Canadian National Railway Company (CNI)vsFreightcar America Inc (RAIL)
CNI
Canadian National Railway Company
$100.97
+0.28%
INDUSTRIALS · Cap: $60.25B
RAIL
Freightcar America Inc
$8.16
+1.24%
INDUSTRIALS · Cap: $153.78M
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian National Railway Company generates 3354% more annual revenue ($17.30B vs $500.99M). CNI leads profitability with a 27.3% profit margin vs 7.6%. RAIL appears more attractively valued with a PEG of 0.64. CNI earns a higher WallStSmart Score of 68/100 (B-).
CNI
Strong Buy68
out of 100
Grade: B-
RAIL
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+22.9%
Fair Value
$137.97
Current Price
$100.97
$37.00 discount
Margin of Safety
+74.8%
Fair Value
$51.01
Current Price
$8.16
$42.85 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 42.4%
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Keeps 27 of every $100 in revenue as profit
Attractively priced relative to earnings
Attractively priced relative to earnings
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
2.4% revenue growth
Elevated debt levels
Distress zone — elevated risk
2.1% earnings growth
Smaller company, higher risk/reward
7.6% margin — thin
ROE of -8.8% — below average capital efficiency
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 27.3% and operating margin at 42.4%.
Bull Case : RAIL
The strongest argument for RAIL centers on P/E Ratio, PEG Ratio. PEG of 0.64 suggests the stock is reasonably priced for its growth.
Bear Case : CNI
The primary concerns for CNI are PEG Ratio, Revenue Growth, Debt/Equity.
Bear Case : RAIL
The primary concerns for RAIL are EPS Growth, Market Cap, Profit Margin.
Key Dynamics to Monitor
RAIL carries more volatility with a beta of 1.51 — expect wider price swings.
CNI is growing revenue faster at 2.4% — sustainability is the question.
CNI generates stronger free cash flow (997M), providing more financial flexibility.
Monitor RAILROADS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
CNI scores higher overall (68/100 vs 53/100), backed by strong 27.3% margins. RAIL offers better value entry with a 74.8% margin of safety. 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 →Freightcar America Inc
INDUSTRIALS · RAILROADS · USA
FreightCar America, Inc. designs, manufactures, and sells railroad cars and railroad components for the transportation of bulk goods and containerized cargo products primarily in North America. The company is headquartered in Chicago, Illinois.
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