Canadian National Railway (NYSE:CNI) Shares Cross Above Two Hundred Day Moving Average - Here's Why

Key Points

• Canadian National Railway shares moved above their 200-day moving average of $117.77, reaching $119.04 before last trading at $117.21; the stock was down 1.4% and remained below its 50-day average of $124.27.
• Analyst sentiment is moderately bullish, with nine Buy and nine Hold ratings producing a consensus “Moderate Buy” rating and an average price target of $138.21.
• The company exceeded quarterly expectations with $1.50 in earnings per share and $3.35 billion in revenue, while its quarterly dividend implied a 3.1% yield and a 46.1% payout ratio.

Canadian National Railway Company (NYSE:CNI - Get Free Report) TSE: CNR passed above its two hundred day moving average during trading on Thursday. The stock has a two hundred day moving average of $117.77 and traded as high as $119.04. Canadian National Railway shares last traded at $117.2070, with a volume of 1,269,463 shares changing hands.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on CNI shares. Susquehanna reiterated a "neutral" rating and set a $140.00 price objective (up from $138.00) on shares of Canadian National Railway in a research note on Tuesday, July 14th. Evercore raised shares of Canadian National Railway from an "in-line" rating to an "outperform" rating and set a $124.00 target price on the stock in a research note on Thursday, June 25th. Bank of America reduced their target price on shares of Canadian National Railway from $146.00 to $143.00 and set a "buy" rating on the stock in a report on Wednesday, September 23rd. Citigroup upped their price target on shares of Canadian National Railway from $124.00 to $141.00 and gave the stock a "buy" rating in a research report on Thursday, July 9th. Finally, Benchmark reiterated a "hold" rating on shares of Canadian National Railway in a report on Monday, July 27th. Nine research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $138.21.

Canadian National Railway Trading Down 1.4%

The business's 50-day moving average price is $124.27 and its 200 day moving average price is $117.77. The company has a debt-to-equity ratio of 0.99, a current ratio of 0.87 and a quick ratio of 0.61. The firm has a market capitalization of $70.80 billion, a price-to-earnings ratio of 20.78, a PEG ratio of 2.12 and a beta of 0.96.

Canadian National Railway (NYSE:CNI - Get Free Report) TSE: CNR last released its quarterly earnings results on Friday, July 24th. The transportation company reported $1.50 earnings per share for the quarter, beating analysts' consensus estimates of $1.39 by $0.11. Canadian National Railway had a net margin of 26.92% and a return on equity of 22.22%. The business had revenue of $3.35 billion during the quarter, compared to analyst estimates of $3.26 billion. During the same period last year, the business earned $1.87 EPS. The business's revenue was up 11.3% on a year-over-year basis. On average, equities analysts forecast that Canadian National Railway Company will post 5.82 earnings per share for the current fiscal year.

Canadian National Railway Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 8th were paid a dividend of C$0.92 per share. The ex-dividend date was Tuesday, September 8th. This represents a $3.66 annualized dividend and a dividend yield of 3.1%. Canadian National Railway's dividend payout ratio (DPR) is currently 46.10%.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of CNI. QRG Capital Management Inc. boosted its holdings in Canadian National Railway by 7.3% in the second quarter. QRG Capital Management Inc. now owns 5,175 shares of the transportation company's stock valued at $617,000 after purchasing an additional 352 shares during the last quarter. Andra AP fonden purchased a new stake in Canadian National Railway during the 2nd quarter worth approximately $2,819,000. Sequoia Financial Advisors LLC increased its holdings in Canadian National Railway by 3.7% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 5,725 shares of the transportation company's stock worth $683,000 after purchasing an additional 206 shares during the last quarter. Tidal Investments LLC raised its position in shares of Canadian National Railway by 26.9% in the 2nd quarter. Tidal Investments LLC now owns 85,258 shares of the transportation company's stock valued at $10,170,000 after purchasing an additional 18,080 shares in the last quarter. Finally, Integrated Wealth Concepts LLC raised its position in shares of Canadian National Railway by 10.5% in the 2nd quarter. Integrated Wealth Concepts LLC now owns 3,463 shares of the transportation company's stock valued at $413,000 after purchasing an additional 330 shares in the last quarter. Institutional investors and hedge funds own 80.74% of the company's stock.

About Canadian National Railway

Canadian National Railway Company NYSE: CNI is a transportation and logistics company that operates a major freight rail network in Canada and the United States. Its network connects the Atlantic, Pacific and Gulf coasts, serving ports, industrial centers, agricultural regions and major population markets.

CN transports a broad range of commodities and manufactured goods, including forest products, grain and fertilizers, coal, metals and minerals, petroleum and chemicals, automotive products, and consumer goods.

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.