Canadian National Railway Company

TSX:CNR Stock Report

Market Cap: CA$91.4b

Canadian National Railway Valuation

Is CNR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CNR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CNR (CA$145.34) is trading below our estimate of fair value (CA$164.26)

Significantly Below Fair Value: CNR is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CNR?

Key metric: As CNR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for CNR. This is calculated by dividing CNR's market cap by their current earnings.
What is CNR's PE Ratio?
PE Ratio16.8x
EarningsCA$5.43b
Market CapCA$91.39b

Price to Earnings Ratio vs Peers

How does CNR's PE Ratio compare to its peers?

The above table shows the PE ratio for CNR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.8x
CP Canadian Pacific Kansas City
27.4x13.8%CA$96.9b
TFII TFI International
24.9x22.2%CA$16.8b
CSX CSX
16.8x5.7%US$61.4b
NSC Norfolk Southern
22x12.5%US$53.0b
CNR Canadian National Railway
16.8x4.3%CA$91.4b

Price-To-Earnings vs Peers: CNR is good value based on its Price-To-Earnings Ratio (16.8x) compared to the peer average (22.8x).

Price to Earnings Ratio vs Industry

How does CNR's PE Ratio compare vs other companies in the North American Transportation Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
CNR 16.8xIndustry Avg. 26.8xNo. of Companies5PE01224364860+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CNR is good value based on its Price-To-Earnings Ratio (16.8x) compared to the North American Transportation industry average (26.8x).

Price to Earnings Ratio vs Fair Ratio

What is CNR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CNR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.8x
Fair PE Ratio19.3x

Price-To-Earnings vs Fair Ratio: CNR is good value based on its Price-To-Earnings Ratio (16.8x) compared to the estimated Fair Price-To-Earnings Ratio (19.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CNR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$145.34
CA$173.43
+19.3%
5.8%CA$200.00CA$159.00n/a21
Dec ’25CA$156.34
CA$173.00
+10.7%
5.8%CA$200.00CA$159.00n/a21
Nov ’25CA$150.98
CA$173.00
+14.6%
5.8%CA$200.00CA$159.00n/a21
Oct ’25CA$158.03
CA$175.62
+11.1%
6.7%CA$210.00CA$158.00n/a21
Sep ’25CA$158.79
CA$178.95
+12.7%
6.2%CA$210.00CA$158.00n/a21
Aug ’25CA$157.05
CA$178.95
+13.9%
6.2%CA$210.00CA$158.00n/a21
Jul ’25CA$161.66
CA$183.54
+13.5%
6.2%CA$210.00CA$158.00n/a22
Jun ’25CA$173.50
CA$183.86
+6.0%
6.3%CA$210.00CA$158.00n/a22
May ’25CA$166.50
CA$183.26
+10.1%
6.7%CA$210.00CA$158.00n/a22
Apr ’25CA$178.51
CA$178.99
+0.3%
7.5%CA$210.00CA$155.00n/a22
Mar ’25CA$176.69
CA$176.13
-0.3%
6.7%CA$210.00CA$155.00n/a22
Feb ’25CA$169.95
CA$175.22
+3.1%
6.9%CA$210.00CA$155.00n/a22
Jan ’25CA$166.55
CA$166.37
-0.1%
6.2%CA$195.00CA$152.00n/a22
Dec ’24CA$160.23
CA$166.05
+3.6%
6.1%CA$195.00CA$152.00CA$156.3422
Nov ’24CA$147.93
CA$166.29
+12.4%
6.1%CA$195.00CA$151.00CA$150.9822
Oct ’24CA$147.09
CA$170.02
+15.6%
6.4%CA$199.00CA$151.00CA$158.0322
Sep ’24CA$153.91
CA$170.43
+10.7%
6.5%CA$199.00CA$151.00CA$158.7921
Aug ’24CA$158.74
CA$169.95
+7.1%
6.8%CA$199.00CA$151.00CA$157.0521
Jul ’24CA$160.42
CA$174.71
+8.9%
6.9%CA$200.00CA$151.00CA$161.6621
Jun ’24CA$154.77
CA$175.38
+13.3%
7.2%CA$200.00CA$151.00CA$173.5021
May ’24CA$162.35
CA$173.35
+6.8%
6.8%CA$192.00CA$151.00CA$166.5020
Apr ’24CA$159.47
CA$169.85
+6.5%
7.2%CA$190.00CA$149.00CA$178.5120
Mar ’24CA$157.21
CA$170.10
+8.2%
7.4%CA$190.00CA$145.00CA$176.6920
Feb ’24CA$158.61
CA$170.10
+7.2%
7.4%CA$190.00CA$145.00CA$169.9520
Jan ’24CA$160.84
CA$170.47
+6.0%
7.0%CA$190.00CA$145.00CA$166.5519
Dec ’23CA$172.67
CA$167.78
-2.8%
6.1%CA$184.00CA$145.00CA$160.2318

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 02:22
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Canadian National Railway Company is covered by 56 analysts. 28 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Will ChienAccountability Research Corporation
John EadeArgus Research Company
Christopher MurrayATB Capital Markets