Norfolk Southern (NYSE:NSC) Given New $385.00 Price Target at Wells Fargo & Company

Norfolk Southern (NYSE:NSC) had its price objective hoisted by Wells Fargo & Company from $365.00 to $385.00 in a report issued on Friday morning,Benzinga reports. Wells Fargo & Company currently has an overweight rating on the railroad operator’s stock.

Several other research analysts also recently weighed in on NSC. Barclays boosted their target price on Norfolk Southern from $360.00 to $400.00 and gave the stock an “overweight” rating in a research note on Friday. JPMorgan Chase & Co. decreased their price target on Norfolk Southern from $331.00 to $316.00 and set a “neutral” rating for the company in a research note on Friday, July 10th. Jefferies Financial Group lowered their price target on Norfolk Southern from $350.00 to $310.00 and set a “hold” rating for the company in a report on Monday, April 6th. Citigroup boosted their price target on Norfolk Southern from $335.00 to $351.00 and gave the stock a “neutral” rating in a research note on Thursday, July 9th. Finally, Rothschild & Co Redburn upped their price objective on shares of Norfolk Southern from $308.00 to $315.00 and gave the company a “neutral” rating in a report on Wednesday, April 29th. Six research analysts have rated the stock with a Buy rating and seventeen have issued a Hold rating to the company. According to MarketBeat.com, Norfolk Southern currently has a consensus rating of “Hold” and an average target price of $344.35.

Norfolk Southern Trading Up 0.9%

NYSE:NSC opened at $351.69 on Friday. The stock has a market capitalization of $78.99 billion, a price-to-earnings ratio of 30.01, a PEG ratio of 6.37 and a beta of 1.27. Norfolk Southern has a 52 week low of $268.23 and a 52 week high of $358.60. The company has a quick ratio of 0.81, a current ratio of 0.83 and a debt-to-equity ratio of 0.98. The firm has a 50 day moving average of $317.37 and a 200 day moving average of $306.16.

Norfolk Southern (NYSE:NSC) last released its quarterly earnings results on Thursday, July 23rd. The railroad operator reported $3.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.32 by $0.20. The business had revenue of $3.46 billion for the quarter, compared to analyst estimates of $3.38 billion. Norfolk Southern had a net margin of 21.02% and a return on equity of 18.21%. The business’s revenue for the quarter was up 12.5% on a year-over-year basis. During the same period in the previous year, the company earned $3.29 earnings per share. As a group, sell-side analysts anticipate that Norfolk Southern will post 12.24 earnings per share for the current fiscal year.

Norfolk Southern Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, August 20th. Investors of record on Friday, August 7th will be issued a dividend of $1.35 per share. This represents a $5.40 annualized dividend and a yield of 1.5%. The ex-dividend date of this dividend is Friday, August 7th. Norfolk Southern’s dividend payout ratio (DPR) is 45.49%.

Hedge Funds Weigh In On Norfolk Southern

Several large investors have recently made changes to their positions in the company. Vanguard Group Inc. raised its position in shares of Norfolk Southern by 1.3% in the fourth quarter. Vanguard Group Inc. now owns 20,825,837 shares of the railroad operator’s stock worth $6,012,836,000 after acquiring an additional 272,651 shares during the period. State Street Corp boosted its stake in shares of Norfolk Southern by 4.1% during the 4th quarter. State Street Corp now owns 9,710,549 shares of the railroad operator’s stock worth $2,803,630,000 after acquiring an additional 379,819 shares in the last quarter. Geode Capital Management LLC grew its position in shares of Norfolk Southern by 0.7% during the 4th quarter. Geode Capital Management LLC now owns 4,878,029 shares of the railroad operator’s stock valued at $1,401,797,000 after acquiring an additional 36,205 shares during the period. Norges Bank purchased a new position in shares of Norfolk Southern in the 4th quarter valued at about $1,084,701,000. Finally, Pentwater Capital Management LP increased its stake in shares of Norfolk Southern by 9.8% in the 4th quarter. Pentwater Capital Management LP now owns 3,019,000 shares of the railroad operator’s stock valued at $871,646,000 after purchasing an additional 269,000 shares in the last quarter. 75.10% of the stock is currently owned by institutional investors and hedge funds.

Key Norfolk Southern News

Here are the key news stories impacting Norfolk Southern this week:

• Positive Sentiment: Norfolk Southern beat Q2 expectations, posting $3.52 in EPS and revenue above estimates, with revenue up 12.5% year over year and record quarterly sales. Reuters article
• Positive Sentiment: Wells Fargo raised its price target to $385 and reiterated an overweight rating, signaling confidence that the stock still has room to run. Benzinga article
• Positive Sentiment: Citigroup lifted its target to $376, reflecting a more constructive view after the earnings release, even though it kept a neutral rating. Benzinga article
• Neutral Sentiment: JPMorgan raised its target to $338 but maintained a neutral rating, suggesting valuation looks less compelling after the recent move higher. Benzinga article
• Neutral Sentiment: Some commentary noted lower profitability and margin pressure despite the revenue beat, which may temper enthusiasm if cost pressures persist. Seeking Alpha article
• Negative Sentiment: Profitability was held back by higher fuel costs and lower efficiency, showing that cost inflation remains a headwind even as demand improves. TipRanks article

Norfolk Southern Company Profile

Norfolk Southern Corporation is a major U.S. freight railroad company that provides rail transportation and related logistics services. As a Class I carrier, the company operates an extensive network across the eastern United States and offers scheduled freight service for a broad range of industries. Its core operations include long-haul and regional rail freight transportation, intermodal services that move containers and trailers between rail and other modes, and terminal and switching services that support efficient rail shipments for industrial and port customers.

The company transports a variety of commodities, serving sectors such as coal and energy, automotive and automotive parts, chemicals, agriculture, metals and construction materials, and consumer goods.