Investment Thesis
Norfolk Southern operates a Class I railroad with strong East Coast intermodal and merchandise franchises. Network resiliency improvements post-East Palestine and investments in service reliability drive volume and pricing gains.
- Intermodal Density: Access to major ports and inland hubs supports e-commerce imports.
- Merchandise Mix: Chemicals, industrials, and automotive provide diversified carload exposure.
- Precision Scheduled Railroading: Operating model upgrades improve service metrics and cost per unit.