WallStSmart

Norfolk Southern Corporation (NSC)vsWestinghouse Air Brake Technologies Corp (WAB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Norfolk Southern Corporation generates 9% more annual revenue ($12.18B vs $11.17B). NSC leads profitability with a 23.6% profit margin vs 10.5%. WAB appears more attractively valued with a PEG of 1.37. WAB earns a higher WallStSmart Score of 58/100 (C).

NSC

Buy

53

out of 100

Grade: C-

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

WAB

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 6.5Value: 7.3Quality: 6.0
Piotroski: 2/9Altman Z: 1.68
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NSCSignificantly Overvalued (-262.5%)

Margin of Safety

-262.5%

Fair Value

$87.52

Current Price

$281.09

$193.57 premium

UndervaluedFair: $87.52Overvalued
WABSignificantly Overvalued (-448.6%)

Margin of Safety

-448.6%

Fair Value

$46.38

Current Price

$236.06

$189.68 premium

UndervaluedFair: $46.38Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

Strong operational efficiency at 31.2%

Market CapQuality
$63.12B9/10

Large-cap with strong market position

Profit MarginProfitability
23.6%9/10

Keeps 24 of every $100 in revenue as profit

WAB0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

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

WAB4 concerns · Avg: 3.3/10
P/E RatioValuation
34.6x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.684/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-3.8%2/10

Earnings declined 3.8%

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : WAB

Revenue growth of 14.8% demonstrates continued momentum. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bear Case : NSC

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

Bear Case : WAB

The primary concerns for WAB are P/E Ratio, Altman Z-Score, Piotroski F-Score.

Key Dynamics to Monitor

NSC profiles as a declining stock while WAB is a value play — different risk/reward profiles.

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

WAB is growing revenue faster at 14.8% — sustainability is the question.

WAB generates stronger free cash flow (870M), providing more financial flexibility.

Bottom Line

WAB scores higher overall (58/100 vs 53/100) and 14.8% 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.

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.

Westinghouse Air Brake Technologies Corp

INDUSTRIALS · RAILROADS · USA

Wabtec Corporation (derived from Westinghouse Air Brake Technologies Corporation) is an American company formed by the merger of the Westinghouse Air Brake Company (WABCO) and MotivePower Industries Corporation in 1999. It is headquartered in Pittsburgh, Pennsylvania.

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