Bank of America Issues Pessimistic Forecast for Canadian National Railway (NYSE:CNI) Stock Price

Key Points

• Bank of America has lowered its price target for Canadian National Railway (CNI) from $106.00 to $102.00, maintaining a "neutral" rating on the stock.
• Several other analysts have also adjusted their price targets, with a consensus rating of "Hold" and an average target price of $116.86.
• Canadian National Railway's recent earnings report showed a decline in quarterly revenue, with earnings per share of $1.35, missing the consensus estimate of $1.37.

Canadian National Railway (NYSE:CNI - Get Free Report) TSE: CNR had its price objective lowered by research analysts at Bank of America from $106.00 to $102.00 in a research note issued to investors on Monday,Benzinga reports. The firm currently has a "neutral" rating on the transportation company's stock. Bank of America's price objective points to a potential upside of 8.19% from the company's current price.

A number of other research analysts have also recently issued reports on the company. Susquehanna cut their price objective on Canadian National Railway from $120.00 to $115.00 and set a "positive" rating for the company in a report on Thursday. Evercore ISI cut Canadian National Railway from an "outperform" rating to an "in-line" rating and set a $105.00 price target for the company. in a report on Wednesday, July 23rd. Citigroup cut their price target on Canadian National Railway from $124.00 to $123.00 and set a "buy" rating for the company in a report on Wednesday, July 9th. Argus raised Canadian National Railway to a "hold" rating in a report on Friday, June 27th. Finally, Royal Bank Of Canada cut their price target on Canadian National Railway from $161.00 to $157.00 and set an "outperform" rating for the company in a report on Wednesday, July 23rd. Two investment analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, nine have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Canadian National Railway has a consensus rating of "Hold" and an average target price of $116.86.

Canadian National Railway Stock Performance

CNI traded up $1.40 during trading on Monday, reaching $94.28. 173,276 shares of the company's stock were exchanged, compared to its average volume of 1,535,862. Canadian National Railway has a fifty-two week low of $91.07 and a fifty-two week high of $117.42. The company has a quick ratio of 0.58, a current ratio of 0.82 and a debt-to-equity ratio of 0.90. The business has a 50 day moving average price of $94.64 and a 200 day moving average price of $99.14. The company has a market capitalization of $58.53 billion, a P/E ratio of 18.13, a PEG ratio of 2.14 and a beta of 0.94.

Canadian National Railway (NYSE:CNI - Get Free Report) TSE: CNR last posted its quarterly earnings results on Tuesday, July 22nd. The transportation company reported $1.35 earnings per share for the quarter, missing analysts' consensus estimates of $1.37 by ($0.02). Canadian National Railway had a return on equity of 21.71% and a net margin of 26.63%.The business had revenue of $3.14 billion for the quarter, compared to analyst estimates of $4.34 billion. During the same quarter in the prior year, the firm earned $1.84 EPS. The firm's quarterly revenue was down 1.3% on a year-over-year basis. As a group, analysts predict that Canadian National Railway will post 5.52 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Addison Advisors LLC grew its holdings in shares of Canadian National Railway by 124.0% during the 2nd quarter. Addison Advisors LLC now owns 271 shares of the transportation company's stock worth $28,000 after purchasing an additional 150 shares in the last quarter. Dagco Inc. acquired a new stake in shares of Canadian National Railway during the 1st quarter worth $32,000. Curio Wealth LLC boosted its stake in Canadian National Railway by 31,600.0% in the second quarter. Curio Wealth LLC now owns 317 shares of the transportation company's stock valued at $33,000 after buying an additional 316 shares in the last quarter. Bruce G. Allen Investments LLC boosted its stake in Canadian National Railway by 44.2% in the first quarter. Bruce G. Allen Investments LLC now owns 346 shares of the transportation company's stock valued at $34,000 after buying an additional 106 shares in the last quarter. Finally, CX Institutional acquired a new stake in Canadian National Railway in the first quarter valued at about $39,000. 80.74% of the stock is owned by institutional investors and hedge funds.

About Canadian National Railway

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.

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