Norfolk Southern Corporation (NSC)vsWarner Bros Discovery Inc (WBD)
NSC
Norfolk Southern Corporation
$282.61
-0.36%
INDUSTRIALS · Cap: $63.70B
WBD
Warner Bros Discovery Inc
$27.22
-0.22%
COMMUNICATION SERVICES · Cap: $67.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Warner Bros Discovery Inc generates 206% more annual revenue ($37.30B vs $12.18B). NSC leads profitability with a 23.6% profit margin vs 1.9%. NSC appears more attractively valued with a PEG of 3.85. NSC earns a higher WallStSmart Score of 53/100 (C-).
NSC
Buy53
out of 100
Grade: C-
WBD
Buy51
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
-106.3%
Fair Value
$13.57
Current Price
$27.22
$13.65 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
Large-cap with strong market position
Reasonable price relative to book value
Generating 1.4B in free cash flow
Areas to Watch
Expensive relative to growth rate
Revenue declined 1.7%
Earnings declined 11.4%
Negative free cash flow — burning cash
2.3% earnings growth
ROE of 2.1% — below average capital efficiency
1.9% margin — thin
Expensive relative to growth rate
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 : WBD
The strongest argument for WBD centers on Market Cap, Price/Book, Free Cash Flow.
Bear Case : NSC
The primary concerns for NSC are PEG Ratio, Revenue Growth, EPS Growth.
Bear Case : WBD
The primary concerns for WBD are EPS Growth, Return on Equity, Profit Margin. A P/E of 94.1x leaves little room for execution misses. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
NSC profiles as a declining stock while WBD is a value play — different risk/reward profiles.
WBD carries more volatility with a beta of 1.68 — expect wider price swings.
NSC is growing revenue faster at -1.7% — sustainability is the question.
WBD generates stronger free cash flow (1.4B), providing more financial flexibility.
Bottom Line
NSC scores higher overall (53/100 vs 51/100), backed by strong 23.6% 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.
Warner Bros Discovery Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Warner Bros. The company is headquartered in New York, New York.
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