Raymond James Issues Pessimistic Outlook for CNI Earnings

Canadian National Railway (NYSE:CNI) (TSE:CNR) – Equities research analysts at Raymond James lowered their FY2024 earnings per share (EPS) estimates for shares of Canadian National Railway in a report released on Wednesday, October 23rd. Raymond James analyst S. Hansen now expects that the transportation company will post earnings of $5.31 per share for the year, down from their prior forecast of $5.44. The consensus estimate for Canadian National Railway’s current full-year earnings is $5.50 per share. Raymond James also issued estimates for Canadian National Railway’s Q4 2024 earnings at $1.50 EPS and FY2025 earnings at $5.98 EPS.

Canadian National Railway (NYSE:CNI) (TSE:CNR) last announced its quarterly earnings data on Tuesday, October 22nd. The transportation company reported $1.72 EPS for the quarter, topping the consensus estimate of $1.70 by $0.02. Canadian National Railway had a net margin of 31.65% and a return on equity of 23.49%. The business had revenue of $4.11 billion for the quarter, compared to analyst estimates of $4.08 billion. During the same quarter in the previous year, the firm posted $1.26 earnings per share. The company’s revenue for the quarter was up 3.1% on a year-over-year basis.

A number of other brokerages have also recently issued reports on CNI. The Goldman Sachs Group lowered their price objective on Canadian National Railway from $131.00 to $124.00 and set a “sell” rating on the stock in a research note on Wednesday, October 9th. Wells Fargo & Company upgraded shares of Canadian National Railway from an “equal weight” rating to an “overweight” rating and set a $125.00 target price on the stock in a research note on Monday, October 7th. Stephens restated an “equal weight” rating and set a $116.00 target price on shares of Canadian National Railway in a research report on Wednesday. Bank of America lowered shares of Canadian National Railway from a “buy” rating to a “neutral” rating and dropped their target price for the company from $129.00 to $122.00 in a research report on Friday, October 4th. Finally, Stifel Nicolaus raised their price objective on shares of Canadian National Railway from $130.00 to $132.00 and gave the company a “hold” rating in a research report on Wednesday. One investment analyst has rated the stock with a sell rating, fifteen have given a hold rating, three have issued a buy rating and two have issued a strong buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $125.18.

Canadian National Railway Trading Down 1.0 %

Shares of CNI stock opened at $110.83 on Friday. Canadian National Railway has a 12-month low of $103.96 and a 12-month high of $134.02. The company has a quick ratio of 0.48, a current ratio of 0.63 and a debt-to-equity ratio of 0.93. The company has a 50 day moving average of $116.02 and a 200-day moving average of $119.72. The firm has a market cap of $69.80 billion, a P/E ratio of 17.76, a PEG ratio of 2.50 and a beta of 0.88.

Canadian National Railway Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, December 30th. Stockholders of record on Monday, December 9th will be issued a $0.6108 dividend. This represents a $2.44 annualized dividend and a dividend yield of 2.20%. The ex-dividend date of this dividend is Monday, December 9th. Canadian National Railway’s dividend payout ratio is 39.26%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in CNI. 1832 Asset Management L.P. grew its holdings in Canadian National Railway by 7.8% in the 2nd quarter. 1832 Asset Management L.P. now owns 9,365,622 shares of the transportation company’s stock worth $1,106,361,000 after acquiring an additional 674,536 shares during the last quarter. Capital International Investors grew its stake in shares of Canadian National Railway by 18.1% in the first quarter. Capital International Investors now owns 9,003,537 shares of the transportation company’s stock worth $1,185,647,000 after purchasing an additional 1,379,976 shares during the last quarter. JARISLOWSKY FRASER Ltd grew its stake in shares of Canadian National Railway by 1.2% in the second quarter. JARISLOWSKY FRASER Ltd now owns 8,610,928 shares of the transportation company’s stock worth $1,017,315,000 after purchasing an additional 99,716 shares during the last quarter. Fiera Capital Corp increased its holdings in Canadian National Railway by 13.3% during the 2nd quarter. Fiera Capital Corp now owns 5,443,461 shares of the transportation company’s stock valued at $643,503,000 after purchasing an additional 638,817 shares during the period. Finally, The Manufacturers Life Insurance Company raised its position in Canadian National Railway by 2.6% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 4,836,345 shares of the transportation company’s stock valued at $570,667,000 after purchasing an additional 120,453 shares during the last quarter. 80.74% of the stock is owned by hedge funds and other institutional investors.

Canadian National Railway Company Profile

Canadian National Railway Company, together with its subsidiaries, engages in the rail, intermodal, trucking, and marine transportation and logistics business in Canada and the United States. The company provides rail services, which include equipment, custom brokerage services, transloading and distribution, business development and real estate, and private car storage services; and intermodal services, such as temperature controlled cargo, port partnerships, and logistics parks.