CNI Stock Forecast & Price Target

Canadian National Railway demonstrated strong financial performance in 2024, with total revenue reaching CAD 17 billion and notable growth across key sectors, including intermodal containers, petroleum and chemicals, and grain and fertilizers. The railway experienced a year-over-year increase in revenue per ton-mile (RTMs) of 4.1% in Q4 2025, primarily driven by a substantial rise in intermodal shipments (10.5%) and consistent gains in agricultural and chemical volumes. Additionally, improvements in labor productivity (14% year-over-year) and locomotive productivity (5%), coupled with record grain shipments and increased domestic and export demand for petroleum, position CN favorably for continued growth and operational efficiency in the coming years.

Canadian National Railway's financial outlook is negatively impacted by a forecasted decline in revenue ton miles (RTM) growth, reduced core pricing due to a mix of lower volume in high-yield segments, and challenges facing the forest products segment, which has seen a significant downgrade in estimates. Notably, both metals and minerals volumes are down and are expected to continue facing pressures from tariffs and economic volatility, which threaten overall industrial production and demand. Additionally, potential risks from adverse weather, currency fluctuations, and underperformance in key markets like Prince Rupert and Halifax exacerbate the uncertainties surrounding the company's growth trajectory.