Zacks Research Equities Analysts Decrease Earnings Estimates for Norfolk Southern Co. (NYSE:NSC)

Norfolk Southern Co. (NYSE:NSC) – Equities research analysts at Zacks Research cut their Q2 2024 earnings estimates for shares of Norfolk Southern in a note issued to investors on Friday, April 19th. Zacks Research analyst M. Basu now expects that the railroad operator will post earnings of $2.85 per share for the quarter, down from their previous forecast of $3.04. The consensus estimate for Norfolk Southern’s current full-year earnings is $11.98 per share. Zacks Research also issued estimates for Norfolk Southern’s Q3 2024 earnings at $3.17 EPS, Q4 2024 earnings at $3.13 EPS, Q1 2025 earnings at $2.84 EPS, Q3 2025 earnings at $3.44 EPS, Q1 2026 earnings at $2.96 EPS and FY2026 earnings at $14.28 EPS.

Norfolk Southern (NYSE:NSC) last released its earnings results on Friday, January 26th. The railroad operator reported $2.83 EPS for the quarter, missing analysts’ consensus estimates of $2.87 by ($0.04). Norfolk Southern had a return on equity of 21.06% and a net margin of 15.03%. The business had revenue of $3.10 billion for the quarter, compared to analyst estimates of $3.09 billion. During the same period in the prior year, the firm posted $3.42 EPS. Norfolk Southern’s revenue was down 4.2% on a year-over-year basis.

A number of other analysts also recently weighed in on NSC. Stifel Nicolaus increased their price target on shares of Norfolk Southern from $233.00 to $244.00 and gave the company a “hold” rating in a research report on Friday, April 12th. BMO Capital Markets reduced their target price on Norfolk Southern from $250.00 to $245.00 and set a “market perform” rating on the stock in a report on Monday, January 29th. Morgan Stanley cut Norfolk Southern from an “equal weight” rating to an “underweight” rating and decreased their target price for the company from $185.00 to $175.00 in a research note on Monday, January 29th. Sanford C. Bernstein upgraded Norfolk Southern from a “market perform” rating to an “outperform” rating and set a $272.00 price objective on the stock in a report on Monday, January 22nd. Finally, Royal Bank of Canada reissued a “sector perform” rating and set a $270.00 target price on shares of Norfolk Southern in a research note on Wednesday, April 10th. One investment analyst has rated the stock with a sell rating, six have given a hold rating and thirteen have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $262.74.

Norfolk Southern Trading Up 1.4 %

NYSE:NSC opened at $244.61 on Monday. The firm has a market capitalization of $60.23 billion, a price-to-earnings ratio of 30.50, a PEG ratio of 3.28 and a beta of 1.30. Norfolk Southern has a 1-year low of $183.09 and a 1-year high of $263.66. The business’s 50-day moving average price is $252.77 and its two-hundred day moving average price is $231.71. The company has a current ratio of 1.24, a quick ratio of 1.14 and a debt-to-equity ratio of 1.34.

Institutional Investors Weigh In On Norfolk Southern

A number of hedge funds and other institutional investors have recently made changes to their positions in NSC. CWM LLC grew its stake in Norfolk Southern by 2.2% during the third quarter. CWM LLC now owns 5,352 shares of the railroad operator’s stock worth $1,054,000 after buying an additional 117 shares in the last quarter. AE Wealth Management LLC lifted its stake in Norfolk Southern by 8.6% during the third quarter. AE Wealth Management LLC now owns 15,604 shares of the railroad operator’s stock worth $3,073,000 after purchasing an additional 1,231 shares during the last quarter. Naples Global Advisors LLC boosted its holdings in shares of Norfolk Southern by 3.8% in the 3rd quarter. Naples Global Advisors LLC now owns 9,431 shares of the railroad operator’s stock valued at $1,857,000 after purchasing an additional 345 shares in the last quarter. Capital Investment Advisors LLC increased its stake in shares of Norfolk Southern by 0.5% in the 3rd quarter. Capital Investment Advisors LLC now owns 24,181 shares of the railroad operator’s stock valued at $4,762,000 after purchasing an additional 126 shares during the last quarter. Finally, Impact Partnership Wealth LLC acquired a new position in shares of Norfolk Southern during the 3rd quarter worth $68,000. 75.10% of the stock is currently owned by institutional investors and hedge funds.

Norfolk Southern Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, February 20th. Stockholders of record on Friday, February 2nd were issued a dividend of $1.35 per share. This represents a $5.40 dividend on an annualized basis and a dividend yield of 2.21%. The ex-dividend date was Thursday, February 1st. Norfolk Southern’s dividend payout ratio is currently 67.33%.

Norfolk Southern Company Profile

Norfolk Southern Corporation, together with its subsidiaries, engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. The company transports agriculture, forest, and consumer products comprising soybeans, wheat, corn, fertilizers, livestock and poultry feed, food products, food oils, flour, sweeteners, ethanol, lumber and wood products, pulp board and paper products, wood fibers, wood pulp, beverages, and canned goods; chemicals consist of sulfur and related chemicals, petroleum products comprising crude oil, chlorine and bleaching compounds, plastics, rubber, industrial chemicals, chemical wastes, sand, and natural gas liquids; metals and construction materials, such as steel, aluminum products, machinery, scrap metals, cement, aggregates, minerals, clay, transportation equipment, and military-related products; and automotive, including finished motor vehicles and automotive parts, as well as coal.