#2 - Union Pacific (NYSE:UNP)
Next on our list of railroad stocks is Union Pacific (NYSE:UNP). The railroad is to the west coast, and CVX is to the east coast. That is, a dominant player. In this case, Union Pacific posted revenue of nearly $22 billion in 2021. And in the first two quarters of 2022, the company is on pace to beat that number.
One catalyst for this growth is the railroad’s shift to a precision scheduled railroading (PSR) system. The goal of a PSR system is to increase locomotive productivity. CVX has already largely moved to this system.
Union Pacific also pays an attractive dividend that currently pays out $5.20 per share annually. It’s also increased the dividend in each of the last 15 years. And for those that care about such things, UNP is a Warren Buffett stock.
About Union Pacific
Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, renewable biofuel producers, and other agricultural users; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, petroleum, liquid petroleum gases, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers.
Read More - Current Price
- $242.39
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 12 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $259.80 (7.2% Upside)
