0946 ET - CN Rail has a tendency to underpromise on guidance and then overdeliver, but Cherilyn Radbourne of TD Cowen says guidance is still a little soft. She says 4Q results came in strong, solid with EBIT was a at a 3%-4% beat on tighter cost control and EPS of C$2.08 which topped expectations even if "some of the beat came below the EBIT line." The operating ratio was a bright spot at 60.1%, improving 250 bps topping consensus. However, CN guided to "flattish volumes" in 2026 and EPS growth only slightly exceed volume growth. Radbourne notes that after three years of guidance cuts, she expected CN would "try to underpromise and overdeliver," but the new outlook "seems to fall short of even low-single-digit growth." (adriano.marchese@wsj.com)

(END) Dow Jones Newswires

January 30, 2026 09:47 ET (14:47 GMT)

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