CNI stock: buy or sell?

CNI stock price: $92.45 -1.25% At close on November 19th, 2019

Updated on:
November 19th, 2019

4

Canadian National Railway shares slightly fell -1.25% to $92.45 today.

Canadian National Railway Company engages in rail and related transportation business. The company transports cargo serving exporters, importers, retailers, farmers, and manufacturers.

Should I buy CNI stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. That's why is so important to choose your own trading strategy that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, Canadian National Railway stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean CNI will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Canadian National Railway stock a buy?

Financial institutions and banks post stock ratings everyday. At Stocks2.com, we collected 5 ratings published for CNI stock in the last 30 days.

Is CNI a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-9-13Raymond JamesOutperformMarket Perform
2019-7-24Credit Suisse Groupn/aOutperform
2019-7-10Goldman Sachs Groupn/aNeutral
2019-4-4CitigroupBuyBuy
2019-4-30Royal Bank of CanadaOutperformSector Perform

CNI stock analysis

Daily outlook

Canadian National Railway shares slightly fell -1.25% to $92.45 today.

Canadian National Railway shares slightly fell -1.25% to $92.45 today. On Oct 25th CNI price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock. From a daily outlook perspective, CNI is drawing an uptrend of rising tops and rising bottoms. Since its last top on Nov/8 at $95.20, price slid and bounced up back from $92.23. Breaking down under $92.23 would cancel the current uptrend and it might slide further to test lower supports. Note that $95.20 might act as a resistance line. If Canadian National Railway breakouts over $95.20 with average or higher volume, this would be a clear signal that the uptrend resumes. On July, CNI hit a new all time high, pushing higher than on July tops. Check different trading setups that use ATHs as triggers.

CNI stock chart (daily)

Weekly outlook

Shares of Canadian National Railway declined a disappointing -1.28% this week. Late September CNI plunged a horrible -5.15% in just one week.

Since late October when CNI stock price broke up the SMA40w line, it gained $3.48 (3.91%). Far behind is the all-time high Canadian National Railway hit late July but price is just -3.64% below that top. Early May, SMA20w and SMA40w crossed up triggering a rise of 0.21%.

CNI stock chart (weekly)

CNI stock price history

CNI stock went public on November 26th, 1996 with a price of $0.791. Since then, CNI stock surged a 11,602.50%, with an average of 527.40% per year. If you had invested right after CNI's IPO a $1,000 in CNI stock in 1996, it would worth $116,025.00 today.

1: Adjusted price after possible price splits or reverse-splits.

CNI stock historical price chart

CNI stock reached all-time highs on July with a price of $95.94.

CNI stock price target is $103.50

Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' CNI stock price predictions in the hope that they will be met as they may be wrong and not met. We detected 2 price forecasts for CNI stock released in the last 30 days:
CNI stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-7-24Credit Suisse GroupRaises Target$101.00$104.003%
2019-4-4CitigroupRaises Target$87.00$103.0018.4%
(in average)$94.00$103.5010.0%
Moving in a range from $104.00 and $103.00, the price forecast for CNI stock is $103.50. In average, analysts' outlook on CNI price forecast is positive, upgrading the target by a 10.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

On January, Canadian National Railway matched the estimates of the experts and reported an EPS of $1.13 per share. As soon as we get its actual EPS from the earnings report, we will update this review.
CNI earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a1.36n/a
2017-Q3-n/a1.27n/a
2017-Q4-n/a3.48n/a
2018-Q12018-04-230.80.79-1.3%
2018-Q22018-07-241.051.1711.4%
2018-Q32018-10-231.121.152.7%
2018-Q42019-01-291.111.131.8%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Canadian National Railway annual revenues escalated a great 9.82% to $14,321.00 M dollars from $13,041.00 marked in 2017. When comparing 2018 vs 2017, nevertheless, profit margin (that is, the net income divided by revenues) collapsed a -11.83% to 30.22%.

CNI annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$10,580 M-$2,610 M24.7%-
2014$10,442 M-1.31%$2,725 M26.1%4.42%
2015$12,611 M20.78%$3,538 M28.1%29.82%
2016$12,037 M-4.55%$3,640 M30.2%2.88%
2017$13,041 M8.34%$5,484 M42.1%50.66%
2018$14,321 M9.82%$4,328 M30.2%-21.08%

Quarterly financial results

Canadian National Railway posted $3,808.00 million in revenues for 2018-Q4, a 3.25% up compared to previous quarter. Reported quarter income marked $1,143.00 million with a profit margin of 30.02%. Profit margin remained steady a -0.73% compared to previous quarter when profit margin was 30.75%. When comparing sales to same quarter last year, Canadian National Railway sales marked an astounding gain and climbed a 45.78%. Looking back to recent quarterly results, Canadian National Railway posted 4 negative quarters in a row.
CNI quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$3,330 M-$1,030 M30.9%-
2017-Q3$3,220 M-3.30%$958 M29.8%-6.99%
2017-Q4$2,612 M-18.88%$2,076 M79.5%116.72%
2018-Q1$3,194 M22.28%$741 M23.2%-64.31%
2018-Q2$3,631 M13.68%$1,310 M36.1%76.79%
2018-Q3$3,688 M1.57%$1,134 M30.7%-13.44%
2018-Q4$3,808 M3.25%$1,143 M30.0%0.79%
2019-Q1$3,544 M-6.93%$786 M22.2%-31.23%

Canadian National Railway ownership

When you are planning to invest in shares of a stock, it's always worth to check its ownership structure.

Canadian National Railway shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 3.04% of all shares.

In case of Canadian National Railway stock, 0.00% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for CNI stock account 0.00%, no big difference from last month.

For a better context understanding, the following table shows ownership data compared to other related stocks:

CNICPCSXGWRKSU
Market cap$66.1 B$32.7 B$55.2 B$6.4 B$15.3 B
Total shares715.3 M137.2 M777.6 M57.0 M99.1 M
Float shares612.7 M126.6 M781.2 M55.2 M98.5 M
  - Institutional holdings (%)0.0%75.4%78.7%98.0%85.4%
  - Insider holdings (%)3.0%0.0%0.2%1.9%0.5%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

CNI summary

Tuesday, November 19th, 2019
Open$93.44
Close$92.45
Day range$92.20 - $93.44
Previous close$93.62
Session gain-1.25%
Average true range$1.20
50d mov avg$89.82
100d mov avg$91.09
200d mov avg$89.86
Daily patternlb03a
Weekly pattern

Canadian National Railway performance

To better understand Canadian National Railway performance you must becnhmark its gains with other related stocks in same sector or industry. We chose Canadian Pacific Railway, CSX, Genesee & Wyoming, , Norfolk Souther and Union Pacific as the bechmarking frame for Canadian National Railway stock.
Stock3m6m12m
CNICanadian National...3.43%2.23%12.63%
CPCanadian Pacific ...2.11%7.11%18.79%
CSX 10.31%-4.52%3.14%
GWRGenesee & Wyoming0.70%17.88%40.64%
KSU29.78%28.72%59.53%
NSCNorfolk Souther14.33%-2.39%19.80%
UNPUnion Pacific11.42%4.07%26.14%

Canadian National Railway competitors

We selected a few stocks to conform a list of Canadian National Railway competitors to watch if you are interested in investing in CNI:

Latest CNI stock news