Norfolk Southern Corp., FCFE calculation

US$ in millions

12 months ended:	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017
Net income	3,005)	2,013)	2,722)	2,666)	5,404)
Net noncash charges	1,103)	1,493)	1,309)	938)	(2,209)
Changes in assets and liabilities affecting operations	147)	131)	(139)	122)	58)
Net cash provided by operating activities	4,255)	3,637)	3,892)	3,726)	3,253)
Property additions	(1,470)	(1,494)	(2,019)	(1,951)	(1,723)
Property sales and other transactions	159)	333)	377)	204)	202)
Proceeds from borrowings, net of issuance costs	1,676)	784)	2,192)	2,023)	290)
Debt repayments	(584)	(381)	(1,188)	(750)	(702)
Free cash flow to equity (FCFE)	4,036)	2,879)	3,254)	3,252)	1,320)

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).

Download chart

Item	Description	The company
FCFE	Free cash flow to equity is the cash flow available to Norfolk Southern Corp. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made.	Norfolk Southern Corp. FCFE decreased from 2019 to 2020 but then increased from 2020 to 2021 exceeding 2019 level.

Norfolk Southern Corp., current P/FCFE calculation, comparison to benchmarks

No. shares of common stock outstanding	238,332,514
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)	4,036)
FCFE per share	16.93
Current share price (P)	262.53
Valuation Ratio
P/FCFE	15.50
Benchmarks
P/FCFE, Competitors¹
FedEx Corp.	22.22
Uber Technologies Inc.	38.29
Union Pacific Corp.	32.81
United Parcel Service Inc.	14.59
P/FCFE, Sector
Transportation	22.30

Based on: 10-K (reporting date: 2021-12-31).

¹ Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.

Norfolk Southern Corp., historical P/FCFE calculation, comparison to benchmarks

	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017
No. shares of common stock outstanding¹	239,777,444	251,911,634	257,844,180	267,455,326	283,997,242
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)²	4,036)	2,879)	3,254)	3,252)	1,320)
FCFE per share³	16.83	11.43	12.62	12.16	4.65
Share price^1, 4	270.42	245.57	212.68	171.46	138.61
Valuation Ratio
P/FCFE⁵	16.07	21.49	16.85	14.10	29.82
Benchmarks
P/FCFE, Competitors⁶
FedEx Corp.	36.75	13.28	38.51	—	—
Uber Technologies Inc.	139.66	—	—	—	—
Union Pacific Corp.	17.16	18.08	15.24	—	—
United Parcel Service Inc.	22.62	33.39	19.54	—	—
P/FCFE, Sector
Transportation	24.57	31.15	31.09	—	—
P/FCFE, Industry
Industrials	—	49.40	28.48	—	—

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).

¹ Data adjusted for splits and stock dividends.

² See details »

³ 2021 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 4,036,000,000 ÷ 239,777,444 = 16.83

⁴ Closing price as at the filing date of Norfolk Southern Corp. Annual Report.

⁵ 2021 Calculation
P/FCFE = Share price ÷ FCFE per share
= 270.42 ÷ 16.83 = 16.07

⁶ Click competitor name to see calculations.

Download chart

Valuation ratio	Description	The company
P/FCFE	Price to free cash flow to equity is cash valuation indicator of stockholders’ equity.	Norfolk Southern Corp. P/FCFE ratio increased from 2019 to 2020 but then decreased significantly from 2020 to 2021.

Norfolk Southern Corp. (NYSE:NSC)

Price to FCFE (P/FCFE)

Free Cash Flow to Equity (FCFE)

Price to FCFE Ratio, Current

Price to FCFE Ratio, Historical