Is Canadian National Stock a Good Investment?
Canadian National Investment Advice | CNI |
- Examine Canadian National's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Canadian National's leadership team and their track record. Good management can help Canadian National navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Ground Transportation space and any emerging trends that could impact Canadian National's business and its evolving consumer preferences.
- Compare Canadian National's performance and market position to its competitors. Analyze how Canadian National is positioned in terms of product offerings, innovation, and market share.
- Check if Canadian National pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Canadian National's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Canadian National Railway stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Canadian National Railway is a good investment.
Sell | Buy |
Sell
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine Canadian National Stock
Researching Canadian National's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 75.0% of the company shares are held by institutions such as insurance companies. The book value of Canadian National was currently reported as 30.95. The company recorded earning per share (EPS) of 6.04. Canadian National Railway last dividend was issued on the 9th of December 2024. The entity had 2:1 split on the 2nd of December 2013.
To determine if Canadian National is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Canadian National's research are outlined below:
| Canadian National generated a negative expected return over the last 90 days | |
| Canadian National has a strong financial position based on the latest SEC filings | |
| About 75.0% of the company shares are held by institutions such as insurance companies | |
| On 27th of September 2024 Canadian National paid $ 0.6138 per share dividend to its current shareholders | |
| Latest headline from finance.yahoo.com: Defense Metals Announces Appointment of Mark Tory as CEO |
Canadian National uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Canadian National Railway. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Canadian National's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 22nd of April 2024 Upcoming Quarterly Report | View | |
| 23rd of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 28th of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Canadian National's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Canadian National's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
1998-04-21 | 1998-03-31 | 0.09 | 0.1 | 0.01 | 11 | ||
2005-04-20 | 2005-03-31 | 0.19 | 0.21 | 0.02 | 10 | ||
2004-01-28 | 2003-12-31 | 0.18 | 0.2 | 0.02 | 11 | ||
1999-01-19 | 1998-12-31 | 0.14 | 0.16 | 0.02 | 14 | ||
2005-07-20 | 2005-06-30 | 0.27 | 0.3 | 0.03 | 11 | ||
2005-01-25 | 2004-12-31 | 0.24 | 0.27 | 0.03 | 12 | ||
2004-07-20 | 2004-06-30 | 0.18 | 0.21 | 0.03 | 16 | ||
2002-01-22 | 2001-12-31 | 0.22 | 0.25 | 0.03 | 13 |
Know Canadian National's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Canadian National is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Canadian National Railway backward and forwards among themselves. Canadian National's institutional investor refers to the entity that pools money to purchase Canadian National's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Td Asset Management Inc | 2024-09-30 | 11.5 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 11.4 M | Capital Research & Mgmt Co - Division 3 | 2024-09-30 | 10.5 M | 1832 Asset Management L.p | 2024-09-30 | 10.3 M | Mackenzie Investments | 2024-09-30 | 8.9 M | Jarislowsky Fraser Ltd | 2024-09-30 | 8.7 M | Norges Bank | 2024-06-30 | 5.9 M | Legal & General Group Plc | 2024-06-30 | 5.7 M | Fiera Capital Corporation | 2024-06-30 | 5.4 M | Gates Bill & Melinda Foundation | 2024-09-30 | 54.8 M | Tci Fund Management Limited | 2024-06-30 | 39.5 M |
Canadian National's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 67.18 B.Market Cap |
|
Canadian National's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.11 | 0.06 | |
| Return On Capital Employed | 0.14 | 0.10 | |
| Return On Assets | 0.11 | 0.06 | |
| Return On Equity | 0.28 | 0.29 |
Determining Canadian National's profitability involves analyzing its financial statements and using various financial metrics to determine if Canadian National is a good buy. For example, gross profit margin measures Canadian National's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Canadian National's profitability and make more informed investment decisions.
Evaluate Canadian National's management efficiency
Canadian National Railway has Return on Asset of 0.0818 % which means that on every $100 spent on assets, it made $0.0818 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.2755 %, implying that it generated $0.2755 on every 100 dollars invested. Canadian National's management efficiency ratios could be used to measure how well Canadian National manages its routine affairs as well as how well it operates its assets and liabilities. The Canadian National's current Return On Equity is estimated to increase to 0.29, while Return On Tangible Assets are projected to decrease to 0.06. As of now, Canadian National's Intangible Assets are increasing as compared to previous years. The Canadian National's current Fixed Asset Turnover is estimated to increase to 0.46, while Total Assets are projected to decrease to under 30.5 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 30.51 | 32.03 | |
| Tangible Book Value Per Share | 27.85 | 29.25 | |
| Enterprise Value Over EBITDA | 14.40 | 8.00 | |
| Price Book Value Ratio | 5.45 | 5.72 | |
| Enterprise Value Multiple | 14.40 | 8.00 | |
| Price Fair Value | 5.45 | 5.72 | |
| Enterprise Value | 128.1 B | 134.5 B |
Leadership effectiveness at Canadian National Railway is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.
