Norfolk Southern (NSC) Competitors

Union Pacific (NYSE:UNP) and Norfolk Southern (NYSE:NSC) are both large-cap transportation companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, dividends, valuation, media sentiment, analyst recommendations, community ranking, institutional ownership, profitability and earnings.

Does the media prefer UNP or NSC?

In the previous week, Union Pacific had 3 more articles in the media than Norfolk Southern. MarketBeat recorded 10 mentions for Union Pacific and 7 mentions for Norfolk Southern. Norfolk Southern's average media sentiment score of 0.86 beat Union Pacific's score of -0.13 indicating that Norfolk Southern is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Union Pacific	2 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	4 Very Negative mention(s)	Neutral
Norfolk Southern	2 Very Positive mention(s)	2 Positive mention(s)	2 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more risk & volatility, UNP or NSC?

Union Pacific has a beta of 1.05, meaning that its share price is 5% more volatile than the S&P 500. Comparatively, Norfolk Southern has a beta of 1.31, meaning that its share price is 31% more volatile than the S&P 500.

Is UNP or NSC a better dividend stock?

Union Pacific pays an annual dividend of $5.36 per share and has a dividend yield of 2.3%. Norfolk Southern pays an annual dividend of $5.40 per share and has a dividend yield of 2.3%. Union Pacific pays out 49.2% of its earnings in the form of a dividend. Norfolk Southern pays out 50.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Union Pacific has raised its dividend for 18 consecutive years. Union Pacific is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has higher earnings & valuation, UNP or NSC?

Union Pacific has higher revenue and earnings than Norfolk Southern. Union Pacific is trading at a lower price-to-earnings ratio than Norfolk Southern, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Union Pacific	$24.29B	5.73	$6.38B	$10.89	21.10
Norfolk Southern	$12.17B	4.42	$1.83B	$10.65	22.34

Is UNP or NSC more profitable?

Union Pacific has a net margin of 27.33% compared to Norfolk Southern's net margin of 19.85%. Union Pacific's return on equity of 41.79% beat Norfolk Southern's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Union Pacific	27.33%	41.79%	9.84%
Norfolk Southern	19.85%	20.25%	6.22%

Do analysts recommend UNP or NSC?

Union Pacific currently has a consensus target price of $259.80, suggesting a potential upside of 13.08%. Norfolk Southern has a consensus target price of $275.68, suggesting a potential upside of 15.87%. Given Norfolk Southern's higher possible upside, analysts plainly believe Norfolk Southern is more favorable than Union Pacific.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Union Pacific	0 Sell rating(s)	8 Hold rating(s)	11 Buy rating(s)	1 Strong Buy rating(s)	2.65
Norfolk Southern	1 Sell rating(s)	5 Hold rating(s)	13 Buy rating(s)	0 Strong Buy rating(s)	2.63

Does the MarketBeat Community favor UNP or NSC?

Union Pacific received 434 more outperform votes than Norfolk Southern when rated by MarketBeat users. Likewise, 70.16% of users gave Union Pacific an outperform vote while only 57.67% of users gave Norfolk Southern an outperform vote.

Company	Underperform	Outperform
Union Pacific	Outperform Votes 1246 70.16%	Underperform Votes 530 29.84%
Norfolk Southern	Outperform Votes 812 57.67%	Underperform Votes 596 42.33%

Do insiders & institutionals believe in UNP or NSC?

80.4% of Union Pacific shares are owned by institutional investors. Comparatively, 75.1% of Norfolk Southern shares are owned by institutional investors. 0.3% of Union Pacific shares are owned by insiders. Comparatively, 0.2% of Norfolk Southern shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Union Pacific beats Norfolk Southern on 17 of the 22 factors compared between the two stocks.