Canadian Pacific Kansas City Limited (CP)vsNorfolk Southern Corporation (NSC)
CP
Canadian Pacific Kansas City Limited
$83.50
+0.45%
INDUSTRIALS · Cap: $73.80B
NSC
Norfolk Southern Corporation
$311.66
-1.34%
INDUSTRIALS · Cap: $70.95B
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian Pacific Kansas City Limited generates 23% more annual revenue ($14.98B vs $12.19B). CP leads profitability with a 27.2% profit margin vs 21.9%. CP appears more attractively valued with a PEG of 2.22. NSC earns a higher WallStSmart Score of 55/100 (C).
CP
Buy54
out of 100
Grade: C-
NSC
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+61.5%
Fair Value
$217.94
Current Price
$83.50
$134.44 discount
Intrinsic value data unavailable for NSC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 37.6%
Large-cap with strong market position
Keeps 27 of every $100 in revenue as profit
Reasonable price relative to book value
Strong operational efficiency at 32.3%
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Revenue declined 2.5%
Earnings declined 3.1%
Moderate valuation
0.2% revenue growth
Expensive relative to growth rate
Earnings declined 26.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : CP
The strongest argument for CP centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 27.2% and operating margin at 37.6%.
Bull Case : NSC
The strongest argument for NSC centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 21.9% and operating margin at 32.3%.
Bear Case : CP
The primary concerns for CP are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : NSC
The primary concerns for NSC are P/E Ratio, Revenue Growth, PEG Ratio.
Key Dynamics to Monitor
CP profiles as a declining stock while NSC is a value play — different risk/reward profiles.
NSC carries more volatility with a beta of 1.31 — expect wider price swings.
NSC is growing revenue faster at 0.2% — sustainability is the question.
CP generates stronger free cash flow (307M), providing more financial flexibility.
Bottom Line
NSC scores higher overall (55/100 vs 54/100), backed by strong 21.9% margins. CP offers better value entry with a 61.5% margin of safety. 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 Pacific Kansas City Limited
INDUSTRIALS · RAILROADS · USA
Canadian Pacific Railway Limited, owns and operates a transcontinental freight railway in Canada and the United States. The company is headquartered in Calgary, Canada.
Norfolk Southern Corporation
INDUSTRIALS · RAILROADS · USA
The Norfolk Southern Railway is a Class I freight railroad in the United States, and is the current name of the former Southern Railway. With headquarters in Atlanta, Georgia, the company operates 19,420 route miles (31,250 km) in 22 eastern states, the District of Columbia, and has rights in Canada over the Albany to Montreal route of the Canadian Pacific Railway, and previously on CN from Buffalo to St. Thomas.
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