- Norfolk Southern‘s adjusted earnings per share (EPS) for the first quarter was $2.69, surpassing last year’s $2.49 and exceeding analysts’ estimate of $2.68.
- The company’s EPS for the quarter was $3.31, a substantial increase from the previous year’s 23 cents.
- Railway operating revenue reached $2.99 billion, a slight decrease of 0.4% year-over-year, but still above the estimated $2.97 billion.
- The adjusted operating ratio improved to 67.9% from the previous year’s 69.9%, closely aligning with the estimated 67.6%.
- Insurance recoveries related to an incident in Eastern Ohio exceeded the additional costs incurred during the quarter.
Norfolk Southern on Smartkarma
Analyst coverage of Norfolk Southern on Smartkarma showcases positive sentiments from Baptista Research. In one report titled “Norfolk Southern: Can Its Strong Pricing Strategy Help Capitalize on Emerging Market Opportunities? – Major Drivers,” the company’s fourth-quarter results for 2024 were highlighted as solid. Operational efficiency was evident with a 3% increase in volume and a 2% rise in revenue excluding fuel. The adjusted operating ratio also improved to 65.8%, surpassing previous guidance.
Another report by Baptista Research, “Norfolk Southern Corporation: An Insight Into Their Enhanced Network and Operational Efficiency Strategy! – Major Drivers,” commended the company’s performance in the third quarter of 2024 despite challenges. Norfolk Southern demonstrated a 3% revenue increase from the previous year and a remarkable 23% rise in adjusted earnings per share. A key highlight was the 570 basis point decline in the adjusted operating ratio to 63.4%, showcasing improved operational efficiency.
A look at Norfolk Southern Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Norfolk Southern Corporation, a key player in the rail transportation sector, appears to have a moderately positive long-term outlook based on Smartkarma Smart Scores. With balanced scores across Value, Dividend, Growth, Resilience, and a slightly stronger Momentum score, the company seems to be positioned steadily for the future. Norfolk Southern‘s operations primarily cover the Southeast, East, and Midwest regions, fostering transportation of various goods throughout the United States, including international freight via select ports on the Atlantic and Gulf Coasts.
The company’s Smart Scores reveal a stable footing across key metrics, indicating a consistent performance outlook in the rail transportation industry. While not excelling in any single aspect, Norfolk Southern‘s alignment of Value, Dividend, Growth, Resilience, and particularly Momentum, showcases a promising trajectory for potential investors considering the long-term prospects of the company in the market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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