Stock Analysis on Net

Norfolk Southern Corp. (NYSE:NSC)

$22.49

This company has been moved to the archive! The financial data has not been updated since April 27, 2022.

Return on Equity (ROE)
since 2005

Microsoft Excel

Paying user area

The data is hidden behind: . Unhide it.

This is a one-time payment. There is no automatic renewal.


We accept:

Visa Mastercard American Express Maestro Discover JCB PayPal Apple Pay Google Pay
Visa Secure Mastercard Identity Check American Express SafeKey

Calculation

Norfolk Southern Corp., ROE, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$ in millions


Net Income Trends
The net income demonstrated notable variability over the period analyzed. Starting at $1,281 million in 2005, net income exhibited a general upward trend with some fluctuations, reaching a peak of $5,404 million in 2017. Following this peak, there was a significant decline in 2018 to $2,666 million, after which net income mildly recovered and stabilized around the $2,000 to $3,000 million range by 2021. The spike in 2017 is a pronounced anomaly compared to other years, suggesting an extraordinary event or improved profitability during that year.
Stockholders' Equity Trends
Stockholders' equity showed a steadier progression compared to net income. Beginning at $9,289 million in 2005, equity generally increased over time, reaching a maximum of $16,359 million in 2017. After 2017, equity levels experienced a gradual decline, ending at $13,641 million by 2021. This moderate decrease following the peak aligns temporally with the drop in net income, potentially indicating changes in retained earnings or other equity components associated with the net income variability.
Return on Equity (ROE) Patterns
Return on equity (ROE) largely followed the shifts in net income with some amplification. ROE started at 13.79% in 2005 and increased through the years, reaching the highest value of 33.03% in 2017, coinciding with the peak in net income and stockholders’ equity. After 2017, ROE declined but remained elevated relative to the earlier years, finishing at 22.03% in 2021. The ROE pattern highlights the improved profitability and efficient use of equity during 2017, followed by a correction but still relatively strong returns thereafter.
Overall Observations
The data reveals a period of growth in profitability and equity up to 2017, marked by a significant surge in net income and resulting in a high ROE. Post-2017, both net income and equity declined, implying a contraction phase or normalization after an extraordinary event in 2017. Despite the decline, ROE remained comparatively robust, suggesting the company maintained relatively efficient equity utilization in the later years. These trends indicate cycles of expansion and consolidation in financial performance within the analyzed timeframe.

Comparison to Competitors

Norfolk Southern Corp., ROE, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Sector (Transportation)

Norfolk Southern Corp., ROE, long-term trends, comparison to sector (transportation)

Microsoft Excel

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Industry (Industrials)

Norfolk Southern Corp., ROE, long-term trends, comparison to industry (industrials)

Microsoft Excel

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).