Norfolk Southern (NYSE:NSC) Posts Quarterly Earnings Results

Key Points

• Norfolk Southern reported a Q3 earnings per share (EPS) of $3.30, falling short of estimates by $0.01, with a net margin of 27.51% and a return on equity of 19.35%.
• The company declared a quarterly dividend of $1.35, with a yield of 1.9%, set to be paid on November 20th to shareholders of record.
• Analyst ratings for Norfolk Southern range from "hold" to "buy," with recent price targets set between $295.00 and $323.00, reflecting a consensus rating of "Hold" and an average price target of $293.80.

Norfolk Southern (NYSE:NSC - Get Free Report) issued its earnings results on Thursday. The railroad operator reported $3.30 EPS for the quarter, missing the consensus estimate of $3.31 by ($0.01), Zacks reports. Norfolk Southern had a net margin of 27.51% and a return on equity of 19.35%.

Norfolk Southern Price Performance

Norfolk Southern stock traded down $4.74 during mid-day trading on Thursday, reaching $283.89. The company had a trading volume of 1,120,148 shares, compared to its average volume of 1,588,807. The business has a fifty day simple moving average of $285.76 and a 200 day simple moving average of $261.16. The company has a market cap of $63.77 billion, a P/E ratio of 19.18, a P/E/G ratio of 2.60 and a beta of 1.33. Norfolk Southern has a fifty-two week low of $201.63 and a fifty-two week high of $302.24. The company has a current ratio of 0.79, a quick ratio of 0.71 and a debt-to-equity ratio of 1.11.

Norfolk Southern Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, November 20th. Shareholders of record on Friday, November 7th will be given a $1.35 dividend. The ex-dividend date is Friday, November 7th. This represents a $5.40 dividend on an annualized basis and a yield of 1.9%. Norfolk Southern's dividend payout ratio (DPR) is currently 36.49%.

Hedge Funds Weigh In On Norfolk Southern

Hedge funds have recently bought and sold shares of the company. BNP Paribas bought a new stake in Norfolk Southern in the second quarter valued at $26,000. Chapman Financial Group LLC purchased a new position in Norfolk Southern during the second quarter worth about $80,000. Modern Wealth Management LLC bought a new stake in Norfolk Southern in the second quarter worth about $209,000. Federated Hermes Inc. raised its position in Norfolk Southern by 54.2% in the second quarter. Federated Hermes Inc. now owns 839 shares of the railroad operator's stock worth $215,000 after acquiring an additional 295 shares during the period. Finally, Stonebridge Capital Advisors LLC bought a new stake in Norfolk Southern in the second quarter worth about $232,000. Institutional investors own 75.10% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on NSC shares. Jefferies Financial Group reissued a "hold" rating and issued a $300.00 price target on shares of Norfolk Southern in a report on Friday, July 25th. Sanford C. Bernstein increased their price objective on shares of Norfolk Southern from $295.00 to $305.00 and gave the stock an "outperform" rating in a research note on Monday, July 21st. Royal Bank Of Canada cut shares of Norfolk Southern from a "moderate buy" rating to a "hold" rating in a report on Tuesday, July 29th. TD Cowen raised shares of Norfolk Southern from a "hold" rating to a "buy" rating and increased their price target for the company from $263.00 to $323.00 in a report on Monday, July 21st. Finally, Robert W. Baird increased their price target on shares of Norfolk Southern from $255.00 to $300.00 and gave the company a "neutral" rating in a report on Tuesday, July 22nd. Eight research analysts have rated the stock with a Buy rating and fourteen have given a Hold rating to the company. According to MarketBeat.com, Norfolk Southern presently has a consensus rating of "Hold" and an average price target of $293.80.

Norfolk Southern Company Profile

Norfolk Southern Corporation, together with its subsidiaries, engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. The company transports agriculture, forest, and consumer products comprising soybeans, wheat, corn, fertilizers, livestock and poultry feed, food products, food oils, flour, sweeteners, ethanol, lumber and wood products, pulp board and paper products, wood fibers, wood pulp, beverages, and canned goods; chemicals consist of sulfur and related chemicals, petroleum products comprising crude oil, chlorine and bleaching compounds, plastics, rubber, industrial chemicals, chemical wastes, sand, and natural gas liquids; metals and construction materials, such as steel, aluminum products, machinery, scrap metals, cement, aggregates, minerals, clay, transportation equipment, and military-related products; and automotive, including finished motor vehicles and automotive parts, as well as coal.

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