Stock Price & Analysis

Based on the provided data, here's a concise analysis of NSC stock:

Technical Analysis The stock is currently trading at $251.85, showing neutral momentum with an RSI of 61.86, indicating neither overbought nor oversold conditions. The price is trading above its 20-day moving average of $238.88, suggesting short-term bullish momentum.

Analyst Consensus Recent analyst actions show a moderately bullish stance:

• Wells Fargo maintains Buy rating with $300 target (26.18% upside)
• Susquehanna maintains Hold rating with $265 target (11.86% upside)
• Barclays maintains Buy rating with $305 target (13.27% upside)

Key Catalysts

• Positive: Signs of broadening industrial freight volume and improving fundamentals
• Negative: Intermodal growth leading to negative mix and lower diesel prices affecting revenue per unit

Fibonacci Levels Current key levels:

• Resistance: $255.82 (R2)
• Support: $235.05 (S1)

Recommendation Based on the technical setup and analyst consensus, NSC appears to be a HOLD at current levels. While the stock shows positive momentum above its moving average, mixed signals from analysts and potential headwinds suggest waiting for a pullback closer to the first support level before initiating new positions.

Based on the provided data and market analysis, here is the price prediction for NSC stock in 2025:

NSC stock is expected to reach $291 per share by the end of 2025, driven by improving operational efficiency and cost reduction initiatives that will boost margins. The company's focus on expanding intermodal train capacity and implementing AI technology for infrastructure improvements positions it well for future growth.

The stock currently trades at $251.85 and shows strong technical indicators with RSI at 61.86, suggesting room for upward momentum while staying below overbought levels.

The S1 support level for NSC Stock is $236.06 ,The R1 resistant level for NSC Stock is $254.99.

As of the end of day on 2025-01-24, the price of NSC Stock was $254.67.

The target price for NSC Stock according to analyst rating is 272.24, with the highest price target at 305.00 and the lowest at 175.00. Analysts have a Moderate Buy rating on NSC Stock overall.

The market cap of NSC is $57.6B.

Based on the provided data, let me analyze whether NSC is overvalued.

Valuation Analysis: NSC's current P/E ratio of 23.31 in Q3 2024 shows improvement from Q1's 41.01, indicating better earnings efficiency. The EV/EBITDA of 12.57 is relatively reasonable for the railroad industry.

Operating Performance: The company demonstrated strong Q3 2024 performance with revenue reaching $3.05 billion and net income of $1.09 billion. Operating margin improved significantly to 42.9% in Q3 from 30.09% in Q1 2024, showing excellent operational efficiency gains.

Analyst Consensus: Recent analyst ratings show mixed but generally positive sentiment. Wells Fargo maintains a "Buy" rating with a $300 price target, suggesting a 26.18% upside potential. Susquehanna holds a more conservative view with a $265 target and "Hold" rating.

Growth Outlook: The company's focus on improving infrastructure with AI technology and expanding intermodal train capacity positions it well for future growth. Management has committed to beating their $150 million cost reduction target for 2025, indicating strong operational optimization potential.

Based on these metrics and improving operational efficiency, NSC appears fairly valued at current levels, supported by solid fundamentals and positive growth outlook.

Norfolk Southern Corporation is a holding company, which is engaged in the rail transportation business. The Company is engaged in the rail transportation of raw materials, intermediate products, and finished goods in the Southeast, East, and Midwest and, via interchange with rail carriers, to and from the rest of the United States. The Company also transports overseas freight through several Atlantic and Gulf Coast ports. It offers an intermodal network in the eastern half of the United States. Its railroad operations system reaches various manufacturing plants, electric generating facilities, mines, distribution centers and transload facilities. It is also a transporter of industrial products, including agricultural, forest and consumer products, chemicals, and metals and construction materials. It serves every container port and a principal carrier of coal, automobiles and automotive parts. It operates Great Lakes Reload (GLR) property in Chicago, a transload and warehouse facility.

Based on the provided data and context, here's a price prediction analysis for NSC stock by 2030:

Technical Analysis

Fundamental Growth Drivers

Norfolk Southern's stock is expected to see significant growth through 2030 driven by several key factors:

1. Infrastructure Modernization: The company is heavily investing in AI technology and infrastructure improvements to enhance operational efficiency and safety.

2. Intermodal Expansion: NSC is actively expanding their intermodal train capacity with plans to add 100-1000 feet to existing trains, positioning them well in the growing intermodal freight transportation market.

3. Cost Reduction Initiatives: Management has committed to $250 million in cost reductions in 2024 and an additional $150 million in 2025, with potential for accelerated cost savings from 2026.

Price Target 2030

Based on the analysis of current trends and growth initiatives, NSC stock is projected to reach $380-400 by 2030, representing a 51-59% increase from current levels. This projection is supported by:

• Strong operating margin improvement to 37.36% (up from 33.6% in 2023)
• Commitment to maintain nuclear power at minimum 30% of energy mix through 2030
• Continued focus on operational efficiency improvements and cost reduction programs

The price target assumes:

• Average annual EPS growth of 8-10%
• Maintenance of current P/E multiple around 14-15x
• Successful execution of infrastructure modernization plans

NSC has a total of 20700 employees.