NYSE
NSC
Last Price
US $322.71
KEY FIGURES
MKT CAP
$70.3B
EPS
TTM
$11.86
PEG
TTM
-
P/E
TTM
26.35x
P/S
TTM
5.77x
YIELD
1.73%
GROWTH
Revenue Y/Y
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
Norfolk Southern Corporation cash flow to debt ratio of 25.52% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial stability - Healthy cash flow growth.
Norfolk Southern Corporation's free cash flow has increased 29.08% from $1.67G last year to $2.16G, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Norfolk Southern Corporation's debt to equity ratio is 1.08, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Norfolk Southern Corporation's debt has decreased relative to shareholder equity from 1.22 last year to 1.08 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
Norfolk Southern Corporation has a net debt to EBITDA ratio of 2.66x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Norfolk Southern Corporation's interest coverage ratio of 5.00 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Norfolk Southern Corporation's profit margin has increased (1.31%) in the last year from 21.63% to 21.91%, signaling increasing performance
Financial risk - Short term assets vs short term liabilities.
Norfolk Southern Corporation's short-term liabilities of $3.77G exceed its short-term assets of $3.20G, signaling financial risk
Increasing performance - ROA.
Norfolk Southern Corporation's return on assets of 5.92% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
Norfolk Southern Corporation's return on equity of 17.43%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Norfolk Southern Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Norfolk Southern Corporation had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Norfolk Southern Corporation has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Norfolk Southern Corporation has a free cash flow yield of 3.07%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Norfolk Southern Corporation's yearly earnings has increased 9.57% since last year from $2.62G to $2.87G, signaling increasing performance
Increasing performance - Healthy revenue growth.
Norfolk Southern Corporation's yearly revenue has increased 0.47% since last year from $12.12G to $12.18G, signaling increasing performance
Increasing performance - ROIC.
ROIC 7.31% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Decreasing performance - 3-year revenue CAGR.
Norfolk Southern Corporation's 3-year revenue CAGR of -1.50% is negative, indicating declining revenue over the past 3 years
Increasing performance - Revenue consistency.
Norfolk Southern Corporation had revenue growth in 3.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Norfolk Southern Corporation had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Norfolk Southern Corporation is overvalued relative to its fair value price of 43.81 based on Discounted Cash Flow model
Overvalued - Earnings yield.
Norfolk Southern Corporation has an earnings yield of 3.79%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
Norfolk Southern Corporation is overvalued relative to its fair value price of 113.08 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Norfolk Southern Corporation has an EV/EBITDA ratio of 15.58x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Norfolk Southern Corporation has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Undervalued - P/B ratio.
Norfolk Southern Corporation has a price-to-book ratio of 4.46x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Norfolk Southern Corporation has a price-to-sales ratio of 5.77x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
17.43%
Return on equity
ROIC: 7.31%
Valuation History
26.4X
Price to Earnings
EV/EBITDA: 15.6X
Cash flow
Profit margin
4.47%
(FY vs FY)
EBITDA Y/Y
6.31%
(FY vs FY)
Cash flow Y/Y
0.13%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $322.71
-86.42%
Default assumptions
EBITDA Multiple
Fair Value
Market $322.71
-64.96%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.