WallStSmart

LB Foster Company (FSTR)vsNorfolk Southern Corporation (NSC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Norfolk Southern Corporation generates 2156% more annual revenue ($12.18B vs $540.01M). NSC leads profitability with a 23.6% profit margin vs 1.4%. FSTR appears more attractively valued with a PEG of 0.19. FSTR earns a higher WallStSmart Score of 55/100 (C).

FSTR

Buy

55

out of 100

Grade: C

Growth: 4.7Profit: 5.0Value: 7.3Quality: 8.0
Piotroski: 3/9Altman Z: 3.52

NSC

Buy

53

out of 100

Grade: C-

Growth: 2.0Profit: 8.0Value: 4.7Quality: 4.5
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FSTRSignificantly Overvalued (-572.5%)

Margin of Safety

-572.5%

Fair Value

$4.69

Current Price

$28.04

$23.35 premium

UndervaluedFair: $4.69Overvalued
NSCSignificantly Overvalued (-265.7%)

Margin of Safety

-265.7%

Fair Value

$86.77

Current Price

$282.61

$195.84 premium

UndervaluedFair: $86.77Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FSTR4 strengths · Avg: 9.0/10
PEG RatioValuation
0.1910/10

Growing faster than its price suggests

Altman Z-ScoreHealth
3.5210/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
25.1%8/10

Revenue surging 25.1% year-over-year

NSC3 strengths · Avg: 9.3/10
Operating MarginProfitability
31.2%10/10

Strong operational efficiency at 31.2%

Market CapQuality
$63.70B9/10

Large-cap with strong market position

Profit MarginProfitability
23.6%9/10

Keeps 24 of every $100 in revenue as profit

Areas to Watch

FSTR4 concerns · Avg: 3.0/10
Market CapQuality
$292.15M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
4.2%3/10

ROE of 4.2% — below average capital efficiency

Profit MarginProfitability
1.4%3/10

1.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

NSC4 concerns · Avg: 2.0/10
PEG RatioValuation
3.852/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.7%2/10

Revenue declined 1.7%

EPS GrowthGrowth
-11.4%2/10

Earnings declined 11.4%

Free Cash FlowQuality
$-412.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : FSTR

The strongest argument for FSTR centers on PEG Ratio, Altman Z-Score, Price/Book. Revenue growth of 25.1% demonstrates continued momentum. PEG of 0.19 suggests the stock is reasonably priced for its growth.

Bull Case : NSC

The strongest argument for NSC centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 23.6% and operating margin at 31.2%.

Bear Case : FSTR

The primary concerns for FSTR are Market Cap, Return on Equity, Profit Margin. A P/E of 40.7x leaves little room for execution misses. Thin 1.4% margins leave little buffer for downturns.

Bear Case : NSC

The primary concerns for NSC are PEG Ratio, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

FSTR profiles as a growth stock while NSC is a declining play — different risk/reward profiles.

NSC carries more volatility with a beta of 1.30 — expect wider price swings.

FSTR is growing revenue faster at 25.1% — sustainability is the question.

FSTR generates stronger free cash flow (14M), providing more financial flexibility.

Bottom Line

FSTR scores higher overall (55/100 vs 53/100) and 25.1% revenue growth. 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.

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.

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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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