NSC stock: buy or sell?
August 19th, 2019
Norfolk Southern Corporation, together with its subsidiaries, engages in the rail transportation of raw materials, intermediate products, and finished goods.
Should I buy NSC stock?Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
None of our preferred buy setups matches with Norfolk Souther stock situation right now, therefore this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Norfolk Souther stock a buy?
Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we gathered 15 ratings published for NSC stock in the last month.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-7-10||Goldman Sachs Group||n/a||Conviction-Buy|
|2019-4-25||Barclays||Equal Weight||Equal Weight|
|2019-4-1||Bank of America||Neutral||Buy|
|2019-2-19||Royal Bank of Canada||Sector Perform||Underperform|
|2019-2-12||JPMorgan Chase & Co.||Overweight||Positive|
NSC stock analysis
Norfolk Souther shares grew 0.79% to $174.37 today.
Shares of Norfolk Souther closed today at $174.37 and grew a slightly good 0.79%. For the last 10 days when NSC stock price broke down the SMA200d line, it slid $-6.14 per share (-3.40%). On April, NSC hit a new all time high, pushing higher than on April tops. Check different trading setups that use ATHs as triggers.
After sliding for 4 weeks, this week Norfolk Souther grew a slightly fine 0.79%, closing at $174.37. After 4 weeks sliding, this week raised a 0.77%. By mid July NSC plummed a hair-raising -5.49% in just one week.
Since early August, when NSC stock price broke down the 40-weeks moving avarage line, it slid $-7.65 per share (-4.20%). Trading stocks that are under the 40-weeks (that is, 200-days) moving average line is not recommended by many experts, as it indicates that the stock has not enough institutional support. Far behind is the all-time high Norfolk Souther hit late April and since then the price is -16.76% below that top. Since early April when SMA20w and SMA40w crossed up, NSC price slipped $-16.03 per share (-8.42%).
NSC stock price history
NSC IPO was on June 2nd, 1982 at $0.72 per share1. Since then, NSC stock surged a 24,118.10%, with an average of 651.80% per year. If you had invested right after NSC's IPO a $1,000 in NSC stock in 1982, it would worth $241,181.00 today.
1: Adjusted price after possible price splits or reverse-splits.
NSC stock historical price chart
NSC stock reached all-time highs on April with a price of $209.49.
NSC stock price target is $188.50Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We detected 11 price predictions for NSC stock published in the last 30 days:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-7-8||Morgan Stanley||Set Price Target||n/a||$130.00||-|
|2019-7-25||TD Securities||Lowers Target||$225.00||$220.00||-2.2%|
|2019-6-12||Deutsche Bank||Lowers Target||$198.00||$196.00||-1%|
|2019-4-29||Morgan Stanley||Raises Target||$133.00||$138.00||3.8%|
|2019-2-12||TD Securities||Raises Target||$185.00||$195.00||5.4%|
|2019-2-12||Morgan Stanley||Raises Target||$116.00||$133.00||14.7%|
|2019-2-12||JPMorgan Chase & Co.||Raises Target||n/a||$214.00||-|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter publishing its last earnings report on April, Norfolk Souther eased a terrible -12.72%. As soon as we get its posted EPS from the earnings report, we will update this review.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual sales report draw a great growth of 8.60% to $11,458.00 M USD. However, its profit margin (compared to revenues) plunged to 23.27%, that is $2,666.00 million. Norfolk Souther fiscal year ends in December, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Norfolk Souther TTM sales up to March 2019 were $11,581.00 and earnings $2,791.00 million USD. When comparing this TTM figures with the last reported annuality, we can review Norfolk Souther business evolution since December 2018: Annual turnover up to March, compared to lastest yearly report, gained a slightly fine 1.07%. In the same way, profit margin (net income/sales) stayed stable at 23.27%.
