Norfolk Southern Corporation logo NSC - Norfolk Southern Corporation

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 21
HOLD 24
SELL 3
STRONG
SELL
0
| PRICE TARGET: $361.86 DETAILS
HIGH: $400.00
LOW: $330.00
MEDIAN: $358.00
CONSENSUS: $361.86
UPSIDE: 13.87%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 65% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Strong
Trading 66.2% above fair value
Current Price $317.79
Bear Case $153.00 51.9% downside ($153.00 - $317.79) / $317.79 = -51.9% $12.75 × 12x P/E
Fair Value $191.25 39.8% downside ($191.25 - $317.79) / $317.79 = -39.8% $12.75 × 15x P/E
Bull Case $229.50 27.8% downside ($229.50 - $317.79) / $317.79 = -27.8% $12.75 × 18x P/E

Adjust Assumptions

15.0x
12.75$

Key Value Driver

Normalized P/E multiple (15x base case)

Implied Market Multiple 24.9x

Plain-Language Summary

Applying a 15x P/E to adjusted EPS of $12.75, the base-case value is $191.25 per share. DDM cross-check: $97.66.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (48 analysts) $361.86
Analyst Range $330.00 – $400.00
Divergence from AlphaVal 47%

Warnings

ℹ Dividend-based valuation: $97.66 (below our primary estimate by 49%). Large gaps may signal the dividend doesn't reflect full earning power.
ℹ Wall Street's average price target is $361.86 (from 48 analysts). Our estimate is 47% below the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples