Latest Ratios: P/E Ratio 23.0x · EV/EBITDA 15.0x · ROE 22.1%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $75.1B | $61.7B | $64.4B | $82.8B | $81.8B | $87.3B | $78.3B | $65.0B | $54.7B | $62.5B | $52.5B |
| Enterprise Value | $90.2B | $83.1B | $85.4B | $101.2B | $97.4B | $99.3B | $91.1B | $79.3B | $67.0B | $73.2B | $63.3B |
| P/E Ratio → | 23.01 | 13.08 | 14.48 | 14.73 | 15.98 | 17.81 | 21.97 | 15.44 | 12.63 | 11.40 | 14.43 |
| P/S Ratio | 6.15 | 3.57 | 3.78 | 4.92 | 4.78 | 6.03 | 5.67 | 4.36 | 3.82 | 4.79 | 4.36 |
| P/B Ratio | 5.04 | 2.86 | 3.06 | 4.12 | 3.83 | 3.84 | 3.99 | 3.61 | 3.10 | 3.75 | 3.54 |
| P/FCF | 31.40 | 18.20 | 20.45 | 21.92 | 20.89 | 21.39 | 23.72 | 31.61 | 22.90 | 21.98 | 20.95 |
| P/OCF | 15.10 | 8.75 | 9.61 | 11.89 | 12.27 | 12.52 | 12.70 | 10.98 | 9.24 | 11.33 | 10.10 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.81 | 5.01 | 6.01 | 5.69 | 6.86 | 6.59 | 5.31 | 4.68 | 5.62 | 5.26 |
| EV / EBITDA | 15.01 | 9.76 | 10.49 | 12.03 | 11.37 | 13.77 | 14.31 | 11.08 | 9.82 | 11.23 | 10.11 |
| EV / EBIT | 19.42 | 11.59 | 12.66 | 14.04 | 13.32 | 14.29 | 17.95 | 13.29 | 10.85 | 13.15 | 11.70 |
| EV / FCF | — | 24.53 | 27.11 | 26.79 | 24.86 | 24.35 | 27.58 | 38.52 | 28.06 | 25.76 | 25.24 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 44.9% | 44.9% | 40.9% | 42.5% | 43.2% | 41.9% | 41.8% | 40.8% | 41.6% | 43.5% | 44.8% |
| Operating Margin | 38.1% | 38.1% | 36.6% | 39.2% | 40.0% | 38.8% | 34.6% | 37.5% | 38.4% | 40.2% | 41.8% |
| Net Profit Margin | 27.3% | 27.3% | 26.1% | 33.4% | 29.9% | 33.8% | 25.7% | 28.3% | 30.2% | 42.1% | 30.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 22.1% | 22.1% | 21.6% | 27.1% | 23.2% | 23.1% | 18.8% | 23.6% | 25.2% | 34.8% | 24.4% |
| ROA | 8.2% | 8.2% | 8.1% | 10.9% | 10.3% | 10.5% | 8.0% | 9.9% | 11.0% | 14.7% | 9.9% |
| ROIC | 11.6% | 11.6% | 11.6% | 13.1% | 14.3% | 12.5% | 11.1% | 13.5% | 14.4% | 14.8% | 14.9% |
| ROCE | 12.2% | 12.2% | 12.4% | 14.0% | 14.8% | 12.9% | 11.8% | 14.5% | 15.4% | 15.5% | 14.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.01 | 1.01 | 1.02 | 0.94 | 0.74 | 0.57 | 0.68 | 0.79 | 0.71 | 0.65 | 0.74 |
| Debt / EBITDA | 2.56 | 2.56 | 2.63 | 2.24 | 1.85 | 1.79 | 2.09 | 2.00 | 1.84 | 1.66 | 1.75 |
| Net Debt / Equity | — | 1.00 | 1.00 | 0.92 | 0.73 | 0.53 | 0.65 | 0.79 | 0.70 | 0.65 | 0.73 |
| Net Debt / EBITDA | 2.52 | 2.52 | 2.58 | 2.19 | 1.82 | 1.67 | 2.00 | 1.99 | 1.80 | 1.65 | 1.72 |
| Debt / FCF | — | 6.33 | 6.66 | 4.87 | 3.97 | 2.96 | 3.86 | 6.92 | 5.15 | 3.78 | 4.29 |
| Interest Coverage | 7.86 | 7.86 | 7.57 | 9.99 | 13.34 | 11.40 | 9.16 | 11.09 | 12.62 | 11.58 | 11.26 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.67 | 0.67 | 0.66 | 0.61 | 0.84 | 1.10 | 0.95 | 0.66 | 0.78 | 0.55 | 0.70 |
| Quick Ratio | 0.47 | 0.47 | 0.48 | 0.47 | 0.66 | 0.91 | 0.77 | 0.52 | 0.62 | 0.44 | 0.58 |
| Cash Ratio | 0.10 | 0.10 | 0.10 | 0.09 | 0.09 | 0.27 | 0.17 | 0.01 | 0.08 | 0.02 | 0.06 |
| Asset Turnover | — | 0.30 | 0.30 | 0.32 | 0.34 | 0.30 | 0.31 | 0.34 | 0.35 | 0.35 | 0.32 |
| Inventory Turnover | 13.00 | 13.00 | 14.00 | 13.84 | 14.03 | 14.28 | 13.80 | 14.45 | 15.01 | 17.37 | 18.30 |
| Days Sales Outstanding | — | 23.56 | 27.99 | 28.20 | 30.23 | 27.08 | 30.08 | 35.04 | 29.79 | 27.54 | 26.53 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.0% | 3.6% | 3.3% | 2.5% | 2.4% | 2.0% | 2.1% | 2.4% | 2.4% | 2.0% | 2.2% |
| Payout Ratio | 46.8% | 46.8% | 48.1% | 36.8% | 39.2% | 35.5% | 46.1% | 36.6% | 30.8% | 22.6% | 31.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.3% | 7.6% | 6.9% | 6.8% | 6.3% | 5.6% | 4.6% | 6.5% | 7.9% | 8.8% | 6.9% |
| FCF Yield | 3.2% | 5.5% | 4.9% | 4.6% | 4.8% | 4.7% | 4.2% | 3.2% | 4.4% | 4.6% | 4.8% |
| Buyback Yield | 2.0% | 3.4% | 4.1% | 5.5% | 5.9% | 1.8% | 0.5% | 2.7% | 3.8% | 3.4% | 3.9% |
| Total Shareholder Yield | 4.0% | 7.0% | 7.4% | 8.0% | 8.3% | 3.8% | 2.6% | 5.1% | 6.2% | 5.3% | 6.1% |
| Shares Outstanding | — | $624M | $635M | $659M | $688M | $710M | $713M | $719M | $738M | $757M | $779M |
Regulatory and labor volatility
