Canadian National Railway Plans to Invest $475 Million in Quebec to Strengthen Capacity and Accelerate Growth

Canadian National Railway Company (NYSE:CNI) announced today a $475 million CAD investment in Quebec, reinforcing its strategic commitment to infrastructure resilience, customer service, and digital modernization. The investment will fund vital upgrades to CNI’s Taschereau railyard in Dorval (one of Eastern Canada’s most critical freight hubs) and several IT projects aimed at improving logistics efficiency and customer service across the entire network. This builds on the company’s already significant $633 million CAD infrastructure investment in Quebec in 2024.

Canadian National Railway Company (NYSE:CNI)'s intent of strengthening its Quebec infrastructure aligns well with the Canadian government's outlook on the region's growth — the region's real GDP growth is projected to accelerate to 1.4% in 2026 (vs. 1.1% in 2025), while the real exports growth is expected to accelerate to 2.0% in 2026 (vs. 1.3% in 2025). Quebec accounts for 19% of Canada's GDP and contains strategic Aerospace, Forestry, and Agriculture activities, which require efficient freight frameworks to boost efficiency and profitability.

With such large projects ahead, Canadian National Railway Company (NYSE:CNI) is well-positioned to accelerate its growth vs. the sluggish post-pandemic period. Management maintains optimistic 10% to 15% EPS growth guidance for the current fiscal year, while CNI stock outperforms the broad market year-to-date.

While we acknowledge the potential of CNI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk.  If you are looking for an AI stock that is more promising than CNI and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 12 Most Popular Stocks on Robinhood in 2025 and 11 Oversold Global Stocks to Buy According to Hedge Funds

Disclosure: None.