Norfolk Southern Corporation, together with its subsidiaries, engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. The company transports agriculture, forest, and consumer products comprising soybeans, wheat, corn, fertilizers, livestock and poultry feed, food products, food oils, flour, sweeteners, ethanol, lumber and wood products, pulp board and paper products, wood fibers, wood pulp, beverages, and canned goods; chemicals consist of sulfur and related chemicals, petroleum products comprising crude oil, chlorine and bleaching compounds, plastics, rubber, industrial chemicals, chemical wastes, sand, and natural gas liquids; metals and construction materials, such as steel, aluminum products, machinery, scrap metals, cement, aggregates, minerals, clay, transportation equipment, and military-related products; and automotive, including finished motor vehicles and automotive parts, as well as coal. It also transports overseas freight through various Atlantic and Gulf Coast ports; and operates an intermodal network. As of December 31, 2023, the company operated approximately 19,100 route miles in 22 states and the District of Columbia. Norfolk Southern Corporation was incorporated in 1980 and is headquartered in Atlanta, Georgia.

Norfolk Southern Corporation показывает смешанную картину по фундаментальным метрикам. С одной стороны, компания имеет высокие показатели ROE и ROA, что свидетельствует о высокой эффективности использования капитала и активов. Однако, долговая нагрузка, измеряемая через debt/equity ratio, значительно превышает средние значения по отрасли, что указывает на потенциальные риски для инвесторов. Мультипликаторы, такие как P/E и P/B, также находятся на высоком уровне по сравнению с отраслевыми медианами, что может указывать на переоцененность акций. Дивидендная доходность снизилась, что добавляет дополнительные риски для инвесторов. Тем не менее, рост выручки и прибыли в последние годы, а также стабильные операционные маржи являются позитивными сигналами. В целом, при сопоставлении всех этих факторов можно сделать вывод о необходимости осторожного подхода к оценке акций компании, что может требовать корректировки целевой цены в сторону снижения.

Norfolk Southern Corporation

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Dimensional US Large Cap Value ETF (Symbol: DFLV) where we have detected an approximate $157.2 million dollar outflow -- that's a 2.7% decrease week over week (from 158,300,000 to 154,100,000). Among the largest underlying components of DFLV, in trading today General Motors Co (Symbol: GM) is up about 0.1%, CSX Corp (Symbol: CSX) is trading flat, and Norfolk Southern Corp (Symbol: NSC) is lower by about 0.4%. For a complete list of holdings, visit the DFLV Holdings page » The chart below shows the one year price performance of DFLV, versus its 200 day moving average:
Looking at the chart above, DFLV's low point in its 52 week range is $28.51 per share, with $37.69 as the 52 week high point — that compares with a last trade of $37.60. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Project your dividend income with confidence: Income Calendar tracks your income portfolio like a personal assistant.
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Also see:
Top Stocks Held By Jeremy Grantham
Top Ten Hedge Funds Holding BHAT
Stock RSI
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Dimensional US Large Cap Value ETF Experiences Big Outflow

