Equity analysts at Zacks Research have revised their earnings estimates for Canadian National Railway (TSE:CNR) for the third quarter of 2026. In a report released on October 24, 2023, Zacks lowered its forecast from an expected earnings per share (EPS) of $2.00 to $1.95 for the quarter. This adjustment reflects a broader trend of cautious outlooks among analysts regarding the company’s financial performance.
The consensus estimate for Canadian National Railway’s full-year earnings currently stands at $8.26 per share. Zacks Research has also provided projections for subsequent quarters, estimating EPS of $2.16 for Q4 2026, $8.06 for the full year of 2026, and $9.07 for FY 2027.
Analysts Adjust Ratings and Target Prices
Several other equity analysts have similarly reassessed their ratings and target prices for Canadian National Railway. On October 3, 2023, Scotiabank announced a reduction in its target price from C$153.00 to C$150.00, while maintaining an “outperform” rating for the stock. Evercore ISI downgraded its rating from “strong-buy” to “hold” on July 23, 2023.
On the same day, Barclays lowered its target price from C$145.00 to C$135.00. Additionally, BMO Capital Markets decreased its target from C$168.00 to C$163.00, maintaining an “outperform” rating. Sanford C. Bernstein also adjusted their target price slightly from C$149.00 to C$148.00 on September 30, 2023.
Currently, the stock has received a mix of ratings: one analyst rates it as a Strong Buy, seven have issued Buy ratings, eight have assigned a Hold rating, and one has issued a Sell rating. According to data from MarketBeat, Canadian National Railway holds a consensus rating of “Hold” with a target price of C$151.36.
Current Stock Performance and Dividend Announcement
As of opening on Monday, Canadian National Railway shares traded at C$131.99, reflecting a decline of 0.5%. The company boasts a market capitalization of C$82.39 billion, with a price-to-earnings ratio of 18.21 and a beta of 0.92. It also reports a current ratio of 0.64 and a debt-to-equity ratio of 107.59.
The firm recently declared a quarterly dividend, which was distributed on September 29, 2023. Shareholders of record on that date received a dividend of $0.8875, resulting in an annualized dividend of $3.55 and a yield of 2.7%. The company’s payout ratio currently stands at 47.79%.
Canadian National Railway operates an extensive rail network that spans Canada from coast to coast, extending through Chicago to the Gulf of Mexico. In 2019, the company delivered nearly 6 million carloads across its 19,600 miles of track, generating total revenue of approximately C$14 billion from various sectors, including intermodal containers and petroleum products.
As the company navigates these changes in financial outlook, stakeholders will be keenly observing its performance in the upcoming quarters.
