Atlanta, Georgia-based Norfolk Southern Corporation (NSC) provides rail transportation services. Valued at $70 billion by market cap, the company transports raw materials, intermediate products, and finished goods via interchange with rail carriers. NSC also transports overseas freight through several Atlantic and Gulf Coast ports.
Shares of this leader in the transportation industry have outperformed the broader market over the past year. NSC has gained 27.8% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 25.1%. However, in 2026, NSC’s stock rose 8%, compared to the SPX’s 8.6% rise on a YTD basis.
Narrowing the focus, NSC’s outperformance is also apparent compared to the iShares Transportation Average ETF (IYT). The exchange-traded fund has gained about 23.7% over the past year. However, the ETF’s 8.9% gains on a YTD basis outshine the stock’s returns over the same time frame.
On Apr. 24, NSC shares closed down marginally after reporting its Q1 results. Its adjusted EPS of $2.65 beat Wall Street expectations of $2.51. The company’s revenue was $3 billion, topping Wall Street forecasts of $2.99 billion.
For the current fiscal year, ending in December, analysts expect NSC’s EPS to decline 3% to $12.11 on a diluted basis. The company’s earnings surprise history is impressive. It beat the consensus estimate in each of the last four quarters.
Among the 21 analysts covering NSC stock, the consensus is a “Moderate Buy.” That’s based on five “Strong Buy” ratings, and 16 “Holds.”
This configuration is less bearish than three months ago, with an overall “Hold” rating, consisting one analyst suggesting a “Strong Sell.”
On May 12, Wells Fargo & Company (WFC) analyst maintained a “Buy” rating on NSC and set a price target of $350, implying a potential upside of 12.2% from current levels.
The mean price target of $328.06 represents a 5.2% premium to NSC’s current price levels. The Street-high price target of $372 suggests an upside potential of 19.3%.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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