Canadian National Railway Company (CNI)vsLB Foster Company (FSTR)
CNI
Canadian National Railway Company
$120.38
+0.74%
INDUSTRIALS · Cap: $72.98B
FSTR
LB Foster Company
$41.42
-2.54%
INDUSTRIALS · Cap: $434.14M
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian National Railway Company generates 2967% more annual revenue ($17.28B vs $563.36M). CNI leads profitability with a 27.2% profit margin vs 2.0%. FSTR appears more attractively valued with a PEG of 0.35. CNI earns a higher WallStSmart Score of 59/100 (C).
CNI
Buy59
out of 100
Grade: C
FSTR
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-0.4%
Fair Value
$105.89
Current Price
$120.38
$14.49 premium
Margin of Safety
-15.5%
Fair Value
$27.31
Current Price
$41.42
$14.11 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 38.4%
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Keeps 27 of every $100 in revenue as profit
Growing faster than its price suggests
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Revenue surging 23.9% year-over-year
Areas to Watch
1.1% earnings growth
Elevated debt levels
Expensive relative to growth rate
Revenue declined 0.5%
Smaller company, higher risk/reward
ROE of 6.4% — below average capital efficiency
2.0% margin — thin
Operating margin of 1.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : CNI
The strongest argument for CNI centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 27.2% and operating margin at 38.4%.
Bull Case : FSTR
The strongest argument for FSTR centers on PEG Ratio, Altman Z-Score, Price/Book. Revenue growth of 23.9% demonstrates continued momentum. PEG of 0.35 suggests the stock is reasonably priced for its growth.
Bear Case : CNI
The primary concerns for CNI are EPS Growth, Debt/Equity, PEG Ratio.
Bear Case : FSTR
The primary concerns for FSTR are Market Cap, Return on Equity, Profit Margin. A P/E of 40.3x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
CNI profiles as a declining stock while FSTR is a growth play — different risk/reward profiles.
FSTR carries more volatility with a beta of 1.16 — expect wider price swings.
FSTR is growing revenue faster at 23.9% — sustainability is the question.
CNI generates stronger free cash flow (828M), providing more financial flexibility.
Bottom Line
CNI scores higher overall (59/100 vs 55/100), backed by strong 27.2% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Canadian National Railway Company
INDUSTRIALS · RAILROADS · USA
Canadian National Railway Company, is engaged in the rail and related transportation business. The company is headquartered in Montreal, Canada.
Visit Website →LB Foster Company
INDUSTRIALS · RAILROADS · USA
LB Foster Company provides products and services for the rail industry and solutions to support critical infrastructure projects globally. The company is headquartered in Pittsburgh, Pennsylvania.
Visit Website →Compare with Other RAILROADS Stocks
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