5 Best Railroad Stocks to Invest in According to Billionaires

2. Union Pacific Corporation (NYSE:UNP)

Union Pacific Corporation (NYSE:UNP) is one of the Best Railroad Stocks to Invest In According to Billionaires. As of Q1 2026, 24 billionaires held the stock. On July 7, Union Pacific and Norfolk Southern told the Surface Transportation Board that they were willing to divest ownership stakes in smaller railroads as part of their proposed $85 billion merger. Reuters reported that the transaction would create the first U.S. coast-to-coast freight rail operator if approved.

The companies said they would not control the Terminal Railroad Association of St. Louis, the Kansas City Terminal Railway, or the TTX Company after the merger and would divest ownership interests if directed by regulators. For Union Pacific, the filing keeps attention on network structure, regulatory approval, and the potential to reduce interchange delays across key freight hubs. The risks remain real because shippers, state attorneys general, and rival railroads have raised concerns. Still, this filing is the most consequential fresh development around the stock.

Union Pacific Corporation (NYSE:UNP) operates a major freight railroad network across the western United States, serving agricultural, automotive, chemicals, energy, industrial, and intermodal markets.