Norfolk Southern Corporation NSC posted earnings (excluding 22 cents from non-recurring items) of $2.65 per share for the first quarter of 2026, topping the Zacks Consensus Estimate of $2.51. The adjusted figure was down 1.5% from $2.69 a year ago.
Railway operating revenues were $3.0 billion, edging past the Zacks Consensus Estimate of $2.99 billion and rising 0.2% year over year. The adjusted operating ratio (operating expenses as a % of revenues) in the quarter landed at 68.7%, as higher costs and fuel headwinds weighed on profitability. The year-ago value of the metric was 67.9%. A lower value of the metric is preferable.
Norfolk Southern Price, Consensus and EPS Surprise
NSC Navigates Volatile Volumes and Weather Disruptions
First-quarter performance reflected a mixed demand and operating backdrop. Management pointed to volatile volumes, severe winter weather and a sharp rise in fuel prices in March, but noted that service execution improved as conditions normalized late in the quarter.
The volume decline was modest at 1% year over year, suggesting a relatively steady demand base even amid macro uncertainty. As conditions improved, the railroad said it captured momentum exiting the quarter, underscoring the strength of the operating foundation. In the market outlook, the company also flagged that the competitive environment following its merger announcement is expected to pressure volumes in the short to medium term.
Norfolk Southern Mix Shows Resilience Across Segments
Merchandise remained the largest contributor, with revenues rising 1% year over year to $1.88 billion on a 1% increase in units. Revenue per unit for the franchise was essentially flat year over year, indicating stable pricing and mix despite a choppy backdrop.
Intermodal revenues dipped 1% to $749 million as units declined 4%, though revenue per unit improved 3%. Coal revenues slipped 2% to $364 million, even as volumes increased 9%, as revenue per unit fell 9%, reflecting weaker realization.
NSC Profitability Reflects Merger and Incident Impacts
On a GAAP basis, earnings were $2.43 per share compared with $3.31 in the year-ago period, while income from railway operations fell 23% to $877 million. Operating expenses rose 15% to $2.12 billion, caused in part by $52 million of merger-related expenses and $10 million of net expenses tied to the Eastern Ohio incident.
Excluding merger-related costs and the incident impacts, adjusted income from railway operations was $939 million, down 2% year over year. The adjusted expense base was $2.06 billion, up 1%, as productivity gains partially offset inflation and higher fuel costs.
Norfolk Southern Cash Use Tilts Toward Investment and Dividends
NSC, currently carrying a Zacks Rank #3 (Hold), ended the quarter with cash and cash equivalents of $1.34 billion, down from $1.53 billion at the end of fiscal 2025. Long-term debt was $16.49 billion at March 31, 2026, and total debt stood at $17.10 billion, keeping leverage broadly steady. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Operating cash flow was $344 million in the first three months of 2026 compared with $950 million a year ago, reflecting working-capital movement and lower earnings. Norfolk Southern invested $382 million in property additions and returned $303 million to shareholders through dividends, while it did not repurchase shares during the quarter.
NSC Reiterates 2026 Expense and Capex Guardrails
Looking ahead, management reiterated its 2026 framework centered on safety, consistent service and disciplined execution. Adjusted operating expense is still expected in a range of $8.2 billion to $8.4 billion, with the company noting that prolonged elevated fuel prices could influence the outlook.
Capital spending is projected at $1.9 billion for 2026, representing a planned reduction of about $300 million, or 14%, from 2025 levels. The company also highlighted a new partnership with Jaguar Transport Holdings, as part of its freight growth focus, emphasizing deal structures and capabilities aimed at creating added customer value.
Q1 Performances of Other Transportation Companies
CSX Corporation’s CSX first-quarter 2026 earnings per share of 43 cents surpassed the Zacks Consensus Estimate of 39 cents and increased 26% on a year-over-year basis. Results were aided by revenue growth and a reduction in operating expenses.
Total revenues of $3.48 billion missed the Zacks Consensus Estimate of $3.51 billion. The top line increased 2% year over year on the back of higher merchandise pricing, intermodal volume growth, higher domestic coal revenues and increased fuel surcharge revenues. These were partially offset by a decrease in export coal revenues, including the impact of lower benchmark rates.
J.B. Hunt Transport Services JBHT posted first-quarter 2026 earnings per share of $1.49, up 27% from $1.17 a year ago. The result topped the Zacks Consensus Estimate by 4 cents.
Operating revenues totaled $3.06 billion, rising 4.6% year over year. Revenues beat the consensus mark of $2.94 billion, resulting in a 3.9% surprise, as demand proved resilient across several service offerings, led by Intermodal volume growth and higher revenue per load in select highway-related businesses.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Norfolk Southern Q1 Earnings & Revenues Top Estimates, Expenses Up Y/Y

Data is currently not available
Edit My Quotes
Add up to 25 symbols
To add symbols:
Type a symbol or company name. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return.
Copy and paste multiple symbols separated by spaces.
These symbols will be available throughout the site during your session.
Save data
Data is currently not available
Edit My European Quotes
Add up to 25 instruments
To add instruments:
Type a instrument or company name. When the instrument you want to add appears, add it to My European Quotes by selecting it and pressing Enter/Return.
Copy and paste multiple instruments separated by spaces.
These instruments will be available throughout the site during your session.
Save data
Data is currently not available
Your symbols have been updated
You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com.
Continue
Data is currently not available
Edit Watchlist
Add up to 20 symbols
To add symbols:
Type a symbol or company name. When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return.
Copy and paste multiple symbols separated by spaces.
These symbols will be available throughout the site during your session.
Save data

