Tariffs Are Weighing Down the Transportation Industry, but This Dividend-Paying Value Stock Is Built to Last

The transportation industry moves goods, freight, and people -- consisting of package delivery companies like FedEx and United Parcel Service, logistics and freight companies, long-haul trucking, railroads, airlines, and more.The industry can be a good barometer for economic growth. When the economy is booming, the movement of goods can increase, and folks may be more willing to travel. But when the economy is contracting, consumption can slow -- impacting volumes.Union Pacific (NYSE: UNP) is one of the largest railroads in North America -- dominating railroad shipping lines west of the Mississippi River. But Union Pacific also connects to Canada's rail systems and serves all six major Mexico gateways. Union Pacific could be vulnerable to tariffs between the U.S. and its North American neighbors, but that doesn't mean that tariffs would derail its investment thesis.Continue reading

Apr 3, 2025 - 10:51
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Tariffs Are Weighing Down the Transportation Industry, but This Dividend-Paying Value Stock Is Built to Last

The transportation industry moves goods, freight, and people -- consisting of package delivery companies like FedEx and United Parcel Service, logistics and freight companies, long-haul trucking, railroads, airlines, and more.

The industry can be a good barometer for economic growth. When the economy is booming, the movement of goods can increase, and folks may be more willing to travel. But when the economy is contracting, consumption can slow -- impacting volumes.

Union Pacific (NYSE: UNP) is one of the largest railroads in North America -- dominating railroad shipping lines west of the Mississippi River. But Union Pacific also connects to Canada's rail systems and serves all six major Mexico gateways. Union Pacific could be vulnerable to tariffs between the U.S. and its North American neighbors, but that doesn't mean that tariffs would derail its investment thesis.

Continue reading