10 Best Railroad Stocks to Buy According to Analysts

8. Norfolk Southern Corporation (NYSE:NSC)

Stock Upside: 8.13%

Number of Hedge Fund Holders: 81

Norfolk Southern Corporation (NYSE:NSC) is one of the best railroad stocks to buy according to analysts. On March 17, Norfolk Southern Corporation (NYSE:NSC) presented at the JPMorgan Industrials Conference 2026. Company President and CEO Mark George and Executive Vice President and CFO Jason Zampi took the opportunity to detail the company’s Q1 performance, winter storm recovery, and strategic initiatives including the potential Union Pacific merger.

According to the presentation, the company had a strong start to the year in January. The company reported “satisfactory” volumes before being significantly impacted by three successive winter storms and deep freezes in February. Despite the severe weather disruption, Norfolk Southern was resilient enough to return to normal operations in March, the executives said. Specifically, the CEO expressed optimism about the company’s recovery trajectory.

The CEO also highlighted the potential merger with Union Pacific as a strategic opportunity. If completed, the merger will create a seamless single-line service that would enhance competitiveness and enable transcontinental railroad capabilities, George stated.

He added that technological investments remain a priority. In this regard, the company is continuing to modernize its locomotive fleet; for instance, over 70% now feature AC technology. They are also exploring artificial-intelligence applications to optimize train plans and improve decision-making processes across operations.

The executives also noted that the company implemented a new commercial organization structure. It features specialized sales teams designed to better serve customer segments and drive top-line growth through more focused market approaches. At the same time, the CEO revealed a new partnership with Warrior Met Coal, which is expected to generate roughly 6 million tons of annual volume.

Norfolk Southern Corporation (NYSE:NSC) is a US freight rail company. It operates approximately 19,100 route miles across 22 states and the District of Columbia, and transports products such as coal, chemicals, agricultural goods, metals, and automotive parts.