Norfolk Southern (NSC) Q1 2026 Earnings Transcript

Norfolk Southern (NSC) came out with quarterly earnings of $2.65 per share, beating the Zacks Consensus Estimate of $2.51 per share. This compares to earnings of $2.69 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +5.45%. A quarter ago, it was expected that this railroad would post earnings of $2.78 per share when it actually produced earnings of $3.22, delivering a surprise of +15.83%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Norfolk Southern, which belongs to the Zacks Transportation - Rail industry, posted revenues of $3 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.25%. This compares to year-ago revenues of $2.99 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Norfolk Southern shares have added about 11.3% since the beginning of the year versus the S&P 500's gain of 3.8%.
What's Next for Norfolk Southern?
While Norfolk Southern has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Norfolk Southern was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $3.17 on $3.2 billion in revenues for the coming quarter and $12.14 on $12.64 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Rail is currently in the bottom 20% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Canadian National (CNI), is yet to report results for the quarter ended March 2026. The results are expected to be released on April 29.
This railroad is expected to post quarterly earnings of $1.31 per share in its upcoming report, which represents a year-over-year change of +1.6%. The consensus EPS estimate for the quarter has been revised 0.3% lower over the last 30 days to the current level.
Canadian National's revenues are expected to be $3.17 billion, up 3.3% from the year-ago quarter.
Should You Invest in Norfolk Southern Corporation (NSC)?
Before you invest in Norfolk Southern Corporation (NSC), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.
Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Norfolk Southern (NSC) Q1 Earnings and Revenues Beat Estimates

(RTTNews) - Norfolk Southern Corp (NSC) announced a profit for first quarter that Drops, from the same period last year
The company's earnings came in at $547 million, or $2.43 per share. This compares with $750 million, or $3.31 per share, last year.
Excluding items, Norfolk Southern Corp reported adjusted earnings of $597 million or $2.65 per share for the period.
The company's revenue for the period rose 0.2% to $2.998 billion from $2.993 billion last year.
Norfolk Southern Corp earnings at a glance (GAAP) :
-Earnings: $547 Mln. vs. $750 Mln. last year. -EPS: $2.43 vs. $3.31 last year. -Revenue: $2.998 Bln vs. $2.993 Bln last year.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Norfolk Southern Corp Bottom Line Drops In Q1

(RTTNews) - Norfolk Southern Corp (NSC) will host a conference call at 8:30 AM ET on April 24, 2026, to discuss Q1 26 earnings results.
To access the live webcast, log on to https://norfolksouthern.investorroom.com/events
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Norfolk Southern Q1 26 Earnings Conference Call At 8:30 AM ET

