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TSE:CNR

Canadian National R.R. (CNR.TO)

160.40
-0.56 (0.35%)
as of Jun 18, 2026, 8:00:00 pm Market Open.
1168 watching
0
Investor Insights
star iconJun 18, 2026, 12:00 am

This summary was created by AI, based on 45 opinions in the last 12 months.

Experts have mixed feelings about Canadian National Railway (CNR), largely viewing it as a solid long-term investment despite current challenges. The company is seen as having a unique and irreplaceable network, which is coupled with high barriers to entry and a decent dividend yield of around 2-2.7%. There is a consensus that CNR is benefiting from reduced capex after heavy investments, allowing it to accommodate growth with less immediate expenditure. However, the sentiment is tempered by concerns of a freight recession, tariffs, and a soft Canadian economy, leading some analysts to favor its competitor, CP. Overall, while the outlook includes potential volatility due to economic factors, CNR remains an attractive option for long-term investors looking for value amidst its current discounted valuation.

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Consensus
Hold
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Valuation
Undervalued
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Similar
CP,CP
DON'T BUY
One of the concerns that he does have about the market is that the transport group is under performing the industrials and the utilities. Probably has to do with high energy costs. Probably the best run railroad in North America.
BUY
Likes both Canadian National (CRR-T) and Canadian Pacific (CP-T). Great plays on GDP growth in North America. You are getting getting GDP plus 2, 3%. CNR is the premier of the big 6 North American rails. This also gives you a play on Asian growth because of bulk shipment out of Pacific ports.
BUY
The best run and most efficient raileway in North America. Had a great run and has been due for a pause here. In a long term uptrend.
DON'T BUY
The best run railway in all of North America. Great management. Has had spectacular earnings growth. Railways are generally trading around 14 X earnings which is not compelling. Would make a great income trust.
BUY ON WEAKNESS
Likes the rail sector. One of the bottlenecks in the transportation area is getting goos across. Has lots of pricing power. Stock got a little ahead of itself and has now pulled back. Expects it will go sideways and then slowly move up from here. At a lower multiple than a lot of the other rail companies.
PAST TOP PICK
(A Top Pick Dec 8/04. Up 1%.) The only rail line that has east/west and north/south traffic. Are in a joint venture in Prince Rupert B.C. to develop a port giving a 1 day faster sailing time to China. Profitability is there and the costs are low. Has much higher upside.
BUY
Looking at this one quite closely. Well run. A good long term investment. Very involved in the Asian ports. Good exposure to coal and their coal shipments are going to double in 2005 and expected to double again in 2006. Not expensive on a P/E basis.
DON'T BUY
Good run in 2004 and has marked time since then. Nothing wrong with the company, but would rather own CPR (CP-T) which is a little better positioned as far as energy costs is concerned. They are both improving their fleets. CP is probably a bigger element in the bulk carrying side of the business. Would switch to CP if you want to own a railroad.
HOLD
Great quality Canadian company. Traffic is up in the rail business in North America. Very well managed.
BUY
Even though it's a cyclical type stock, it's a good one to buy and put away. The management is the bests in the railway industry in North America. The opening up of Prince Rupert is another growth area.
TOP PICK
Of all the rail companies in North America it has the best operating efficiency ratio. Has grown dramatically and continued to improve itself.
BUY
A globally competitive large cap. It’s clearly at the top of the class in North America. Have this paired by owning this and shorting CP Rail (CP-T). This company will be correlated with respect to the economy.
HOLD
If you own CN or Canadian Pacific (CP-T) keep holding them as they are beneficiaries of the commodity cycle. This one has better upside potential than CP, but you are paying for it at 2.5 X book.
PAST TOP PICK
(A Top Pick Jan 5/05. Up 5%.) Continues to be his favourite railway stock in North America. If yopu own any other railway, he would switch into this one immediately. Has the best prospects for increasing usage on the rails which allows them to cut costs more and increase their margins. Great management.
BUY
Railroad industry is in good shape. Should continue to see good pricing. Tied to the commodity cycle so that could be a risk.
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