Canadian National Railway Requests Thorough Review of UP and NS Merger
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5h ago
0mins
Source: NASDAQ.COM
- Merger Review Request: Canadian National Railway has filed a motion with the Surface Transportation Board, requesting a more comprehensive review of the merger between Union Pacific and Norfolk Southern, highlighting several deficiencies in the initial application.
- Missing Information Issues: CNI pointed out that the merger application lacks market share and traffic projections, contains an inaccurate network map, and fails to provide details on proposed competitive improvements, which are essential for assessing the merger's impact on public interest and competition.
- Market Impact Concerns: CNI's call aims to ensure that the potential effects of the merger on market competition are thoroughly evaluated, thereby maintaining a fair competitive environment in the industry and protecting consumer interests.
- Stock Price Dynamics: CNI is currently trading at $99.19 on the New York Stock Exchange, up $0.25 or 0.25% from the previous trading day, indicating a positive market response to its merger review request.
Analyst Views on CNI
Wall Street analysts forecast CNI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CNI is 112.20 USD with a low forecast of 102.00 USD and a high forecast of 128.55 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
16 Analyst Rating
9 Buy
7 Hold
0 Sell
Moderate Buy
Current: 98.950
Low
102.00
Averages
112.20
High
128.55
Current: 98.950
Low
102.00
Averages
112.20
High
128.55
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.