The following companies are expected to report earnings prior to market open on 04/24/2026. Visit our Earnings Calendar for a full list of expected earnings releases.
Procter & Gamble Company (PG)is reporting for the quarter ending March 31, 2026. The consumer company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.56. This value represents a 1.30% increase compared to the same quarter last year. In the past year PG has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2026 Price to Earnings ratio for PG is 20.52 vs. an industry ratio of 15.40, implying that they will have a higher earnings growth than their competitors in the same industry.
HCA Healthcare, Inc. (HCA)is reporting for the quarter ending March 31, 2026. The medical services company's consensus earnings per share forecast from the 11 analysts that follow the stock is $7.19. This value represents a 11.47% increase compared to the same quarter last year. In the past year HCA has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 8.83%. Zacks Investment Research reports that the 2026 Price to Earnings ratio for HCA is 15.62 vs. an industry ratio of 17.20.
SLB Limited (SLB)is reporting for the quarter ending March 31, 2026. The technology services company's consensus earnings per share forecast from the 9 analysts that follow the stock is $0.51. This value represents a 29.17% decrease compared to the same quarter last year. SLB missed the consensus earnings per share in the 1st calendar quarter of 2025 by -2.7%. Zacks Investment Research reports that the 2026 Price to Earnings ratio for SLB is 20.36 vs. an industry ratio of 9.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Norfolk Southern Corporation (NSC)is reporting for the quarter ending March 31, 2026. The transportation (rail) company's consensus earnings per share forecast from the 4 analysts that follow the stock is $2.51. This value represents a 6.69% decrease compared to the same quarter last year. NSC missed the consensus earnings per share in the 1st calendar quarter of 2025 by -1.1%. Zacks Investment Research reports that the 2026 Price to Earnings ratio for NSC is 24.57 vs. an industry ratio of 16.10, implying that they will have a higher earnings growth than their competitors in the same industry.
Charter Communications, Inc. (CHTR)is reporting for the quarter ending March 31, 2026. The cable tv company's consensus earnings per share forecast from the 7 analysts that follow the stock is $9.97. This value represents a 18.41% increase compared to the same quarter last year. Zacks Investment Research reports that the 2026 Price to Earnings ratio for CHTR is 5.57 vs. an industry ratio of 7.50.
Flagstar Bank, N.A. (FLG)is reporting for the quarter ending March 31, 2026. The banks (southeast) company's consensus earnings per share forecast from the 9 analysts that follow the stock is $0.03. This value represents a 113.04% increase compared to the same quarter last year. Zacks Investment Research reports that the 2026 Price to Earnings ratio for FLG is 26.85 vs. an industry ratio of 11.80, implying that they will have a higher earnings growth than their competitors in the same industry.
Gentex Corporation (GNTX)is reporting for the quarter ending March 31, 2026. The auto (truck) company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.44. This value represents a 2.33% increase compared to the same quarter last year. GNTX missed the consensus earnings per share in the 3rd calendar quarter of 2025 by -2.13%. Zacks Investment Research reports that the 2026 Price to Earnings ratio for GNTX is 11.79 vs. an industry ratio of 9.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Sensient Technologies Corporation (SXT)is reporting for the quarter ending March 31, 2026. The chemical company's consensus earnings per share forecast from the 1 analyst that follows the stock is $0.80. This value represents a 6.98% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2026 Price to Earnings ratio for SXT is 25.87 vs. an industry ratio of 15.10, implying that they will have a higher earnings growth than their competitors in the same industry.
First Hawaiian, Inc. (FHB)is reporting for the quarter ending March 31, 2026. The bank (west) company's consensus earnings per share forecast from the 5 analysts that follow the stock is $0.53. This value represents a 12.77% increase compared to the same quarter last year. In the past year FHB has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 1.82%. Zacks Investment Research reports that the 2026 Price to Earnings ratio for FHB is 12.01 vs. an industry ratio of 11.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Western Union Company (WU)is reporting for the quarter ending March 31, 2026. The financial transactions company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.40. This value represents a 2.44% decrease compared to the same quarter last year. WU missed the consensus earnings per share in the 2nd calendar quarter of 2025 by -4.55%. Apogee Enterprises, Inc. (APOG)is reporting for the quarter ending February 28, 2026. The glass products company's consensus earnings per share forecast from the 2 analysts that follow the stock is $0.88. This value represents a 1.12% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2026 Price to Earnings ratio for APOG is 10.28 vs. an industry ratio of 8.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Nomura Holdings Inc ADR (NMR)is reporting for the quarter ending March 31, 2026. The investment bankers company's consensus earnings per share forecast from the 1 analyst that follows the stock is $0.21. This value represents a 40.00% increase compared to the same quarter last year. Zacks Investment Research reports that the 2026 Price to Earnings ratio for NMR is 10.02 vs. an industry ratio of 16.90.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Pre-Market Earnings Report for April 24, 2026 : PG, HCA, SLB, NSC, CHTR, FLG, GNTX, SXT, FHB, WU, APOG, NMR

