Stock Analysis on Net
Stock Analysis on Net

Norfolk Southern Corp. (NYSE:NSC)

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

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Norfolk Southern Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Mar 31, 2022 22.55% = 7.71% × 2.92
Dec 31, 2021 22.03% = 7.81% × 2.82
Sep 30, 2021 21.00% = 7.55% × 2.78
Jun 30, 2021 19.08% = 7.05% × 2.71
Mar 31, 2021 15.74% = 6.08% × 2.59
Dec 31, 2020 13.61% = 5.30% × 2.57
Sep 30, 2020 13.44% = 5.26% × 2.56
Jun 30, 2020 14.10% = 5.52% × 2.55
Mar 31, 2020 16.30% = 6.48% × 2.52
Dec 31, 2019 17.93% = 7.18% × 2.50
Sep 30, 2019 18.10% = 7.35% × 2.46
Jun 30, 2019 18.31% = 7.54% × 2.43
Mar 31, 2019 18.20% = 7.53% × 2.42
Dec 31, 2018 17.35% = 7.36% × 2.36
Sep 30, 2018 38.32% = 16.33% × 2.35
Jun 30, 2018 34.64% = 16.03% × 2.16
Mar 31, 2018 33.64% = 15.27% × 2.20
Dec 31, 2017 33.03% = 15.13% × 2.18
Sep 30, 2017 — = — × 2.76
Jun 30, 2017 — = — × 2.76
Mar 31, 2017 — = — × 2.81

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the increase in return on equity ratio (ROE) over Q1 2022 is the increase in financial leverage ratio.

Three-Component Disaggregation of ROE

Norfolk Southern Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Mar 31, 2022 22.55% = 26.58% × 0.29 × 2.92
Dec 31, 2021 22.03% = 26.97% × 0.29 × 2.82
Sep 30, 2021 21.00% = 26.84% × 0.28 × 2.78
Jun 30, 2021 19.08% = 25.98% × 0.27 × 2.71
Mar 31, 2021 15.74% = 23.51% × 0.26 × 2.59
Dec 31, 2020 13.61% = 20.56% × 0.26 × 2.57
Sep 30, 2020 13.44% = 20.27% × 0.26 × 2.56
Jun 30, 2020 14.10% = 20.47% × 0.27 × 2.55
Mar 31, 2020 16.30% = 21.89% × 0.30 × 2.52
Dec 31, 2019 17.93% = 24.10% × 0.30 × 2.50
Sep 30, 2019 18.10% = 23.98% × 0.31 × 2.46
Jun 30, 2019 18.31% = 24.15% × 0.31 × 2.43
Mar 31, 2019 18.20% = 24.10% × 0.31 × 2.42
Dec 31, 2018 17.35% = 23.27% × 0.32 × 2.36
Sep 30, 2018 38.32% = 52.82% × 0.31 × 2.35
Jun 30, 2018 34.64% = 52.36% × 0.31 × 2.16
Mar 31, 2018 33.64% = 51.65% × 0.30 × 2.20
Dec 31, 2017 33.03% = 51.22% × 0.30 × 2.18
Sep 30, 2017 — = — × — × 2.76
Jun 30, 2017 — = — × — × 2.76
Mar 31, 2017 — = — × — × 2.81

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the increase in return on equity ratio (ROE) over Q1 2022 is the increase in financial leverage ratio.

Five-Component Disaggregation of ROE

Norfolk Southern Corp., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Mar 31, 2022 22.55% = 0.77 × 0.86 × 40.13% × 0.29 × 2.92
Dec 31, 2021 22.03% = 0.77 × 0.86 × 40.60% × 0.29 × 2.82
Sep 30, 2021 21.00% = 0.78 × 0.85 × 40.51% × 0.28 × 2.78
Jun 30, 2021 19.08% = 0.78 × 0.85 × 39.27% × 0.27 × 2.71
Mar 31, 2021 15.74% = 0.78 × 0.83 × 36.59% × 0.26 × 2.59
Dec 31, 2020 13.61% = 0.80 × 0.80 × 32.23% × 0.26 × 2.57
Sep 30, 2020 13.44% = 0.81 × 0.80 × 31.37% × 0.26 × 2.56
Jun 30, 2020 14.10% = 0.80 × 0.81 × 31.71% × 0.27 × 2.55
Mar 31, 2020 16.30% = 0.79 × 0.83 × 33.16% × 0.30 × 2.52
Dec 31, 2019 17.93% = 0.78 × 0.85 × 36.25% × 0.30 × 2.50
Sep 30, 2019 18.10% = 0.77 × 0.86 × 36.45% × 0.31 × 2.46
Jun 30, 2019 18.31% = 0.77 × 0.86 × 36.40% × 0.31 × 2.43
Mar 31, 2019 18.20% = 0.77 × 0.86 × 36.21% × 0.31 × 2.42
Dec 31, 2018 17.35% = 0.77 × 0.86 × 35.14% × 0.32 × 2.36
Sep 30, 2018 38.32% = 1.73 × 0.86 × 35.39% × 0.31 × 2.35
Jun 30, 2018 34.64% = 1.73 × 0.86 × 35.23% × 0.31 × 2.16
Mar 31, 2018 33.64% = 1.74 × 0.85 × 34.83% × 0.30 × 2.20
Dec 31, 2017 33.03% = 1.73 × 0.85 × 34.86% × 0.30 × 2.18
Sep 30, 2017 — = — × — × — × — × 2.76
Jun 30, 2017 — = — × — × — × — × 2.76
Mar 31, 2017 — = — × — × — × — × 2.81

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the increase in return on equity ratio (ROE) over Q1 2022 is the increase in financial leverage ratio.