Dividend Yield 0.0229 | Forward Dividend Yield 0.0229 | Forward Dividend Rate 2.44 | Beta 0.648 |
Basic technical analysis of Canadian Stock
As of the 22nd of November, Canadian National shows the Mean Deviation of 0.8251, risk adjusted performance of (0.05), and Standard Deviation of 1.07. Canadian National Railway technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.Canadian National's Outstanding Corporate Bonds
Canadian National issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Canadian National Railway uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Canadian bonds can be classified according to their maturity, which is the date when Canadian National Railway has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Understand Canadian National's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Canadian National's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.05) | |||
| Market Risk Adjusted Performance | (0.1) | |||
| Mean Deviation | 0.8251 | |||
| Coefficient Of Variation | (1,306) | |||
| Standard Deviation | 1.07 | |||
| Variance | 1.15 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.17) | |||
| Total Risk Alpha | (0.21) | |||
| Treynor Ratio | (0.11) | |||
| Maximum Drawdown | 5.28 | |||
| Value At Risk | (1.71) | |||
| Potential Upside | 1.68 | |||
| Skewness | 0.4871 | |||
| Kurtosis | 0.5126 |
| Risk Adjusted Performance | (0.05) | |||
| Market Risk Adjusted Performance | (0.1) | |||
| Mean Deviation | 0.8251 | |||
| Coefficient Of Variation | (1,306) | |||
| Standard Deviation | 1.07 | |||
| Variance | 1.15 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.17) | |||
| Total Risk Alpha | (0.21) | |||
| Treynor Ratio | (0.11) | |||
| Maximum Drawdown | 5.28 | |||
| Value At Risk | (1.71) | |||
| Potential Upside | 1.68 | |||
| Skewness | 0.4871 | |||
| Kurtosis | 0.5126 |
Consider Canadian National's intraday indicators
Canadian National intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Canadian National stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 23469.68 | |||
| Daily Balance Of Power | 0.9555 | |||
| Rate Of Daily Change | 1.02 | |||
| Day Median Price | 108.03 | |||
| Day Typical Price | 108.42 | |||
| Price Action Indicator | 2.35 | |||
| Period Momentum Indicator | 2.36 | |||
| Relative Strength Index | 54.33 |
Canadian National Corporate Filings
F3 | 4th of November 2024 An amendment to the original Schedule 13D filing | ViewVerify |
6K | 22nd of October 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
| 8th of October 2024 Other Reports | ViewVerify | |
| 16th of September 2024 Other Reports | ViewVerify |
Canadian Stock media impact
Far too much social signal, news, headlines, and media speculation about Canadian National that are available to investors today. That information is available publicly through Canadian media outlets and privately through word of mouth or via Canadian internal channels. However, regardless of the origin, that massive amount of Canadian data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Canadian National news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Canadian National relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Canadian National's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Canadian National alpha.
Canadian National Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Canadian National can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Canadian National Railway Historical Investor Sentiment
Investor biases related to Canadian National's public news can be used to forecast risks associated with an investment in Canadian. The trend in average sentiment can be used to explain how an investor holding Canadian can time the market purely based on public headlines and social activities around Canadian National Railway. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Canadian National's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Canadian National and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Canadian National news discussions. The higher the estimate score, the more favorable the investor's outlook on Canadian National.
Canadian National Corporate Directors
| Donald Carty | Independent Director | Profile | |
| Shauneen Bruder | Independent Director | Profile | |
| Kevin Lynch | Independent Director | Profile | |
| Edith Holiday | Independent Director | Profile |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Canadian National Railway. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. You can also try the Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Is Ground Transportation space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Canadian National. If investors know Canadian will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Canadian National listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.018 | Dividend Share 3.325 | Earnings Share 6.04 | Revenue Per Share 26.896 | Quarterly Revenue Growth 0.031 |
The market value of Canadian National Railway is measured differently than its book value, which is the value of Canadian that is recorded on the company's balance sheet. Investors also form their own opinion of Canadian National's value that differs from its market value or its book value, called intrinsic value, which is Canadian National's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Canadian National's market value can be influenced by many factors that don't directly affect Canadian National's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Canadian National's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Canadian National is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Canadian National's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.