Bernstein has a Positive Stance on Union Pacific Corporation (UNP)

Union Pacific Corporation (NYSE:UNP) is one of the best industrial stocks to buy. On November 20, Bernstein analyst David Vernon affirmed a Buy rating on Union Pacific, with a $290 price target.

Independent of the analyst action, a November 14 Reuters report revealed that 9 Republican state attorneys general drew attention to competition risks regarding Union Pacific's bid to acquire Norfolk Southern, a competitor despite its smaller operations, in an $85 billion transaction, which would ultimately result in America’s first coast-to-coast freight rail service.

Tennessee Attorney General Jonathan Skrmetti and Kansas Attorney General Kris Kobach led the team of officials who opposed the deal and wrote a letter to the Surface Transportation Board. In their letter, they stated that they were worried that this buyout "will result in undue market concentration that stifles competition and therefore creates higher prices, lower reliability, and less innovation at the expense of America’s manufacturers and, ultimately, America’s consumers."

The 9 opposing state attorneys general were also concerned about monopolistic pricing impacting American companies and their capacity to compete with foreign suppliers. They went as far as to mention that the merger could risk the industrial and agricultural sectors, as well as pose a danger to national security.

In response, Union Pacific said that it will present its case to the Surface Transportation Board to show how the combination benefits the nation, meets public interest standards, and improves competition. President Donald Trump gave the merger his verbal consent in a meeting with UNP’s CEO in September 2025.

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