Canadian National Railway Co.

Canadian National Railway Co.

CNI

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Market Cap$72.17B
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Canadian National Railway Co.Canadian National Railway Co.21.62.17%20%4.61

Earnings Call Q1 2026

April 29, 2026 - AI Summary

Q1 performance: solid execution, volume growth, and improving cost base - Management said the quarter delivered “on plan” and reflects continued execution across operations and commercial teams. - Operating metrics improved YoY: car velocity +6%, dwell -4%, train speed +6%; local service commitment +1%; ran longer/heavier trains +2% and moved +3% GTMs. - Financials: reported diluted EPS $1.87 (+1% YoY); adjusted diluted EPS $1.80 (-3% YoY) (down due to mix/headwinds and several items not reflective of underlying ops). - Revenues: -1% YoY, but +2% ex-FX and +3% ex-FX/fuel surcharge/carbon tax; mix was a headwind.
Operating leverage / cost actions: productivity led, “engine running well,” but safety was a clear negative - Productivity/asset utilization gains: T&E productivity +12%, T&E labor cost per GTM -7%; locomotive productivity +8% with 91% availability; fuel productivity +3% (best ever Q1). - CN highlighted its “scheduled operating model,” workforce/asset productivity, and cross-functional initiatives (e.g., fast-track) as drivers. - Main negative: Safety underperformed expectations in Q1 (accidents up YoY; “no incident is acceptable”). - Management said there’s no single underlying cause and that targeted actions are underway; early signs of improvement seen in April.
Cash flow & capital returns: major positive surprise—free cash flow surged and buybacks continued - Free cash flow ~ $900M in Q1, up about $275M (~+44% YoY). - Drivers: lower capex, proceeds/disposal (~$66M pretax gain) and higher net cash from operating activities. - Share repurchases: 6 million shares for ~$870M in the first 3 months; leverage increased to ~2.7x (per plan). - Guidance on leverage: expected to stay ~2.7x through 2026, then back to ~2.5x in 2027.

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$111.67

Target Price by Analysts

6.1% downsideCanadian National Railway Target Price DetailsTarget Price
$44.72

Current Fair Value

62.4% downside

Overvalued by 62.4% based on the discounted cash flow analysis.

Share Statistics

Market cap$72.17 Billion
Enterprise Value$94.16 Billion
Dividend Yield$2.61 (2.17%)
Earnings per Share$7.57
Beta1
Outstanding Shares611,300,000

Return

Return on Equity20.39%ROE
Return on Assets7.36%
Return on Invested Capital11.46%

Valuation & Multiples

P/E Ratio21.63P/E Ratio
PEG-2085.9PEG
Price to Sales4.58Price to Sales
Price to Book Ratio3.4Price to Book Ratio
Enterprise Value to Revenue5.84
Enterprise Value to EBIT14.92
Enterprise Value to Net Income21
Total Debt to Enterprise0.24
Debt to Equity1.05Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
May 7, 2026
EPS Estimate
$1.32
Average shareholder expectation
Revenue Estimate
$3.10 B
Average shareholder expectation

Next Earnings Call

Expected Date
July 24, 2026
EPS Estimate
$1.40
Average shareholder expectation
Revenue Estimate
$3.22 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio0.7155 15.16%
Total Calls762,200 16.36%
Total Puts545,373 6.12%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %64.31% 2.45%
Total Invested$41.92B 2.79%
Investors Holding849 22.00%

ESG Score

No data

About Canadian National Railway Co.

CEO: Claude Mongeau

Relevant Senate Committees

Finance

This is a powerful committee that controls taxation and trade policy. Changes to corporate tax rates, depreciation schedules, or international trade agreements (tariffs, cross-border flows) directly impact CNI's profitability, investment decisions, and freight volumes.

Appropriations

This committee directly allocates federal discretionary spending. Its subcommittees can determine specific funding for rail infrastructure projects, grants for freight mobility, or projects in industries CNI serves, directly affecting CNI's operating environment and potential for expansion.

Agriculture, Nutrition, and Forestry

Agricultural products are a significant component of freight transported by railroads. This committee's influence on the Farm Bill and agricultural policies directly impacts the volume, types, and geographic distribution of commodities available for CNI to haul.

Health, Education, Labor, and Pensions

This committee has direct oversight of federal labor laws and union regulations, which are extremely critical for the heavily unionized railroad industry. Changes to labor policy, wages, or benefits directly impact CNI's operating costs and workforce management.

Judiciary

This committee oversees antitrust laws and the Department of Justice. As the railroad industry is an oligopoly, any potential mega-mergers (or anti-competitive practices) involving CNI would fall under its scrutiny, directly impacting the company's strategic growth.

Commerce, Science, and Transportation

This committee has direct and significant oversight over interstate commerce, which explicitly includes railroads. It influences regulations regarding safety, competition, and economic operations for the railroad industry via agencies like the Surface Transportation Board (STB).

Energy and Natural Resources

This committee directly impacts energy policy, influencing fuel costs (a major expense for CNI). It also oversees sectors like oil, gas, and mining, which are key sources of freight for line-haul railroads like CNI.

Environment and Public Works

This committee regulates the EPA, impacting environmental compliance costs for railroads. More critically, it influences federal infrastructure spending, which can directly benefit railroad networks and the industries CNI serves by improving transportation pathways and demand for hauled materials.