Canadian National Railway Company (CNI)vsFederal Signal Corporation (FSS)
CNI
Canadian National Railway Company
$127.30
+1.18%
INDUSTRIALS · Cap: $78.35B
FSS
Federal Signal Corporation
$132.51
+2.63%
INDUSTRIALS · Cap: $7.63B
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian National Railway Company generates 626% more annual revenue ($17.76B vs $2.45B). CNI leads profitability with a 26.9% profit margin vs 11.7%. FSS appears more attractively valued with a PEG of 1.92. CNI earns a higher WallStSmart Score of 67/100 (B-).
CNI
Strong Buy67
out of 100
Grade: B-
FSS
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+2.5%
Fair Value
$109.08
Current Price
$127.30
$18.22 discount
Intrinsic value data unavailable for FSS.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 40.3%
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Keeps 27 of every $100 in revenue as profit
Safe zone — low bankruptcy risk
18.7% revenue growth
Earnings expanding 20.7% YoY
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Distress zone — elevated risk
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CNI
The strongest argument for CNI centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 26.9% and operating margin at 40.3%. Revenue growth of 11.3% demonstrates continued momentum.
Bull Case : FSS
The strongest argument for FSS centers on Altman Z-Score, Revenue Growth, EPS Growth. Revenue growth of 18.7% demonstrates continued momentum.
Bear Case : CNI
The primary concerns for CNI are Debt/Equity, PEG Ratio, Altman Z-Score.
Bear Case : FSS
The primary concerns for FSS are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
CNI profiles as a mature stock while FSS is a growth play — different risk/reward profiles.
FSS carries more volatility with a beta of 1.23 — expect wider price swings.
FSS is growing revenue faster at 18.7% — sustainability is the question.
CNI generates stronger free cash flow (916M), providing more financial flexibility.
Bottom Line
CNI scores higher overall (67/100 vs 64/100), backed by strong 26.9% margins and 11.3% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Canadian National Railway Company
INDUSTRIALS · RAILROADS · USA
Canadian National Railway Company, is engaged in the rail and related transportation business. The company is headquartered in Montreal, Canada.
Visit Website →Federal Signal Corporation
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
Federal Signal Corporation designs, manufactures, and supplies a suite of integrated products and solutions for municipal, government, industrial, and commercial customers in the United States, Canada, Europe, and internationally. The company is headquartered in Oak Brook, Illinois.
Visit Website →Compare with Other RAILROADS Stocks
Want to dig deeper into these stocks?