WallStSmart

Norfolk Southern Corporation (NSC)vsYum! Brands Inc (YUM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Norfolk Southern Corporation generates 44% more annual revenue ($12.19B vs $8.49B). NSC leads profitability with a 21.9% profit margin vs 20.5%. YUM appears more attractively valued with a PEG of 1.93. YUM earns a higher WallStSmart Score of 65/100 (C+).

NSC

Buy

55

out of 100

Grade: C

Growth: 2.7Profit: 8.0Value: 4.3Quality: 4.5
Piotroski: 4/9

YUM

Buy

65

out of 100

Grade: C+

Growth: 8.0Profit: 8.0Value: 4.0Quality: 4.5
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for NSC.

YUMSignificantly Overvalued (-76.3%)

Margin of Safety

-76.3%

Fair Value

$90.20

Current Price

$151.95

$61.75 premium

UndervaluedFair: $90.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NSC3 strengths · Avg: 9.3/10
Operating MarginProfitability
32.3%10/10

Strong operational efficiency at 32.3%

Market CapQuality
$70.39B9/10

Large-cap with strong market position

Profit MarginProfitability
21.9%9/10

Keeps 22 of every $100 in revenue as profit

YUM4 strengths · Avg: 9.3/10
Operating MarginProfitability
31.0%10/10

Strong operational efficiency at 31.0%

EPS GrowthGrowth
72.2%10/10

Earnings expanding 72.2% YoY

Profit MarginProfitability
20.5%9/10

Keeps 21 of every $100 in revenue as profit

Revenue GrowthGrowth
15.2%8/10

15.2% revenue growth

Areas to Watch

NSC4 concerns · Avg: 3.0/10
P/E RatioValuation
26.4x4/10

Moderate valuation

Revenue GrowthGrowth
0.2%4/10

0.2% revenue growth

PEG RatioValuation
4.722/10

Expensive relative to growth rate

EPS GrowthGrowth
-26.6%2/10

Earnings declined 26.6%

YUM4 concerns · Avg: 3.5/10
PEG RatioValuation
1.934/10

Expensive relative to growth rate

P/E RatioValuation
25.4x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : NSC

The strongest argument for NSC centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 21.9% and operating margin at 32.3%.

Bull Case : YUM

The strongest argument for YUM centers on Operating Margin, EPS Growth, Profit Margin. Profitability is solid with margins at 20.5% and operating margin at 31.0%. Revenue growth of 15.2% demonstrates continued momentum.

Bear Case : NSC

The primary concerns for NSC are P/E Ratio, Revenue Growth, PEG Ratio.

Bear Case : YUM

The primary concerns for YUM are PEG Ratio, P/E Ratio, Return on Equity.

Key Dynamics to Monitor

NSC profiles as a value stock while YUM is a growth play — different risk/reward profiles.

NSC carries more volatility with a beta of 1.29 — expect wider price swings.

YUM is growing revenue faster at 15.2% — sustainability is the question.

YUM generates stronger free cash flow (341M), providing more financial flexibility.

Bottom Line

YUM scores higher overall (65/100 vs 55/100), backed by strong 20.5% margins and 15.2% revenue growth. 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.

Yum! Brands Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.

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