Key Points
Efficiency gains are driving Union Pacific's profits higher.
Management is committed to rewarding shareholders with steadily growing dividends.
Shares of Union Pacific (NYSE: UNP) rose on Thursday after the railroad operator delivered solid quarterly results.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Strong operational performance
Despite a volatile macroeconomic backdrop, Union Pacific's operating revenue increased 3% year over year to $6.2 billion in the first quarter.
With its rail network spanning 23 states and linking major U.S. ports and key gateways to Mexico, Union Pacific serves a vital role within the country's transportation system. That gives it pricing power, or the ability to raise prices above the rate of inflation.
These pricing gains, combined with fuel surcharges, helped to drive Union Pacific's freight revenue up by 4% to $5.9 billion.
Better still, Union Pacific is becoming more efficient. Its trains are getting faster, with freight car velocity rising 9% to 235 daily miles per car. They're also spending less time at rest, with average terminal dwell improving by 11% to 19.7 hours.
Importantly, the railroad's fuel consumption rate also improved by 4%, at a time when conflict in the Middle East has driven diesel prices sharply higher.
All told, Union Pacific's adjusted net income climbed 5% to $1.7 billion. The company's adjusted earnings per share, boosted by stock buybacks, jumped 9% to $2.93.
The merger is progressing
Looking ahead, Union Pacific reiterated its goals for 2026, including mid-single-digit earnings-per-share growth driven by continued efficiency gains. Management expects these profits to support steady annual increases in cash dividend payments to shareholders.
Union Pacific also remains on track to merge its primarily central and western U.S. operations with Norfolk Southern's eastern U.S. rail network.
"As we advance through the regulatory process to create America's first transcontinental railroad, we have a solid foundation for another year of industry-leading results," CEO Jim Vena said.
Should you buy stock in Union Pacific right now?
Before you buy stock in Union Pacific, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Union Pacific wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $502,837!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,241,433!*
Now, it’s worth noting Stock Advisor’s total average return is 977% — a market-crushing outperformance compared to 200% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of April 23, 2026.
Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool recommends Union Pacific. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Why Union Pacific Stock Popped Today

Key Points
Union Pacific isn’t the highest-yielding stock, but it’s well ahead of the industrial sector and the broader market on that basis.
The railroad operator has an uninterrupted run of payouts going 127 years.
It's turning into a dividend growth name, too.
Over the past three years, the industrial sector was the third-best performing group in the S&P 500. Using sector exchange-traded funds (ETFs) as the targets, the Industrial Select Sector SPDR ETF (NYSEMKT: XLI) notched total returns of 80.33% over that period, nudging past the S&P 500.
That's great, but if there's a rub (one investors are likely to tolerate given that performance), it's that dividend yields on industrial stocks tend to be low. The dividend yield on the SPDR ETF mentioned above is just 1.18%, or barely better than the 1.04% investors earn on a basic S&P 500 ETF or index fund.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
On that basis, Union Pacific (NYSE: UNP), with a yield of 2.18%, is a "high-yield" name relative to the industrial sector and the broader market. Fortunately, it's not just the yield that makes this railroad stock worthy examining for income investors.
Union Pacific keeps chugging along
Investors new to Union Pacific should note that the company is pursuing a merger with rival Norfolk Southern (NYSE: NSC). Since that deal was announced in July 2025, there's been speculation that federal regulators may bow to bipartisan political pressure and apply significant scrutiny to the deal. On the other hand, it's believed the current makeup of the Federal Trade Commission (FTC) is conducive to large-scale mergers and acquisitions, so it's possible this railroad marriage happens.
For Union Pacific shareholders, the good news is that the company is arguably in a win-win position. The prevailing wisdom on Wall Street is that Union Pacific is just fine on a stand-alone basis. If the relationship with Norfolk Southern reaches the altar, the combined company would add $2.75 billion in earnings before interest, taxes, depreciation, and amortization (EBITDA) through new revenue and cost savings. Combined free cash flow could surge from $7.3 billion to $12 billion in 2029.
Those are compelling numbers, but again, Union Pacific can thrive on its own. It already is. This railroad operator has some of the best operating margins in the industry. Union Pacific is so margin-efficient that it has a sizable lead over rival BNSF on that metric, widely considered one of Warren Buffett's crown jewels.
As in any other industry, margins matter in the railroad space. An operator adept with margins, such as Union Pacific, gains pricing power, capital needed for reinvestment, and the ability to bolster its network. Each of those is valuable to investors who want to be engaged with railroad stocks for extended holding periods.
Pricing power and durable margins are often hallmarks of wide-moat companies, likely explaining some or most of Buffett's attraction to BNSF. Union Pacific has those advantages, too, and its moat is further supported by the fact that it's unlikely new competitors will emerge to threaten the six incumbent North American Class I railroad operators.
Dividend dependability
If there's one way transportation companies make names for themselves, it's by being dependable. The same is true of dividend stocks. Union Pacific has paid a dividend for 126 years without interruption, and it's on a 19-year streak of increasing that payout.
Remember, that's occurred without Norfolk Southern in the fold. If Union Pacific merges with its rival and delivers on the aforementioned free-cash-flow forecasts, the dividend increase streak could extend for years, rewarding investors seeking an above-average yield name to hold for a decade or longer.
Yes, market participants are right to apply scrutiny here, because operating a railroad is a capital-intensive business, as reflected by Union Pacific's $32 billion in debt at the end of last year. However, analysts view the leverage ratios as tolerable, while praising the company's free-cash-flow generation and overall balance sheet health.
Should you buy stock in Union Pacific right now?
Before you buy stock in Union Pacific, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Union Pacific wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $511,411!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,238,736!*
Now, it’s worth noting Stock Advisor’s total average return is 986% — a market-crushing outperformance compared to 199% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of April 21, 2026.
Todd Shriber has no position in any of the stocks mentioned. The Motley Fool recommends Union Pacific. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

