WallStSmart

Canadian National Railway Company (CNI)vsUrban Outfitters Inc (URBN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Canadian National Railway Company generates 181% more annual revenue ($17.30B vs $6.17B). CNI leads profitability with a 27.3% profit margin vs 7.5%. URBN appears more attractively valued with a PEG of 1.01. CNI earns a higher WallStSmart Score of 68/100 (B-).

CNI

Strong Buy

68

out of 100

Grade: B-

Growth: 6.7Profit: 8.5Value: 9.3Quality: 5.5
Piotroski: 5/9Altman Z: 1.48

URBN

Buy

62

out of 100

Grade: C+

Growth: 4.7Profit: 6.0Value: 7.3Quality: 6.8
Piotroski: 5/9Altman Z: 3.41
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CNIUndervalued (+22.9%)

Margin of Safety

+22.9%

Fair Value

$137.97

Current Price

$100.97

$37.00 discount

UndervaluedFair: $137.97Overvalued
URBNSignificantly Overvalued (-104.9%)

Margin of Safety

-104.9%

Fair Value

$34.41

Current Price

$61.47

$27.06 premium

UndervaluedFair: $34.41Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CNI5 strengths · Avg: 9.0/10
Operating MarginProfitability
42.4%10/10

Strong operational efficiency at 42.4%

Market CapQuality
$60.25B9/10

Large-cap with strong market position

Return on EquityProfitability
22.2%9/10

Every $100 of equity generates 22 in profit

Profit MarginProfitability
27.3%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

URBN3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.4110/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.2x8/10

Attractively priced relative to earnings

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Areas to Watch

CNI4 concerns · Avg: 3.3/10
PEG RatioValuation
2.124/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.4%4/10

2.4% revenue growth

Debt/EquityHealth
1.013/10

Elevated debt levels

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

URBN2 concerns · Avg: 2.5/10
Profit MarginProfitability
7.5%3/10

7.5% margin — thin

EPS GrowthGrowth
-17.4%2/10

Earnings declined 17.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : CNI

The strongest argument for CNI centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 27.3% and operating margin at 42.4%.

Bull Case : URBN

The strongest argument for URBN centers on Altman Z-Score, P/E Ratio, Price/Book. Revenue growth of 10.1% demonstrates continued momentum. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bear Case : CNI

The primary concerns for CNI are PEG Ratio, Revenue Growth, Debt/Equity.

Bear Case : URBN

The primary concerns for URBN are Profit Margin, EPS Growth.

Key Dynamics to Monitor

URBN carries more volatility with a beta of 1.21 — expect wider price swings.

URBN is growing revenue faster at 10.1% — sustainability is the question.

CNI generates stronger free cash flow (997M), providing more financial flexibility.

Monitor RAILROADS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CNI scores higher overall (68/100 vs 62/100), backed by strong 27.3% margins. Both earn "Strong 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.

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Urban Outfitters Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Urban Outfitters, Inc. is engaged in the retail and wholesale of general consumer products. The company is headquartered in Philadelphia, Pennsylvania.

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