Canadian National Railway Company to Issue Quarterly Dividend of C$0.92 (NYSE:CNI)

Key Points

• Canadian National Railway announced a quarterly dividend of C$0.915 per share, payable on September 29 to shareholders of record as of September 8. The dividend implies an annualized yield of about 2.8%.
• The company’s dividend appears well covered, with a payout ratio of 42.9%; analysts also expect earnings to support future payments, with an estimated payout ratio of 42.3% next year.
• CN recently reported quarterly EPS and revenue that both matched Wall Street expectations, and analysts currently have a Moderate Buy consensus with an average price target of $132.12.

Canadian National Railway Company (NYSE:CNI - Get Free Report) TSE: CNR announced a quarterly dividend on Friday, July 24th. Investors of record on Tuesday, September 8th will be paid a dividend of 0.915 per share by the transportation company on Tuesday, September 29th. This represents a c) annualized dividend and a dividend yield of 2.8%. The ex-dividend date is Tuesday, September 8th.

Canadian National Railway has increased its dividend by an average of 0.0%annually over the last three years and has increased its dividend every year for the last 3 years. Canadian National Railway has a payout ratio of 42.9% indicating that its dividend is sufficiently covered by earnings. Analysts expect Canadian National Railway to earn $6.31 per share next year, which means the company should continue to be able to cover its $2.67 annual dividend with an expected future payout ratio of 42.3%.

Canadian National Railway Stock Performance

CNI traded down $1.05 during trading on Friday, hitting $129.53. The company's stock had a trading volume of 2,686,320 shares, compared to its average volume of 1,608,590. The company has a quick ratio of 0.49, a current ratio of 0.67 and a debt-to-equity ratio of 0.95. Canadian National Railway has a one year low of $90.74 and a one year high of $131.55. The firm has a market cap of $78.50 billion, a PE ratio of 23.55, a P/E/G ratio of 2.44 and a beta of 0.96. The business's 50 day simple moving average is $119.80 and its 200-day simple moving average is $110.51.

Canadian National Railway (NYSE:CNI - Get Free Report) TSE: CNR last issued its quarterly earnings data on Wednesday, April 29th. The transportation company reported $1.31 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $1.31. The firm had revenue of $3.15 billion during the quarter, compared to the consensus estimate of $3.15 billion. Canadian National Railway had a net margin of 27.22% and a return on equity of 21.90%. The company's revenue for the quarter was down .5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.85 EPS. As a group, sell-side analysts predict that Canadian National Railway will post 5.67 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of analysts have commented on CNI shares. Susquehanna restated a "neutral" rating and issued a $140.00 price target (up from $138.00) on shares of Canadian National Railway in a research report on Tuesday, July 14th. Weiss Ratings lowered shares of Canadian National Railway from a "hold (c+)" rating to a "hold (c)" rating in a report on Thursday, July 9th. Citigroup lifted their target price on Canadian National Railway from $124.00 to $141.00 and gave the stock a "buy" rating in a report on Thursday, July 9th. Barclays upped their price target on shares of Canadian National Railway from $99.00 to $109.00 and gave the company an "equal weight" rating in a research note on Thursday, June 25th. Finally, Evercore raised shares of Canadian National Railway from an "in-line" rating to an "outperform" rating and set a $124.00 price objective for the company in a research note on Thursday, June 25th. Eight analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $132.12.

About Canadian National Railway

Canadian National Railway Company NYSE: CNI is a Class I freight railway that operates an integrated rail network across Canada and the United States. Headquartered in Montreal, Quebec, CN provides long-haul freight transportation and related logistics services that connect major ports, industrial centers and inland markets throughout North America. Its transcontinental system enables cross-border movement of goods and supports supply chains that span coast-to-coast in Canada and into the central and eastern United States.

CN's core business is the railborne transportation of a broad mix of commodities, including intermodal container traffic, forest and paper products, grain and other agricultural products, metallurgical and industrial products, petroleum and chemical products, coal and automotive shipments.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.