Analysis of Pullback Opportunities in Industrial Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 27 2026
0mins
Source: Fool
- Canadian National Railway Performance: Despite a 1.5% decline for the week ending June 24, Canadian National Railway has gained 17.3% year-to-date, indicating strong fundamentals and stable cash flow, suggesting investors should not wait for deeper pullbacks to enter.
- Significant Geographic Advantage: The company controls a 19,500-mile railway network in North America and monopolizes the port of Prince Rupert in Canada, providing a unique market position that fosters intermodal growth and enhances investment appeal.
- Johnson Controls Dynamics: Although shares fell 1.6% over the past week, Johnson Controls has risen 19.3% year-to-date, with its exposure to data centers and robust order growth making it an industrial stock worth monitoring.
- Earnings Guidance Upgrade: Johnson Controls raised its 2026 earnings-per-share guidance from $4.55 to $4.85, reflecting strong demand in the data center market and management's confidence in future growth.
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Analyst Views on CNI
Wall Street analysts forecast CNI stock price to fall
15 Analyst Rating
9 Buy
6 Hold
0 Sell
Moderate Buy
Current: 121.660
Low
105.00
Averages
113.56
High
136.77
Current: 121.660
Low
105.00
Averages
113.56
High
136.77
About CNI
Canadian National Railway Company is a transportation and logistics company. The Company's services include rail, intermodal, trucking, and supply chain services. The Company’s rail services offer equipment, customs brokerage services, transloading and distribution, private car storage and others. Its intermodal container services help shippers expand their door-to-door market reach with about 23 strategically placed intermodal terminals. Its intermodal services include temperature-controlled cargo, port partnerships, logistics park, custom brokerage, transloading and distribution, and others. Its trucking services include door-to-door service, import and export dray, interline services, and specialized services. Its supply chain services offer comprehensive services across a range of industries and product types. The Company transports more than 300 million tons of natural resources, manufactured products, and finished goods throughout North America every year.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
CN Sets New Monthly Grain Movement Record
- Record Grain Movement: In June, CN achieved a new monthly record by transporting 2.67 million metric tonnes of grain, surpassing the previous record of 2.64 million metric tonnes set in June 2020, reflecting strong customer demand and reinforcing its market leadership.
- Adaptability to Challenges: Despite heavy rainfall affecting parts of Western Canada, CN collaborated closely with customers to adjust shipping plans and efficiently move grain from available locations, demonstrating exceptional operational flexibility and maintaining network fluidity.
- Commitment to Service: As the growing season progresses, CN remains focused on delivering safe, consistent, and reliable service for producers, grain companies, and supply chain partners, ensuring market demands are met and enhancing customer satisfaction.
- Economic Impact: CN safely transports over 300 million tons of natural resources and manufactured goods annually, connecting Canada’s Eastern and Western coasts with the U.S. Midwest and Gulf Coast through its nearly 20,000-mile rail network, contributing to sustainable trade and community prosperity.
See More
CN Railway to Release Q2 2026 Financial Results
- Earnings Release Schedule: CN Railway is set to announce its Q2 2026 financial and operational results before market open on July 24, 2026, which is expected to provide investors with critical performance data and future outlook.
- Conference Call Details: Senior executives will review the results in a conference call led by President and CEO Tracy Robinson at 8:30 a.m. Eastern Time on July 24, with participants advised to dial in 10 minutes early to ensure smooth access.
- Live Webcast Service: CN will offer a live webcast of the earnings release on the Investors section of its website, allowing investors who cannot join the call to access the information, with a replay available after the event.
- Company Background Information: Since 1919, CN Railway has safely transported over 300 million tons of natural resources and finished goods, operating a nearly 20,000-mile rail network that connects Canada’s East and West coasts with the U.S. Midwest and Gulf Coast, thereby promoting sustainable trade and community prosperity.
See More
Canadian National Railway and Johnson Controls Outlook
- Performance Outlook: Canadian National Railway is expected to see a volume rebound in the second half of 2026, and despite a slight 1.5% decline recently, it has achieved a 17.3% year-to-date gain, indicating a solid fundamental position suitable for long-term investment.
- Cash Flow Performance: Over the past decade, Canadian National Railway has maintained cash flow as a percentage of revenue in the high teens, and despite a $350 million loss last year due to U.S. trade tariffs, it still managed a 7% increase in earnings per share, showcasing its strong cash flow generation capabilities.
- Data Center Driven Growth: Johnson Controls' stock fell 1.6% over the past week but is up 19.3% year-to-date, with its exposure to data centers driving order growth in the Americas, resulting in a $20 billion backlog.