|2013||$11,250 M||-||$1,900 M16.9%||-|
|2014||$11,624 M||3.32%||$2,000 M17.2%||5.26%|
|2015||$10,511 M||-9.58%||$1,556 M14.8%||-22.20%|
|2016||$9,888 M||-5.93%||$1,668 M16.9%||7.20%|
|2017||$10,551 M||6.71%||$5,404 M51.2%||223.98%|
|2018||$11,458 M||8.60%||$2,666 M23.3%||-50.67%|
|TTM||$11,581 M||1.07%||$2,791 M24.1%||4.69%|
Quarterly financial resultsNorfolk Souther posted $2,840.00 M in sales for 2019-Q1, a -1.93% less compared to previous quarter. Reported quarter earnings marked $677.00 M with a profit margin of 23.84%. Profit margin stayed constant a -0.40% compared to previous quarter when profit margin was 24.24%. When comparing turnover to same quarter last year, Norfolk Souther sales marked a nice gain and stepped up a 4.53%. Looking back to recent quarterly results, Norfolk Souther posted 2 positive quarters in a row.
|2017-Q2||$2,640 M||-||$496 M18.8%||-|
|2017-Q3||$2,670 M||1.14%||$505 M18.9%||1.81%|
|2017-Q4||$2,669 M||-0.04%||$3,968 M148.7%||685.74%|
|2018-Q1||$2,717 M||1.80%||$552 M20.3%||-86.09%|
|2018-Q2||$2,898 M||6.66%||$710 M24.5%||28.62%|
|2018-Q3||$2,947 M||1.69%||$702 M23.8%||-1.13%|
|2018-Q4||$2,896 M||-1.73%||$702 M24.2%||0.00%|
|2019-Q1||$2,840 M||-1.93%||$677 M23.8%||-3.56%|
Norfolk Souther ownershipWhen you are planning to invest in shares of a company, it's always worth to review its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Norfolk Souther, 0.17% of all outstanding shares are owned by its staff.
In case of Norfolk Souther stock, 75.91% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for NSC stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Norfolk Souther:
|Market cap||$46.4 B||$67.3 B||$34.8 B||$52.7 B||$6.2 B|
|Total shares||266.0 M||727.3 M||144.9 M||809.2 M||56.5 M|
|Float shares||262.9 M||616.5 M||128.7 M||796.9 M||55.5 M|
|- Institutional holdings (%)||75.9%||0.0%||75.4%||78.7%||98.0%|
|- Insider holdings (%)||0.2%||3.0%||0.0%||0.2%||1.9%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Monday, August 19th, 2019|
|Day range||$173.91 - $177.63|
|Average true range||$4.55|
|50d mov avg||$190.64|
|100d mov avg||$194.00|
|200d mov avg||$179.84|
Norfolk Souther performancePerformance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We selected Canadian National Railway, Canadian Pacific Railway, CSX, Genesee & Wyoming, and Union Pacific as the bechmarking frame for Norfolk Souther stock.
|CPCanadian Pacific ...||7.97%||16.37%||19.42%|
|GWRGenesee & Wyoming||28.81%||33.06%||25.65%|
Norfolk Souther competitorsOne check before trading any stock is to review a list of its competitors, in this case for Norfolk Souther. We picked 6 companies as Norfolk Souther competitors as they are in the same industry or have similar market objectives.
- Canadian National Railway (CNI)
- Canadian Pacific Railway (CP)
- CSX (CSX)
- Genesee & Wyoming (GWR)
- Union Pacific (UNP)
Latest NSC stock news
- InvestorPlace3 Big Stock Charts for Tuesday: Norfolk Southern, Synchrony Financial and Dish NetworkJune 11, 2019
- InvestorPlace3 Big Stock Charts for Thursday: Discovery, Norfolk Southern and Bristol-Myers SquibbApril 25, 2019
- InvestorPlaceTrade of the Day: Norfolk Southern Stock Is on the Verge…March 20, 2019
- Seeking AlphaNorfolk Southern: I'm ImpressedJuly 26, 2018