Company name Norfolk Southern Corp.
Stock ticker NSC
Live stock price [stckqut]NSC[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Fair
Sales growth Poor
EPS growth Poor
P/E growth Fair
EBIT growth Poor

ANALYSIS

Confident Investor Rating Poor
Target stock price (TWCA growth scenario) $97.17
Target stock price (averages with growth) $89.39
Target stock price (averages with no growth) $52.08
Target stock price (manual assumptions) $99.57

The following company description is from Google Finance: http://www.google.com/finance?q=nsc

Norfolk Southern Corporation (Norfolk Southern) is a Virginia based company that controls a railroad, Norfolk Southern Railway Company. Norfolk Southern Railway Company is primarily engaged in the rail transportation of raw materials, intermediate products, and finished goods primarily in the Southeast, East, and Midwest and, via interchange with rail carriers, to and from the rest of the United States. Norfolk Southern also transports overseas freight through several Atlantic and Gulf Coast ports. It provides logistics services and offers intermodal network in the eastern half of the United States.

 

Confident Investor comments: At this price and at this time, I do not think that a Confident Investor can confidently invest in Norfolk Southern Corp.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Norfolk Southern Corp. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(access_s2member_level1)]

In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

  • Stock price at the time of the calculation: $111.11
  • Growth: 0.08
  • Current EPS (TTM): $6.42
  • P/E: 17
  • Future EPS Calc: $9.43
  • Future Stock Price Calc: $160.36
  • Target stock price: $99.57

I hope that this makes you a better investor. [/s2If]

Company name Norfolk Southern Corp.
Stock ticker NSC
Live stock price [stckqut]NSC[/stckqut]
P/E compared to competitors Good
MANAGEMENT EXECUTION
Employee productivity Fair
Sales growth Fair
EPS growth Good
P/E growth Poor
EBIT growth Good
ANALYSIS
Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $68.27
Target stock price (averages with growth) $74.44
Target stock price (averages with no growth) $60.83
Target stock price (manual assumptions) $79.28

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.