- Earnings Guidance Increase: Johnson Controls raised its 2026 earnings per share guidance from $4.55 to $4.85, reflecting management's confidence in future growth, particularly driven by its data center business, demonstrating the effectiveness of its strategic adjustments.
See More
Analysis of Pullback Opportunities in Industrial Stocks
- Canadian National Railway Performance: Despite a 1.5% decline for the week ending June 24, Canadian National Railway has gained 17.3% year-to-date, indicating strong fundamentals and stable cash flow, suggesting investors should not wait for deeper pullbacks to enter.
- Significant Geographic Advantage: The company controls a 19,500-mile railway network in North America and monopolizes the port of Prince Rupert in Canada, providing a unique market position that fosters intermodal growth and enhances investment appeal.
- Johnson Controls Dynamics: Although shares fell 1.6% over the past week, Johnson Controls has risen 19.3% year-to-date, with its exposure to data centers and robust order growth making it an industrial stock worth monitoring.
- Earnings Guidance Upgrade: Johnson Controls raised its 2026 earnings-per-share guidance from $4.55 to $4.85, reflecting strong demand in the data center market and management's confidence in future growth.
See More
PlasCred Signs Long-Term Lease with CN Railway for Neos Project
- Lease Agreement Secured: PlasCred Circular Innovations Inc. has entered into a conditional long-term lease with Canadian National Railway for the Scotford Yard site in Fort Saskatchewan, Alberta, providing an initial 15-year term with options to extend up to 30 years, ensuring long-term operational stability in Alberta's Industrial Heartland.
- Facility Size and Capacity: The leased property spans approximately 7.34 acres and includes a 35,000-square-foot industrial building along with a 200-car rail siding, facilitating the receipt, storage, and advanced recycling of mixed plastic waste, with a processing capacity of up to 100 tonnes per day.
- Product Conversion Efficiency: The PlasCred Neos facility is expected to convert mixed plastics into approximately 500 barrels per day of refined hydrocarbon condensate for use in new plastic manufacturing and other industrial applications, significantly enhancing plastic recycling rates and promoting sustainability.
- Strategic Logistics Advantage: The facility will have direct access to CN's rail network, optimizing transportation efficiency and reducing infrastructure requirements, thereby supporting future expansion plans and enhancing the company's competitive position in the North American market.
See More
PlasCred Enters Long-Term Lease with CN for Neos Project
- Lease Agreement Signed: PlasCred Circular Innovations Inc. has entered into a conditional long-term lease agreement with Canadian National Railway Company for the Scotford Yard site in Fort Saskatchewan, Alberta, with an initial term of 15 years and options to extend up to 30 years, securing a strategic position in Alberta's Industrial Heartland.
- Facility Size and Capacity: The leased property spans approximately 7.34 acres and includes a 35,000-square-foot industrial building and an existing 200-car rail siding, supporting the receipt, storage, and advanced recycling operations of mixed plastic waste, with a processing capacity of up to 100 tonnes per day.
- Product Conversion and Market Potential: The PlasCred Neos project will convert processed plastics into approximately 500 barrels of refined hydrocarbon condensate per day, which can be used in the manufacture of new plastics and other industrial applications, indicating strong market demand potential.
- Logistics and Infrastructure Advantages: By collaborating with CN, PlasCred will gain direct rail access, enhancing transportation efficiency and reducing infrastructure requirements, thereby providing a solid foundation for future expansion and commercialization strategies.
See More
CN Sets New Monthly Grain Movement Record
- Record Grain Movement: In June, CN achieved a new monthly record by transporting 2.67 million metric tonnes of grain, surpassing the previous record of 2.64 million metric tonnes set in June 2020, reflecting strong customer demand and reinforcing its market leadership.
- Adaptability to Challenges: Despite heavy rainfall affecting parts of Western Canada, CN collaborated closely with customers to adjust shipping plans and efficiently move grain from available locations, demonstrating exceptional operational flexibility and maintaining network fluidity.
- Commitment to Service: As the growing season progresses, CN remains focused on delivering safe, consistent, and reliable service for producers, grain companies, and supply chain partners, ensuring market demands are met and enhancing customer satisfaction.
- Economic Impact: CN safely transports over 300 million tons of natural resources and manufactured goods annually, connecting Canada’s Eastern and Western coasts with the U.S. Midwest and Gulf Coast through its nearly 20,000-mile rail network, contributing to sustainable trade and community prosperity.
See More
CN Railway to Release Q2 2026 Financial Results
- Earnings Release Schedule: CN Railway is set to announce its Q2 2026 financial and operational results before market open on July 24, 2026, which is expected to provide investors with critical performance data and future outlook.
- Conference Call Details: Senior executives will review the results in a conference call led by President and CEO Tracy Robinson at 8:30 a.m. Eastern Time on July 24, with participants advised to dial in 10 minutes early to ensure smooth access.
