Why This 1 Growth Stock Could Be a Great Addition to Your Portfolio
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why This 1 Growth Stock Should Be On Your Watchlist
Different than value or momentum investors, growth-oriented investors are concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, they'll want to focus on the Growth Style Score, which analyzes characteristics like projected and historical earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Canadian National (CNI)
Based in Montreal, Canada, Canadian National Railway Company is engaged in the rail and related transportation business. It operates as the largest rail network in Canada and the only transcontinental network in North America. The company's rail network serves major Canadian ports and includes connections to the United States.
CNI is a Zacks Rank #3 (Hold) stock, with a Growth Style Score of B and VGM Score of B. Earnings are expected to grow 17.7% year-over-year for the current fiscal year, with sales growth of 9.1%.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2022, while the Zacks Consensus Estimate has increased $0 to $5.58 per share. CNI also boasts an average earnings surprise of 6.7%.
Looking at cash flow, Canadian National is expected to report cash flow growth of 15.7% this year; CNI has generated cash flow growth of 5% over the past three to five years.
CNI should be on investors' short lists because of its impressive growth fundamentals, a good Zacks Rank, and strong Growth and VGM Style Scores.
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Canadian National Railway Company (CNI) : Free Stock Analysis Report
