Canadian National Railway (CNR) Competitors

Canadian National Railway (TSE:CNR) and Canadian Pacific Kansas City (TSE:CP) are both large-cap industrials companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, valuation, community ranking, media sentiment, institutional ownership, risk, profitability, analyst recommendations and dividends.

Do institutionals & insiders have more ownership in CNR or CP?

77.0% of Canadian National Railway shares are owned by institutional investors. Comparatively, 76.2% of Canadian Pacific Kansas City shares are owned by institutional investors. 2.6% of Canadian National Railway shares are owned by company insiders. Comparatively, 0.0% of Canadian Pacific Kansas City shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Is CNR or CP a better dividend stock?

Canadian National Railway pays an annual dividend of C$3.38 per share and has a dividend yield of 2.3%. Canadian Pacific Kansas City pays an annual dividend of C$0.76 per share and has a dividend yield of 0.7%. Canadian National Railway pays out 36.5% of its earnings in the form of a dividend. Canadian Pacific Kansas City pays out 20.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Is CNR or CP more profitable?

Canadian National Railway has a net margin of 31.20% compared to Canadian Pacific Kansas City's net margin of 24.50%. Canadian National Railway's return on equity of 27.10% beat Canadian Pacific Kansas City's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Canadian National Railway	31.20%	27.10%	8.33%
Canadian Pacific Kansas City	24.50%	8.22%	4.23%

Does the MarketBeat Community believe in CNR or CP?

Canadian Pacific Kansas City received 138 more outperform votes than Canadian National Railway when rated by MarketBeat users. Likewise, 60.41% of users gave Canadian Pacific Kansas City an outperform vote while only 52.29% of users gave Canadian National Railway an outperform vote.

Company	Underperform	Outperform
Canadian National Railway	Outperform Votes 605 52.29%	Underperform Votes 552 47.71%
Canadian Pacific Kansas City	Outperform Votes 743 60.41%	Underperform Votes 487 39.59%

Which has more risk & volatility, CNR or CP?

Canadian National Railway has a beta of 0.65, meaning that its share price is 35% less volatile than the S&P 500. Comparatively, Canadian Pacific Kansas City has a beta of 0.79, meaning that its share price is 21% less volatile than the S&P 500.

Does the media favor CNR or CP?

In the previous week, Canadian National Railway had 4 more articles in the media than Canadian Pacific Kansas City. MarketBeat recorded 10 mentions for Canadian National Railway and 6 mentions for Canadian Pacific Kansas City. Canadian National Railway's average media sentiment score of 0.34 beat Canadian Pacific Kansas City's score of -0.05 indicating that Canadian National Railway is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Canadian National Railway	2 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Canadian Pacific Kansas City	1 Very Positive mention(s)	2 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Neutral

Which has preferable valuation and earnings, CNR or CP?

Canadian National Railway has higher revenue and earnings than Canadian Pacific Kansas City. Canadian National Railway is trading at a lower price-to-earnings ratio than Canadian Pacific Kansas City, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Canadian National Railway	C$18.55B	5.05	C$5.79B	C$9.25	16.16
Canadian Pacific Kansas City	C$14.47B	7.37	C$3.55B	C$3.79	30.11

Do analysts prefer CNR or CP?

Canadian National Railway currently has a consensus price target of C$158.79, indicating a potential upside of 6.22%. Canadian Pacific Kansas City has a consensus price target of C$119.62, indicating a potential upside of 4.89%. Given Canadian National Railway's stronger consensus rating and higher possible upside, analysts plainly believe Canadian National Railway is more favorable than Canadian Pacific Kansas City.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Canadian National Railway	1 Sell rating(s)	6 Hold rating(s)	9 Buy rating(s)	5 Strong Buy rating(s)	2.86
Canadian Pacific Kansas City	1 Sell rating(s)	4 Hold rating(s)	8 Buy rating(s)	3 Strong Buy rating(s)	2.81

Summary

Canadian National Railway beats Canadian Pacific Kansas City on 15 of the 21 factors compared between the two stocks.