1 High-Yield Dividend Stock to Buy and Hold for a Decade of Income

Norfolk Southern Corporation NSC is scheduled to report first-quarter 2026 results on April 24, before market open.
The Zacks Consensus Estimate for NSC’s first-quarter 2026 earnings has been revised downward 3.4% over the past 60 days to $2.57 per share. The consensus mark for earnings implies a 4.5% decline from the year-ago actuals. The Zacks Consensus Estimate for the company's first-quarter 2026 revenues is pegged at $2.99 billion, indicating a 0.1% fall year over year.
Norfolk Southern has an encouraging earnings surprise history. The company’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters (missed the mark in the remaining quarter), delivering an average beat of 4.78%.
Norfolk Southern Corporation Price and EPS Surprise
Let’s see how things have shaped up for Norfolk Southern this earnings season.
Factors Likely to Have Influenced NSC’s Q1 Performance
We expect NSC’s performance in the to-be-reported quarter to have been significantly impacted by softness in freight market demand and lower volumes. The Zacks Consensus Estimate for the Railway operating revenues from the intermodal segment is anticipated to have decreased 5.3% from the year-ago actuals.
Rising operating expenses, along with ongoing geopolitical tensions in the Middle East and supply-chain disruptions, are likely to have materially affected NSC’s performance in the March-end quarter.
On the contrary, shipment volumes for Norfolk Southern are likely to have been driven by e-commerce demand, thereby boosting the company’s top line. Service quality is being improved through NSC’s Precision Scheduled Railroading operating plan, ensuring efficient use of assets.
What Our Model Says About NSC
Our proven model does not predict an earnings beat for Norfolk this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
NSC has an Earnings ESP of -2.23% and a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Highlights of NSC’s Q4 Results
Norfolk Southern’s fourth-quarter 2025 earnings (excluding 35 cents from non-recurring items) of $3.22 per share beat the Zacks Consensus Estimate of $2.78 and increased 5.9% year over year.
Railway operating revenues were $2.97 billion in the quarter under review, lagging the Zacks Consensus Estimate of $3.00 billion. The top line fell 1.6% year over year, reflecting a 4% decline in volume. Total revenues per unit rose 2% year over year.
Stocks to Consider
Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Landstar LSTR has an Earnings ESP of +2.43% and a Zacks Rank #3 at present and is scheduled to report first-quarter 2026 results on April 28, after market close.
The Zacks Consensus Estimate for first-quarter earnings has remained unchanged at $1.10 per share over the past 60 days. LSTR has a discouraging earnings surprise history, as its earnings beat the Zacks Consensus Estimate in two of the preceding four quarters and missed twice in the remaining, delivering an average miss of 0.39%.
Expeditors EXPD has an Earnings ESP of +1.25% and a Zacks Rank #3 at present and is scheduled to report first-quarter 2026 results on May 5.
The Zacks Consensus Estimate for first-quarter earnings has been revised upwards by 0.76% to $1.33 per share over the past 60 days. EXPD has an encouraging earnings surprise history as its earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, with an average beat of 10.1%.
#1 Semiconductor Stock to Buy (Not NVDA)
The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.
One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.
See This Stock Now for Free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Norfolk Southern Corporation

Trend

Trend Class

Trend Power

Pattern

EMA

EMA-20

EMA-50

EMA-100

EMA-20

EMA-50

EMA-100

Oscillators

Stochastic

RSI

MACD

Candle pattern type