Norfolk Southern Corporation (NSC): Israel Englander Is Buying This Stock

Norfolk Southern Corporation (NYSE:NSC) is featured on the Israel Englander Stock Portfolio: Top 10 Stock Picks.

Although Israel Englander has maintained a long-term interest in Norfolk Southern Corporation (NYSE:NSC) for over a decade, this interest has translated into a massive buying spree in recent months. His fund first disclosed a stake in the company back in the fourth quarter of 2010. This position comprised 119,000 shares. By early 2017, this had been increased to 1.3 million shares. Thereafter, up until the last few months of 2025, this holding stayed below 1 million shares, barring one exception. Filings for the fourth quarter of 2025 show that the fund owns 4.1 million shares in the company, up 56% compared to filings for the previous quarter.

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Norfolk Southern Corporation (NYSE:NSC) is merging with Union Pacific. Analysts at firms like Baird have raised price targets to $315, citing potential synergies that could exceed $1 billion. Hedge funds view a combined network as a way to drastically reduce interchange costs and improve transload connectivity, particularly in high-growth markets like Atlanta and the Southeast. In February 2026, the company announced that its customers advanced over 60 industrial development projects in 2025. These projects represent $7.7 billion in private investment along Norfolk Southern’s routes. NSC is projected to achieve merchandise volume growth of 3% in 2026, outpacing the broader US Industrial Production estimates. Hedge funds see this as a sign that the company is successfully capturing market share from trucking.

While we acknowledge the risk and potential of NSC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NSC and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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