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NSC

S&P 500
Neutral · 45/100

Norfolk Southern

Industrials
Rail Transportation

$304.17

1.4%

Updated Today 7:15 PM ET

Price — Past Year

▲ Up 18.6% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$67.40B

P/E

25.09x

Forward P/E (est.)

30.97x

ROE

17.4%

Revenue Growth

0.6%

EPS Growth

-19.0%

Profit Margin

21.9%

FCF Yield

4.7%

Debt / Equity

1.1x

ROIC

13.0%

Interest Coverage

5.4x

Current Ratio

0.91x

Dividend Yield

1.7%

Implied Growth (rev. DCF)

5.6%

Rating Score

45/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what NSC's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. NSC trades near $304.17, around its 50-day average ($309.94) and 200-day average ($296.21). Price tangled in its moving averages means there is no clear trend — the stock is ranging.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 42 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.

Volatility — ATR. Average True Range is the typical daily move. NSC's is $6.67 (~2.2% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month NSC found buyers near $297.45 (support) and sellers near $326.00 (resistance); its 52-week range is $249.39–$326.00. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.3× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

Norfolk Southern (NSC) is a large-cap company in the Rail Transportation industry, part of the Industrials sector of the S&P 500, with a market value around $67.40B.

In its latest reported year it generated about $12.18B in revenue and $2.87B in net profit.

Our model rates NSC Neutral (45/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

2.3%

Revenue moved from $11.14B in 2021 to $12.18B in 2025, a 2.3% compound annual growth rate. The most recent year was roughly flat (0.6%) year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

49.3%

Operating Margin

35.8%

Net Margin

23.6%

ROE

17.4%

Norfolk Southern keeps about 21.9% of each sales dollar as net profit, with a 49.3% gross margin and 35.8% operating margin. Return on equity is 17.4% and return on invested capital about 13.0%. Margins this wide usually signal pricing power or a cost advantage.

Debt Analysis
Research

Total Debt

$10.24B

Net Debt

$8.90B

Net Debt / EBITDA

2.04x

Debt / Equity

1.1x

Leverage: debt-to-equity is 1.1x, and operating profit covers interest about 5.4x, with a current ratio of 0.9x. That is a moderate, manageable debt load for most businesses. It carries roughly $10.24B of total debt against $1.34B of cash.

Cash Flow Analysis
Research

Operating CF

$4.36B

Free Cash Flow

$2.16B

FCF Margin

17.7%

In the latest year Norfolk Southern produced about $4.36B of operating cash flow and $2.16B of free cash flow after capital spending. That is a free-cash-flow yield of about 4.7% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

25.09x

P/S

5.7x

P/B

4.39x

EV / EBITDA

13.69x

NSC trades at 25.1x trailing earnings (about 31.0x on estimated forward earnings), 5.7x sales, and 4.4x book value. Reverse-engineering today's price implies the market expects roughly 5.6% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
25.1xFair
Forward P/E
31.0xExpensive
P/S ratio
5.7xExpensive
Revenue growth
0.6%Weak
EPS growth
-19.0%Weak
Gross margin
49.3%Strong
Net margin
21.9%Strong
ROE
17.4%Average

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How NSC stacks up against its Industrials peers — valuation, profitability, and growth versus the sector median.

In the Industrials sector (80 S&P 500 companies), NSC ranks #57 of 80 by our overall rating. It trades at a discount versus the sector on earnings (25.1x P/E vs. 30x median) with a lower return on equity (17.4% vs. 24.7%) and slower revenue growth (0.6% vs. 5.0%).

P/E vs sector

25.1x

median 30x

ROE vs sector

17.4%

median 24.7%

Growth vs sector

0.6%

median 5.0%

Sector rank

#57

of 80 by rating

CompanyP/ERev Gr.Rating
NSCThis stock25.1x0.6%Neutral· 45
CSX27.8x-0.9%Neutral· 47
UNP20.5x1.9%Favorable· 63
URI26.9x5.0%Neutral· 52
CTAS35.2x8.7%Favorable· 66
FIX57.9x38.4%Favorable· 67
GWW36.2x6.6%Neutral· 48
RSG29.1x3.2%Neutral· 45
Industrials median30x5.0%52/100

Valuation vs. quality map

sector medianCSXUNPURICTASFIXGWWRSGNSCP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Industrials companies by sub-industry and size. Sector median is across all 80 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$226.33$377.21

vs. $304.17 today · expected CAGR -6%4%

Metric20262027202820292030
Revenue$12.55B$12.92B$13.31B$13.71B$14.12B
Net income$3.01B$3.10B$3.19B$3.29B$3.39B
EPS$13.41$13.81$14.22$14.65$15.09
Share price (low)$201.09$207.12$213.34$219.74$226.33
Share price (high)$335.15$345.20$355.56$366.23$377.21
CAGR (low–high)-34% / 10%-17% / 7%-11% / 5%-8% / 5%-6% / 4%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for NSC:

  • High net margins (21.9%) point to pricing power or efficiency.
  • Strong return on equity (17.4%) shows capital is put to work well.
  • Healthy free-cash-flow yield (~4.7%) funds buybacks and dividends.
Bear Case

The case against NSC:

  • Revenue growth is slow (0.6%), limiting the upside engine.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Balance-sheet risk — debt/equity of 1.1x magnifies the impact of higher rates or weaker earnings.

Growth risk — sluggish revenue (0.6%) leaves little margin for execution missteps.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: Norfolk Southern is a large-cap industrials business growing at a mature pace, with solid profitability, and a heavier debt load to watch. It trades at 25.1x earnings, which our model scores Neutral (45/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.