Canadian National Railway Stock Profit Margin
| CNI Stock | USD 122.86 6.54 5.05% |
Canadian National Railway fundamentals help investors to digest information that contributes to Canadian National's financial success or failures. It also enables traders to predict the movement of Canadian Stock. The fundamental analysis module provides a way to measure Canadian National's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Canadian National stock.
| Last Reported | Projected for Next Year | ||
| Net Profit Margin | 0.33 | 0.18 |
Canadian | Profit Margin |
Canadian National Railway Company Profit Margin Analysis
Canadian National's Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
Current Canadian National Profit Margin | 0.33 % |
Most of Canadian National's fundamental indicators, such as Profit Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Canadian National Railway is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Canadian Profit Margin Driver Correlations
Understanding the fundamental principles of building solid financial models for Canadian National is extremely important. It helps to project a fair market value of Canadian Stock properly, considering its historical fundamentals such as Profit Margin. Since Canadian National's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Canadian National's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Canadian National's interrelated accounts and indicators.
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
| Competition |
Canadian Pretax Profit Margin
Pretax Profit Margin |
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Based on the latest financial disclosure, Canadian National Railway has a Profit Margin of 0.3286%. This is 66.12% lower than that of the Ground Transportation sector and 86.53% lower than that of the Industrials industry. The profit margin for all United States stocks is 125.87% lower than that of the firm.
Canadian Profit Margin Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Canadian National's direct or indirect competition against its Profit Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Canadian National could also be used in its relative valuation, which is a method of valuing Canadian National by comparing valuation metrics of similar companies.Canadian National is currently under evaluation in profit margin category among related companies.
Canadian National Current Valuation Drivers
We derive many important indicators used in calculating different scores of Canadian National from analyzing Canadian National's financial statements. These drivers represent accounts that assess Canadian National's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Canadian National's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 85.1B | 99.6B | 110.9B | 110.5B | 109.4B | 114.9B | |
| Enterprise Value | 99.3B | 112.3B | 122.9B | 125.9B | 127.8B | 134.2B |
Canadian National ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Canadian National's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Canadian National's managers, analysts, and investors.Environment Score | Governance Score | Social Score |
Canadian Fundamentals
| Return On Equity | 0.27 | ||||
| Return On Asset | 0.0832 | ||||
| Profit Margin | 0.33 % | ||||
| Operating Margin | 0.39 % | ||||
| Current Valuation | 98.33 B | ||||
| Shares Outstanding | 636.2 M | ||||
| Shares Owned By Insiders | 1.67 % | ||||
| Shares Owned By Institutions | 78.74 % | ||||
| Number Of Shares Shorted | 7 M | ||||
| Price To Earning | 31.36 X | ||||
| Price To Book | 5.60 X | ||||
| Price To Sales | 4.92 X | ||||
| Revenue | 16.83 B | ||||
| Gross Profit | 9.62 B | ||||
| EBITDA | 8.88 B | ||||
| Net Income | 5.62 B | ||||
| Cash And Equivalents | 328 M | ||||
| Cash Per Share | 0.60 X | ||||
| Total Debt | 18.89 B | ||||
| Debt To Equity | 0.71 % | ||||
| Current Ratio | 1.01 X | ||||
| Book Value Per Share | 30.99 X | ||||
| Cash Flow From Operations | 6.96 B | ||||
| Short Ratio | 7.35 X | ||||
| Earnings Per Share | 6.23 X | ||||
| Price To Earnings To Growth | 3.61 X | ||||
| Target Price | 137.23 | ||||
| Number Of Employees | 24.99 K | ||||
| Beta | 0.65 | ||||
| Market Capitalization | 78.39 B | ||||
| Total Asset | 52.67 B | ||||
| Retained Earnings | 18.66 B | ||||
| Working Capital | (1.95 B) | ||||
| Current Asset | 1.68 B | ||||
| Current Liabilities | 2.31 B | ||||
| Annual Yield | 0.02 % | ||||
| Five Year Return | 1.67 % | ||||
| Net Asset | 52.67 B | ||||
| Last Dividend Paid | 3.22 |
About Canadian National Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Canadian National Railway's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Canadian National using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Canadian National Railway based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Canadian National
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Canadian National position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Canadian National will appreciate offsetting losses from the drop in the long position's value.Moving together with Canadian Stock
| 0.86 | CP | Canadian Pacific Railway Downward Rally | PairCorr |
Moving against Canadian Stock
| 0.69 | ATSG | Air Transport Services Financial Report 2nd of May 2024 | PairCorr |
| 0.6 | VLRS | Volaris | PairCorr |
| 0.57 | MESA | Mesa Air Group Financial Report 14th of May 2024 | PairCorr |
| 0.42 | HA | Hawaiian Holdings | PairCorr |
The ability to find closely correlated positions to Canadian National could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Canadian National when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Canadian National - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Canadian National Railway to buy it.
The correlation of Canadian National is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Canadian National moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Canadian National Railway moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Canadian National can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Canadian National Piotroski F Score and Canadian National Altman Z Score analysis. You can also try the Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Complementary Tools for Canadian Stock analysis
When running Canadian National's price analysis, check to measure Canadian National's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Canadian National is operating at the current time. Most of Canadian National's value examination focuses on studying past and present price action to predict the probability of Canadian National's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Canadian National's price. Additionally, you may evaluate how the addition of Canadian National to your portfolios can decrease your overall portfolio volatility.
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Is Canadian National's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Canadian National. If investors know Canadian will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Canadian National listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.06) | Dividend Share 3.215 | Earnings Share 6.23 | Revenue Per Share 25.759 | Quarterly Revenue Growth (0.01) |
The market value of Canadian National Railway is measured differently than its book value, which is the value of Canadian that is recorded on the company's balance sheet. Investors also form their own opinion of Canadian National's value that differs from its market value or its book value, called intrinsic value, which is Canadian National's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Canadian National's market value can be influenced by many factors that don't directly affect Canadian National's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Canadian National's value and its price as these two are different measures arrived at by different means. Investors typically determine if Canadian National is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Canadian National's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.