Thursday, January 21, 2016

Time to Buy Union Pacific Stock?

It's been a tough year for railroad stocks, and an even tougher fourth quarter. The transportation sector, represented by the SPDR S&P Transportation ETF, has been aggressively sold, and railroad companies such as Union Pacific Corporation (NYSE:UNP) and CSX Corp. (NASDAQ:CSX) have borne the brunt of it. Pressure from falling coal volumes and lower oil production along with weaker demand for soft commodities and faltering U.S. industrial production have hit the sector hard. That said, is there a case for buying Union Pacific in 2016?
^SPX Chart

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