5 Best Logistics Stocks to Buy

4. Norfolk Southern Corporation (NYSE:NSC)

Number of Hedge Fund Holders: 51

Dollar Value of Hedge Fund Holdings: $1,863,012,000

Norfolk Southern Corporation (NYSE:NSC) is another Atlanta, Georgia-based company on our list of the 11 best logistics stocks. The company provides numerous logistics services that complement its core railroad operations.

Norfolk Southern Corporation (NYSE:NSC) has aggressively bought back its shares over the last year. The company repurchased shares worth around $3.4 billion in 2022 and $3.1 billion in 2021. Experts think Norfolk Southern Corporation (NYSE:NSC) stock has the potential to unlock significant upside for investors once it overcomes the legal challenges related to a February 2023 train derailment in East Palestine, Ohio.

The London Company shared its stance on Norfolk Southern Corporation (NYSE:NSC) in its Q1 2023 investor letter. Here’s what the firm said:

“Norfolk Southern Corporation (NYSE:NSC) – NSC was a significant underperformer this quarter reflecting weaker than expected quarterly earnings and news of a train derailment in Ohio. Fortunately, there were no fatalities related to the derailment, but there was environmental damage. Historically, the financial impact from train derailments have been relatively small and NSC’s insurance coverage could help cushion the blow. We believe NSC will emerge from this relatively unscathed, but will have to reinforce some of their network due to changes made from precision scheduled railroading efforts.”