Industrials · Rail Transportation · US stock · price as of 16 Oct 2026
Key indicators
Price
$326.92
52-week range
$273.59 – $357.19
Market cap
$73.6B
P/E (trailing)
27.9×
EV / EBITDA
16.4×
Free-cash-flow yield
2.2%
Dividend yield
1.7%
Revenue (last 12 months)
$12.5B
Revenue growth (3y a year)
−1.5%
Operating margin
32.2%
Return on invested capital
9.9%
Net debt / EBITDA
2.9×
Fair value
Blended fair value$268.52 range $254 – $283
Versus priceFair−18% to fair value
Peer multiples
$321.71
Fundamentals-adjusted multiple
$268.32
10-year DCF (market-scaled)
$215.53
Earnings power value (floor, not blended)
$109.31
Model uncertainty
Medium
X-Ray Score
31/ 100 · High confidence · ahead of 7% of sector peers
Valuation30
Growth20
Profitability39
Financial health30
Dividends40
Five-year price chart navy: price · brown: 200-day average · blue band: fair value range
Executive summary
A freight railroad across the eastern United States is the core of Norfolk Southern, with routes that serve major ports and industrial and population centres. It carries intermodal containers, coal, chemicals, automotive products, metals, construction materials and agricultural goods. Customers are shippers such as manufacturers, utilities, retailers and logistics providers. The company owns and maintains its own track and terminals, and it connects with other railroads to reach destinations beyond its network.
Revenue came to $12.5 billion over the last twelve months, earned from freight charges for moving customers' goods. Revenue has changed at -1.5% a year across the last three years. The operating margin is 32.2% and the business earns 10% on the capital invested in it. Net debt is 2.9 times EBITDA, and the dividend yield is 1.7%.
StocksXray gives Norfolk Southern Corp an X-Ray Score of 31 out of 100 (high confidence), ahead of 7% of the S&P 500 stocks in its sector. Its strongest lens is dividends (40) and its weakest is growth (20).
Our fair value blend is $268.52 (range $253.59 to $283.32). At $326.92 the stock trades 22% above that blend, so the label is "Fair" with medium model uncertainty. Fair value is a range, not a price target.
XStocksXray
Norfolk Southern Corp (NSC)
Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months
FY2021
FY2022
FY2023
FY2024
FY2025
Now
Price
$269.09
$227.14
$223.43
$226.89
$285.08
$326.92
Market cap
$66.8B
$53.5B
$50.8B
$51.4B
$64.2B
$73.6B
P/E
22.2×
16.4×
27.9×
19.6×
22.4×
27.9×
EV / revenue
7.2×
5.4×
5.5×
5.5×
6.6×
7.1×
EV / EBITDA
14.2×
11.3×
16.0×
12.3×
13.9×
16.4×
Price / free cash flow
24.0×
23.5×
59.6×
30.7×
29.8×
45.1×
Free-cash-flow yield
4.2%
4.2%
1.7%
3.3%
3.4%
2.2%
Price / book
4.9×
4.2×
4.0×
3.6×
4.1×
4.5×
Dividend yield
1.55%
2.18%
2.42%
2.38%
1.89%
1.65%
Fundamentals checklist ● 2 Good · ● 2 Average · ● 11 Bad · each check graded against the sector
Cash quality
Earnings backed by cash−2.4%Average
Free-cash-flow yield2.2%Bad
Risk models
Altman Z score2.1×Bad
Piotroski F-Score7 of 9Good
Growth
EPS growth (3y)−2.8%Bad
Free-cash-flow growth (3y)−1.7%Bad
Revenue growth (3y)−1.5%Bad
Growth consistency60%Bad
Balance sheet
Current ratio0.8×Bad
Net debt / EBITDA2.9×Bad
Interest cover5.1×Bad
Valuation
Fair value vs price0.8×Bad
EBIT / EV yield4.5%Average
Profitability
Return on invested capital9.9%Bad
Operating margin32.2%Good
XStocksXray
Norfolk Southern Corp (NSC)
Financials US$ millions, from SEC filings; last column is the last twelve months
Income statement
FY21
FY22
FY23
FY24
FY25
LTM
Revenue
11,142
12,745
12,156
12,123
12,180
12,540
Gross profit
–
–
–
–
–
–
Operating income
4,447
4,809
2,851
4,071
4,356
4,036
Net income
3,005
3,270
1,827
2,622
2,873
2,636
Diluted EPS ($)
12.11
13.88
8.02
11.57
12.75
11.72
Free cash flow
2,785
2,274
852
1,671
2,157
1,631
Gross margin
–
–
–
–
–
–
Operating margin
39.9%
37.7%
23.5%
33.6%
35.8%
32.2%
Net margin
27.0%
25.7%
15.0%
21.6%
23.6%
21.0%
Balance sheet
FY21
FY22
FY23
FY24
FY25
LTM
Total assets
38,493
38,885
41,652
43,682
45,236
45,122
Cash
839
456
1,568
1,641
1,530
1,069
Total debt
13,840
15,282
17,179
17,206
17,087
16,616
Equity
13,641
12,733
12,781
14,306
15,547
16,253
Dividend per share ($)
4.16
4.96
5.40
5.40
5.40
–
Revenue and net income US$ billions: navy revenue, teal net income
Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value blends three models and carries a typical error of about 40%, so treat it as a range. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.