Two-Component Disaggregation of ROA

Norfolk Southern Corp., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Mar 31, 2022 7.71% = 26.58% × 0.29
Dec 31, 2021 7.81% = 26.97% × 0.29
Sep 30, 2021 7.55% = 26.84% × 0.28
Jun 30, 2021 7.05% = 25.98% × 0.27
Mar 31, 2021 6.08% = 23.51% × 0.26
Dec 31, 2020 5.30% = 20.56% × 0.26
Sep 30, 2020 5.26% = 20.27% × 0.26
Jun 30, 2020 5.52% = 20.47% × 0.27
Mar 31, 2020 6.48% = 21.89% × 0.30
Dec 31, 2019 7.18% = 24.10% × 0.30
Sep 30, 2019 7.35% = 23.98% × 0.31
Jun 30, 2019 7.54% = 24.15% × 0.31
Mar 31, 2019 7.53% = 24.10% × 0.31
Dec 31, 2018 7.36% = 23.27% × 0.32
Sep 30, 2018 16.33% = 52.82% × 0.31
Jun 30, 2018 16.03% = 52.36% × 0.31
Mar 31, 2018 15.27% = 51.65% × 0.30
Dec 31, 2017 15.13% = 51.22% × 0.30
Sep 30, 2017 — = — × —
Jun 30, 2017 — = — × —
Mar 31, 2017 — = — × —

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q1 2022 is the decrease in profitability measured by net profit margin ratio.

Four-Component Disaggregation of ROA

Norfolk Southern Corp., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Mar 31, 2022 7.71% = 0.77 × 0.86 × 40.13% × 0.29
Dec 31, 2021 7.81% = 0.77 × 0.86 × 40.60% × 0.29
Sep 30, 2021 7.55% = 0.78 × 0.85 × 40.51% × 0.28
Jun 30, 2021 7.05% = 0.78 × 0.85 × 39.27% × 0.27
Mar 31, 2021 6.08% = 0.78 × 0.83 × 36.59% × 0.26
Dec 31, 2020 5.30% = 0.80 × 0.80 × 32.23% × 0.26
Sep 30, 2020 5.26% = 0.81 × 0.80 × 31.37% × 0.26
Jun 30, 2020 5.52% = 0.80 × 0.81 × 31.71% × 0.27
Mar 31, 2020 6.48% = 0.79 × 0.83 × 33.16% × 0.30
Dec 31, 2019 7.18% = 0.78 × 0.85 × 36.25% × 0.30
Sep 30, 2019 7.35% = 0.77 × 0.86 × 36.45% × 0.31
Jun 30, 2019 7.54% = 0.77 × 0.86 × 36.40% × 0.31
Mar 31, 2019 7.53% = 0.77 × 0.86 × 36.21% × 0.31
Dec 31, 2018 7.36% = 0.77 × 0.86 × 35.14% × 0.32
Sep 30, 2018 16.33% = 1.73 × 0.86 × 35.39% × 0.31
Jun 30, 2018 16.03% = 1.73 × 0.86 × 35.23% × 0.31
Mar 31, 2018 15.27% = 1.74 × 0.85 × 34.83% × 0.30
Dec 31, 2017 15.13% = 1.73 × 0.85 × 34.86% × 0.30
Sep 30, 2017 — = — × — × — × —
Jun 30, 2017 — = — × — × — × —
Mar 31, 2017 — = — × — × — × —

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the decrease in return on assets ratio (ROA) over Q1 2022 is the decrease in operating profitability measured by EBIT margin ratio.

Disaggregation of Net Profit Margin

Norfolk Southern Corp., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Mar 31, 2022 26.58% = 0.77 × 0.86 × 40.13%
Dec 31, 2021 26.97% = 0.77 × 0.86 × 40.60%
Sep 30, 2021 26.84% = 0.78 × 0.85 × 40.51%
Jun 30, 2021 25.98% = 0.78 × 0.85 × 39.27%
Mar 31, 2021 23.51% = 0.78 × 0.83 × 36.59%
Dec 31, 2020 20.56% = 0.80 × 0.80 × 32.23%
Sep 30, 2020 20.27% = 0.81 × 0.80 × 31.37%
Jun 30, 2020 20.47% = 0.80 × 0.81 × 31.71%
Mar 31, 2020 21.89% = 0.79 × 0.83 × 33.16%
Dec 31, 2019 24.10% = 0.78 × 0.85 × 36.25%
Sep 30, 2019 23.98% = 0.77 × 0.86 × 36.45%
Jun 30, 2019 24.15% = 0.77 × 0.86 × 36.40%
Mar 31, 2019 24.10% = 0.77 × 0.86 × 36.21%
Dec 31, 2018 23.27% = 0.77 × 0.86 × 35.14%
Sep 30, 2018 52.82% = 1.73 × 0.86 × 35.39%
Jun 30, 2018 52.36% = 1.73 × 0.86 × 35.23%
Mar 31, 2018 51.65% = 1.74 × 0.85 × 34.83%
Dec 31, 2017 51.22% = 1.73 × 0.85 × 34.86%
Sep 30, 2017 — = — × — × —
Jun 30, 2017 — = — × — × —
Mar 31, 2017 — = — × — × —

Based on: 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).

The primary reason for the decrease in net profit margin ratio over Q1 2022 is the decrease in operating profitability measured by EBIT margin ratio.