Norfolk Southern Corporation (NSC)vsWaters Corporation (WAT)
NSC
Norfolk Southern Corporation
$282.61
-0.36%
INDUSTRIALS · Cap: $63.70B
WAT
Waters Corporation
$302.32
+0.13%
HEALTHCARE · Cap: $29.66B
Smart Verdict
WallStSmart Research — data-driven comparison
Norfolk Southern Corporation generates 285% more annual revenue ($12.18B vs $3.17B). NSC leads profitability with a 23.6% profit margin vs 20.3%. WAT appears more attractively valued with a PEG of 1.25. WAT earns a higher WallStSmart Score of 60/100 (C).
NSC
Buy53
out of 100
Grade: C-
WAT
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-265.7%
Fair Value
$86.77
Current Price
$282.61
$195.84 premium
Margin of Safety
-349.9%
Fair Value
$73.17
Current Price
$302.32
$229.15 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 31.2%
Large-cap with strong market position
Keeps 24 of every $100 in revenue as profit
Strong operational efficiency at 33.8%
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Keeps 20 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
Revenue declined 1.7%
Earnings declined 11.4%
Negative free cash flow — burning cash
Moderate valuation
Earnings declined 3.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : NSC
The strongest argument for NSC centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 23.6% and operating margin at 31.2%.
Bull Case : WAT
The strongest argument for WAT centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 20.3% and operating margin at 33.8%. PEG of 1.25 suggests the stock is reasonably priced for its growth.
Bear Case : NSC
The primary concerns for NSC are PEG Ratio, Revenue Growth, EPS Growth.
Bear Case : WAT
The primary concerns for WAT are P/E Ratio, EPS Growth.
Key Dynamics to Monitor
NSC profiles as a declining stock while WAT is a mature play — different risk/reward profiles.
NSC carries more volatility with a beta of 1.30 — expect wider price swings.
WAT is growing revenue faster at 6.8% — sustainability is the question.
WAT generates stronger free cash flow (126M), providing more financial flexibility.
Bottom Line
WAT scores higher overall (60/100 vs 53/100), backed by strong 20.3% margins. Both earn "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.
Norfolk Southern Corporation
INDUSTRIALS · RAILROADS · USA
The Norfolk Southern Railway is a Class I freight railroad in the United States, and is the current name of the former Southern Railway. With headquarters in Atlanta, Georgia, the company operates 19,420 route miles (31,250 km) in 22 eastern states, the District of Columbia, and has rights in Canada over the Albany to Montreal route of the Canadian Pacific Railway, and previously on CN from Buffalo to St. Thomas.
Waters Corporation
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.
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