Class-I railroad Union Pacific's third-quarter revenue grew 15% year over year on solid intermodal growth, stronger industrial carloads, and spiking fuel surcharges. Revenue was up 6% excluding fuel. Profitability deteriorated, but only because of fuel noise.
PSR efforts yielded impressive progress for UP's operating ratio between 2019 and 2021. Despite setbacks in 2022 and 2023, the firm rekindled margin improvement over the past several years under PSR veteran Jim Vena's leadership.
Union contract wage and benefit inflation will remain a partial margin headwind over the near term.
|
Metric
|
UNP
|
CSX
|
CNI
|
|---|---|---|---|
Price/Earnings (Normalized) | 23.21 | 26.05 | 21.99 |
Price/Book Value | 7.90 | 6.54 | 4.83 |
Price/Sales | 6.60 | 6.32 | 5.89 |
Price/Cash Flow | 16.94 | 17.99 | 15.21 |
|
Metric
|
UNP
|
CSX
|
CNI
|
|---|---|---|---|
Quick Ratio | 0.93 | 0.72 | 0.49 |
Current Ratio | 1.16 | 0.84 | 0.87 |
Interest Coverage | 8.75 | 6.50 | 7.81 |
|
Metric
|
UNP
|
CSX
|
CNI
|
|---|---|---|---|
Return on Assets (Normalized) | 10.75% | 8.10% | 8.11% |
Return on Equity (Normalized) | 38.63% | 26.35% | 22.03% |
Return on Invested Capital (Normalized) | 16.48% | 12.70% | 12.57% |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
| CSX Corp
CSX
| LOCK|%vNWcw | LOCK|gV | $94B | |||
| Canadian Pacific Kansas City Ltd
CP
| LOCK|gvcxwj | LOCK|?y | $79B | |||
| Canadian National Railway Co
CNI
| LOCK|^^&rhl | LOCK|sHJ | $74B | |||
| Norfolk Southern Corp
NSC
| LOCK|<<#Vt>H | LOCK|X^ | $74B | |||
| Westinghouse Air Brake Technologies Corp
WAB
| — | LOCK|j&D | $46B | |||
| East Japan Railway Co
EJPRF
| — | LOCK|JP$m | $26B | |||
| East Japan Railway Co ADR
EJPRY
| — | LOCK|S@L&q | $26B | |||
| MTR Corp Ltd ADR
MTCPY
| — | LOCK|&chpQ | $26B | |||
| MTR Corp Ltd
MTRJF
| — | LOCK|@GZ%y | $26B |
United States