern has received a consensus analysts rating of 3.43. Therefore, it is recommended to hold NSC.
- StrongBuy: 4
- Buy: 1
- Hold: 16
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 356.1 | 10.1% |
P/E Trailing = 27.5047
P/E Forward = 22.3214
P/S = 5.8181
P/B = 4.3533
P/EG = 3.7182
Revenue TTM = 12.5b USD
EBIT TTM = 4.01b USD
EBITDA TTM = 5.42b USD
Long Term Debt = 16.0b USD (from longTermDebt, last quarter)
Short Term Debt = 649.0m USD (from shortTermDebt, last quarter)
Debt = 16.8b USD (from shortLongTermDebtTotal, last quarter) + Leases 218.0m
Net Debt = 15.8b USD (calculated: Debt 16.8b - CCE 1.07b)
Enterprise Value = 88.7b USD (73.0b + Debt 16.8b - CCE 1.07b)
Interest Coverage Ratio = 5.11 (Ebit TTM 4.01b / Interest Expense TTM 786.0m)
EV/FCF = 54.40x (Enterprise Value 88.7b / FCF TTM 1.63b)
FCF Yield = 1.84% (FCF TTM 1.63b / Enterprise Value 88.7b)
FCF Margin = 13.01% (FCF TTM 1.63b / Revenue TTM 12.5b)
Net Margin = 21.02% (Net Income TTM 2.64b / Revenue TTM 12.5b)
Gross Margin = 53.69% ((Revenue TTM 12.5b - Cost of Revenue TTM 5.81b) / Revenue TTM)
Gross Margin QoQ = 66.84% (prev 43.06%)
Tobins Q-Ratio = 1.97 (Enterprise Value 88.7b / Total Assets 45.1b)
Interest Expense / Debt = 4.67% (Interest Expense 786.0m / Debt 16.8b)
Taxrate = 21.62% (727.0m / 3.36b)
NOPAT = 3.15b (EBIT 4.01b * (1 - 21.62%))
Current Ratio = 0.83 (Total Current Assets 2.80b / Total Current Liabilities 3.37b)
Debt / Equity = 1.04 (Debt 16.8b / totalStockholderEquity, last quarter 16.3b)
Debt / EBITDA = 2.91 (Net Debt 15.8b / EBITDA 5.42b)
Debt / FCF = 9.67 (Net Debt 15.8b / FCF TTM 1.63b)
Total Stockholder Equity = 15.7b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.91% (Net Income 2.64b / Total Assets 45.1b)
RoE = 16.80% (Net Income TTM 2.64b / Total Stockholder Equity 15.7b)
RoCE = 12.68% (EBIT 4.01b / Capital Employed (Equity 15.7b + L.T.Debt 16.0b))
RoIC = 7.53% (NOPAT 3.15b / Invested Capital 41.8b)
WACC = 6.97% (E(73.0b)/V(89.8b) * Re(7.73%) + D(16.8b)/V(89.8b) * Rd(4.67%) * (1-Tc(0.22)))
Discount Rate = 7.73% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -80.71 | Cagr: -0.24%
[DCF] Terminal Value 73.10% ; FCFF base≈1.79b ; Y1≈1.57b ; Y5≈1.27b
[DCF] Fair Price = 20.35 (EV 20.3b - Net Debt 15.8b = Equity 4.57b / Shares 224.6m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: 63.84 | EPS CAGR: 1.98% | SUE: 1.97 | # QB: 1
Revenue Correlation: 42.71 | Revenue CAGR: 0.51% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-09-30): EPS=3.48 | Chg30d=-2.94% | Revisions=-81% | Analysts=18
EPS current Year (2026-12-31): EPS=12.86 | Chg30d=-0.78% | Revisions=-61% | GrowthEPS=+3.0% | GrowthRev=+9.3%
EPS next Year (2027-12-31): EPS=14.32 | Chg30d=-0.03% | Revisions=+24% | GrowthEPS=+11.3% | GrowthRev=+4.4%
[Analyst] Revisions Ratio: -44% (up=11, down=31)