Canadian National Railway (NYSE:CNI) Posts Earnings Results, Beats Estimates By $0.11 EPS

Canadian National Railway (NYSE:CNI) (TSE:CNR) announced its earnings results on Friday. The transportation company reported $1.50 EPS for the quarter, topping the consensus estimate of $1.39 by $0.11, Zacks reports. The firm had revenue of $3.35 billion for the quarter, compared to analysts’ expectations of $3.26 billion. Canadian National Railway had a return on equity of 21.90% and a net margin of 27.22%.The firm’s quarterly revenue was up 11.3% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.87 earnings per share.

Here are the key takeaways from Canadian National Railway’s conference call:

• CN posted another strong quarter, with adjusted diluted EPS up 12% FX-adjusted on 5% volume growth, and raised full-year guidance to mid- to high-single-digit EPS growth on low-single-digit RTM growth.
• The railroad highlighted broad operational improvement, including record first-half fuel efficiency, better labor and locomotive productivity, and roughly CAD 100 million of realized Fast Track savings year to date.
• Commercial performance remained strong, with revenue up 11% and standout momentum in grain, potash, petroleum and chemicals, domestic intermodal, and energy-related traffic, helped by solid service and pricing discipline.
• CN announced strategic agreements with Union Pacific that expand its reach into Mexico and, if approved, Kansas City, which management said should create new growth opportunities and improve network density without opposing the merger.
• Management said wildfire impacts have been limited so far and that the main line in Northern Ontario remains open, while also noting fuel and FX remain key variables for the second half of the year.

Canadian National Railway Stock Down 0.8%

Shares of CNI traded down $1.05 during mid-day trading on Friday, reaching $129.53. The company’s stock had a trading volume of 2,686,320 shares, compared to its average volume of 1,390,956. Canadian National Railway has a 1 year low of $90.74 and a 1 year high of $131.55. The company has a quick ratio of 0.49, a current ratio of 0.67 and a debt-to-equity ratio of 0.95. The company has a market cap of $78.50 billion, a price-to-earnings ratio of 23.55, a price-to-earnings-growth ratio of 2.49 and a beta of 0.96. The business has a fifty day moving average of $120.15 and a 200 day moving average of $110.64.

Canadian National Railway Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 29th. Shareholders of record on Tuesday, September 8th will be paid a dividend of $0.915 per share. This represents a $3.66 annualized dividend and a yield of 2.8%. The ex-dividend date of this dividend is Tuesday, September 8th. Canadian National Railway’s payout ratio is 48.55%.

Analyst Ratings Changes

CNI has been the subject of several research analyst reports. Citizens Jmp began coverage on Canadian National Railway in a report on Wednesday, July 15th. They issued a “market perform” rating for the company. Stephens raised shares of Canadian National Railway to a “hold” rating in a research note on Wednesday, July 8th. Citigroup increased their target price on shares of Canadian National Railway from $124.00 to $141.00 and gave the company a “buy” rating in a research note on Thursday, July 9th. Barclays lifted their price target on shares of Canadian National Railway from $99.00 to $109.00 and gave the stock an “equal weight” rating in a research report on Thursday, June 25th. Finally, Susquehanna reissued a “neutral” rating and set a $140.00 price objective (up from $138.00) on shares of Canadian National Railway in a research note on Tuesday, July 14th. Eight research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $132.12.

Trending Headlines about Canadian National Railway

Here are the key news stories impacting Canadian National Railway this week:

• Positive Sentiment: CNI posted second-quarter earnings of $2.08 per share, well above the $1.39 consensus estimate, while revenue rose 11.3% year over year, signaling stronger operational performance. Article Title
• Positive Sentiment: The company raised its 2026 guidance and increased its volume outlook, which suggests management expects demand trends and network utilization to remain supportive. Article Title
• Positive Sentiment: CN also announced a quarterly dividend of C$0.915 per share, reinforcing its capital-return profile for income-focused investors. Article Title
• Positive Sentiment: CN and Union Pacific announced an agreement to improve North American rail connectivity, which could create new cross-border service opportunities and expand customer access. Article Title

Institutional Investors Weigh In On Canadian National Railway

Several hedge funds have recently bought and sold shares of CNI. AQR Capital Management LLC bought a new position in Canadian National Railway during the first quarter valued at approximately $311,000. Focus Partners Wealth grew its position in Canadian National Railway by 11.1% in the first quarter. Focus Partners Wealth now owns 11,514 shares of the transportation company’s stock worth $1,122,000 after acquiring an additional 1,146 shares in the last quarter. Schnieders Capital Management LLC. bought a new stake in Canadian National Railway in the second quarter worth approximately $202,000. EverSource Wealth Advisors LLC increased its stake in shares of Canadian National Railway by 52.1% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,118 shares of the transportation company’s stock worth $116,000 after purchasing an additional 383 shares during the last quarter. Finally, Baird Financial Group Inc. raised its holdings in shares of Canadian National Railway by 2.9% during the 2nd quarter. Baird Financial Group Inc. now owns 17,094 shares of the transportation company’s stock valued at $1,778,000 after purchasing an additional 474 shares in the last quarter. 80.74% of the stock is owned by hedge funds and other institutional investors.

Canadian National Railway Company Profile

Canadian National Railway Company (NYSE: CNI) is a Class I freight railway that operates an integrated rail network across Canada and the United States. Headquartered in Montreal, Quebec, CN provides long-haul freight transportation and related logistics services that connect major ports, industrial centers and inland markets throughout North America. Its transcontinental system enables cross-border movement of goods and supports supply chains that span coast-to-coast in Canada and into the central and eastern United States.

CN’s core business is the railborne transportation of a broad mix of commodities, including intermodal container traffic, forest and paper products, grain and other agricultural products, metallurgical and industrial products, petroleum and chemical products, coal and automotive shipments.