Based on current market data, CNI trades at a forward P/E of 15.30, which appears to command a premium relative to its historical averages, suggesting that investors are pricing in the durability of its unique three-coast network despite recent stagnation in top-line volume growth.
The current P/E multiple of 22.63 on a trailing basis indicates that the market is willing to pay for the stability of CNI's cash flows, even as the PEG ratio of 2.62 signals that near-term earnings growth may not fully justify the current share price. This valuation warrants caution, as it assumes the company can maintain its pricing power in the face of increased competition from the CPKC merger.
As reported in quarterly filings, CNI's ROIC has trended within a narrow 2.7% to 3.6% range over the last ten quarters, indicating that the company is struggling to generate returns that meaningfully exceed its cost of capital in the current high-capex environment.
The persistent pressure on ROIC suggests that the massive capital outlays required for network maintenance and expansion are currently outpacing the incremental returns generated by new freight volumes. Investors should monitor whether management can improve asset utilization to drive higher returns on the $50B of net PPE currently deployed on the balance sheet.
According to recent financial statements, CNI's cash conversion cycle has fluctuated significantly, reaching a low of -50 days in 2025Q4, which highlights the company's ability to leverage its scale to manage supplier payment terms effectively despite seasonal shifts in freight demand.
The negative cash conversion cycle is a hallmark of a powerful rail operator, as it allows CNI to collect from customers well before it must settle its own obligations. However, the variability in DPO and DIO suggests that operational bottlenecks or inventory accumulation in the grain segment can temporarily disrupt this efficiency advantage.
Based on the provided quarterly data, CNI maintains a current ratio consistently below 1.0, with a 2026Q1 reading of 0.67, indicating a lean liquidity profile that relies heavily on the consistent, predictable nature of rail freight cash inflows to meet short-term obligations.
While a low current ratio is common in capital-intensive industries with predictable revenue, it leaves little margin for error during periods of network disruption or sudden labor-related work stoppages. This liquidity position suggests that the company is optimized for steady-state operations rather than maintaining a large cash buffer for unforeseen contingencies.
The P/E ratio is frequently misapplied to CNI, as it fails to account for the massive non-cash depreciation charges inherent in a 19,500-mile rail network, which can significantly distort earnings and obscure the company's true underlying cash-generating capacity.
Investors should prioritize EV/EBITDA or P/FCF over P/E, as these metrics better capture the operational reality of a business where capital intensity is the primary driver of value. Relying on P/E ignores the fact that CNI's earnings are highly sensitive to accounting estimates regarding the useful life of its physical assets.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying CNI stock.
Canadian National Railway Company's current P/E ratio is 23.0x. The historical average is 12.0x. This places it at the 100th percentile of its historical range.
Canadian National Railway Company's current EV/EBITDA is 15.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.6x.
Canadian National Railway Company's return on equity (ROE) is 22.1%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 21.0%.
Based on historical data, Canadian National Railway Company is trading at a P/E of 23.0x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Canadian National Railway Company's current dividend yield is 2.03% with a payout ratio of 46.8%.
Canadian National Railway Company has 44.9% gross margin and 38.1% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Canadian National Railway Company's Debt/EBITDA ratio is 2.6x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.