Norfolk Southern (NYSE:NSC) Posts Quarterly Earnings Results, Misses Expectations By $0.51 EPS

Norfolk Southern (NYSE:NSC) posted its earnings results on Friday. The railroad operator reported $2.65 earnings per share for the quarter, missing the consensus estimate of $3.16 by ($0.51), Briefing.com reports. Norfolk Southern had a return on equity of 18.78% and a net margin of 23.59%.The firm had revenue of $3 billion during the quarter, compared to the consensus estimate of $3.13 billion. During the same period in the previous year, the company posted $2.69 EPS. The firm’s revenue for the quarter was up .2% compared to the same quarter last year.

Norfolk Southern Trading Up 0.0%

NSC stock traded up $0.03 during midday trading on Friday, reaching $321.47. The stock had a trading volume of 333,958 shares, compared to its average volume of 1,290,342. The business has a fifty day simple moving average of $299.51 and a two-hundred day simple moving average of $293.60. The company has a quick ratio of 0.78, a current ratio of 0.85 and a debt-to-equity ratio of 1.06. The firm has a market cap of $78.70 billion, a price-to-earnings ratio of 25.20, a PEG ratio of 5.50 and a beta of 1.31. Norfolk Southern has a twelve month low of $218.05 and a twelve month high of $323.37.

Norfolk Southern Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, May 20th. Investors of record on Friday, May 8th will be issued a $1.35 dividend. The ex-dividend date is Friday, May 8th. This represents a $5.40 annualized dividend and a yield of 1.7%. Norfolk Southern’s dividend payout ratio (DPR) is currently 42.35%.

Trending Headlines about Norfolk Southern

Here are the key news stories impacting Norfolk Southern this week:

• Positive Sentiment: Company declared a quarterly dividend of $1.35/share (payable May 20), which supports income investors and signals cash-return confidence. PR Newswire: Dividend Announcement
• Positive Sentiment: Susquehanna raised its price target to $330 (from $305) and kept a neutral rating, providing modest analyst support for shares. MarketScreener: Susquehanna PT Raise
• Neutral Sentiment: Reported first-quarter results included EPS of $2.65, which beat the Zacks consensus of $2.51 but compared variably to other analyst aggregates — producing a mixed market read. Zacks: Q1 EPS and Revenue Summary
• Neutral Sentiment: Analysts had been revising expectations into the print and pre-earnings momentum lifted attention to the name; that pushed trading interest even though volume was light versus average. Benzinga: Analyst Revisions
• Negative Sentiment: Revenue of ~$3.0B was essentially flat year-over-year and slightly below some analyst forecasts, removing growth upside and tempering the result. Reuters: Q1 Revenue & Profit
• Negative Sentiment: Profit was pressured by higher fuel and other costs; operating ratio came in around ~70.7, and outlets noted a slip in quarterly profit versus prior periods — factors that limit upside. WSJ: Profit Falls
• Negative Sentiment: Coverage notes and company releases showed some discrepancies in reported EPS/metrics (adjusted vs. GAAP/diluted), creating short-term confusion for investors assessing true beat/miss. TipRanks: Q1 Revenue and EPS Update

Institutional Investors Weigh In On Norfolk Southern

Institutional investors have recently modified their holdings of the business. JPL Wealth Management LLC acquired a new position in Norfolk Southern in the third quarter valued at approximately $25,000. Meeder Asset Management Inc. grew its holdings in Norfolk Southern by 239.3% during the 4th quarter. Meeder Asset Management Inc. now owns 95 shares of the railroad operator’s stock worth $27,000 after acquiring an additional 67 shares during the period. BNP Paribas bought a new stake in shares of Norfolk Southern during the 2nd quarter valued at $26,000. Peterson Wealth Services lifted its stake in shares of Norfolk Southern by 1,130.0% in the 4th quarter. Peterson Wealth Services now owns 123 shares of the railroad operator’s stock valued at $36,000 after purchasing an additional 113 shares during the period. Finally, Jessup Wealth Management Inc acquired a new position in shares of Norfolk Southern in the 4th quarter valued at $38,000. Institutional investors and hedge funds own 75.10% of the company’s stock.

Analyst Ratings Changes

Several analysts have weighed in on the stock. Zacks Research raised shares of Norfolk Southern from a “strong sell” rating to a “hold” rating in a research note on Wednesday, March 4th. Citigroup boosted their target price on Norfolk Southern from $300.00 to $313.00 and gave the stock a “neutral” rating in a report on Tuesday, April 7th. Jefferies Financial Group cut their price objective on Norfolk Southern from $350.00 to $310.00 and set a “hold” rating for the company in a research report on Monday, April 6th. Barclays reduced their price objective on Norfolk Southern from $340.00 to $320.00 and set an “overweight” rating on the stock in a research note on Friday, January 30th. Finally, Susquehanna raised their target price on Norfolk Southern from $305.00 to $330.00 and gave the company a “neutral” rating in a research note on Wednesday. Seven analysts have rated the stock with a Buy rating and sixteen have assigned a Hold rating to the company. According to data from MarketBeat.com, Norfolk Southern has a consensus rating of “Hold” and a consensus target price of $310.17.

About Norfolk Southern

Norfolk Southern Corporation is a major U.S. freight railroad company that provides rail transportation and related logistics services. As a Class I carrier, the company operates an extensive network across the eastern United States and offers scheduled freight service for a broad range of industries. Its core operations include long-haul and regional rail freight transportation, intermodal services that move containers and trailers between rail and other modes, and terminal and switching services that support efficient rail shipments for industrial and port customers.

The company transports a variety of commodities, serving sectors such as coal and energy, automotive and automotive parts, chemicals, agriculture, metals and construction materials, and consumer goods.