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StockNews.com
StockNews.com
Business
Sweta Vijayan

Union Pacific vs. Norfolk Southern: Which Railroad Stock is a Better Buy?

Union Pacific Corporation (UNP) in Omaha, Neb., and Norfolk Southern Corporation (NSC) in Atlanta, Ga., are two prominent players in the railroad industry. UNP hauls agricultural, automotive, and chemical products and offers long-haul routes from all major West Coast and Gulf Coast ports to eastern gateways connected with Canada’s rail systems and serves the major gateways to Mexico. As of Dec. 31, 2021, its rail network included 32,452 route miles. In comparison, NSC transports raw materials, intermediate products, and finished goods primarily in the Southeast, East, and Midwest and, via interchange with rail carriers, to and from the rest of the United States. It also transports overseas freight through various Atlantic and Gulf Coast ports. As of Dec. 31, 2021, the company operated approximately 19,300 route miles.

Rising economic and industrial activities have enabled the railroad industry to rebound from pandemic lows. But rail traffic fluctuated due to the resurgence of COVID-19 cases last year.

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