- Live Webcast Service: CN will offer a live webcast of the earnings release on the Investors section of its website, allowing investors who cannot join the call to access the information, with a replay available after the event.
- Company Background Information: Since 1919, CN Railway has safely transported over 300 million tons of natural resources and finished goods, operating a nearly 20,000-mile rail network that connects Canada’s East and West coasts with the U.S. Midwest and Gulf Coast, thereby promoting sustainable trade and community prosperity.
See More
Canadian National Railway and Johnson Controls Outlook
- Performance Outlook: Canadian National Railway is expected to see a volume rebound in the second half of 2026, and despite a slight 1.5% decline recently, it has achieved a 17.3% year-to-date gain, indicating a solid fundamental position suitable for long-term investment.
- Cash Flow Performance: Over the past decade, Canadian National Railway has maintained cash flow as a percentage of revenue in the high teens, and despite a $350 million loss last year due to U.S. trade tariffs, it still managed a 7% increase in earnings per share, showcasing its strong cash flow generation capabilities.
- Data Center Driven Growth: Johnson Controls' stock fell 1.6% over the past week but is up 19.3% year-to-date, with its exposure to data centers driving order growth in the Americas, resulting in a $20 billion backlog.
- Earnings Guidance Increase: Johnson Controls raised its 2026 earnings per share guidance from $4.55 to $4.85, reflecting management's confidence in future growth, particularly driven by its data center business, demonstrating the effectiveness of its strategic adjustments.
See More
Analysis of Pullback Opportunities in Industrial Stocks
- Canadian National Railway Performance: Despite a 1.5% decline for the week ending June 24, Canadian National Railway has gained 17.3% year-to-date, indicating strong fundamentals and stable cash flow, suggesting investors should not wait for deeper pullbacks to enter.
- Significant Geographic Advantage: The company controls a 19,500-mile railway network in North America and monopolizes the port of Prince Rupert in Canada, providing a unique market position that fosters intermodal growth and enhances investment appeal.
- Johnson Controls Dynamics: Although shares fell 1.6% over the past week, Johnson Controls has risen 19.3% year-to-date, with its exposure to data centers and robust order growth making it an industrial stock worth monitoring.
- Earnings Guidance Upgrade: Johnson Controls raised its 2026 earnings-per-share guidance from $4.55 to $4.85, reflecting strong demand in the data center market and management's confidence in future growth.
See More
PlasCred Signs Long-Term Lease with CN Railway for Neos Project
- Lease Agreement Secured: PlasCred Circular Innovations Inc. has entered into a conditional long-term lease with Canadian National Railway for the Scotford Yard site in Fort Saskatchewan, Alberta, providing an initial 15-year term with options to extend up to 30 years, ensuring long-term operational stability in Alberta's Industrial Heartland.
- Facility Size and Capacity: The leased property spans approximately 7.34 acres and includes a 35,000-square-foot industrial building along with a 200-car rail siding, facilitating the receipt, storage, and advanced recycling of mixed plastic waste, with a processing capacity of up to 100 tonnes per day.
- Product Conversion Efficiency: The PlasCred Neos facility is expected to convert mixed plastics into approximately 500 barrels per day of refined hydrocarbon condensate for use in new plastic manufacturing and other industrial applications, significantly enhancing plastic recycling rates and promoting sustainability.
- Strategic Logistics Advantage: The facility will have direct access to CN's rail network, optimizing transportation efficiency and reducing infrastructure requirements, thereby supporting future expansion plans and enhancing the company's competitive position in the North American market.
See More
PlasCred Enters Long-Term Lease with CN for Neos Project
- Lease Agreement Signed: PlasCred Circular Innovations Inc. has entered into a conditional long-term lease agreement with Canadian National Railway Company for the Scotford Yard site in Fort Saskatchewan, Alberta, with an initial term of 15 years and options to extend up to 30 years, securing a strategic position in Alberta's Industrial Heartland.
- Facility Size and Capacity: The leased property spans approximately 7.34 acres and includes a 35,000-square-foot industrial building and an existing 200-car rail siding, supporting the receipt, storage, and advanced recycling operations of mixed plastic waste, with a processing capacity of up to 100 tonnes per day.
- Product Conversion and Market Potential: The PlasCred Neos project will convert processed plastics into approximately 500 barrels of refined hydrocarbon condensate per day, which can be used in the manufacture of new plastics and other industrial applications, indicating strong market demand potential.
- Logistics and Infrastructure Advantages: By collaborating with CN, PlasCred will gain direct rail access, enhancing transportation efficiency and reducing infrastructure requirements, thereby providing a solid foundation for future expansion and commercialization strategies.
See More
