10 Best Industrial Stocks to Buy According to Hedge Funds

03. Union Pacific Corporation (NYSE:UNP)

Number of Hedge Funds Holders: 87

Union Pacific Corporation (NYSE:UNP), through its subsidiary Union Pacific Railroad Company, operates as a major player in the U.S. railroad industry. The company provides transportation services for a wide range of products, including grain and grain products, fertilizers, food and refrigerated items, coal, and renewable resources. These services cater to various sectors such as grain processors, animal feeders, ethanol producers, and renewable biofuel producers. Additionally, Union Pacific Corporation (NYSE:UNP) transports construction materials, industrial chemicals, plastics, forest products, specialized items, metals, ores, petroleum, liquid petroleum gases, soda ash, sand, finished automobiles, automotive parts, and merchandise in intermodal containers.

On June 17, Union Pacific Corporation (NYSE:UNP) had its rating downgraded from Buy to Hold by Loop Capital, which also reduced the stock’s price target from $276 to $238. This downgrade is due to concerns about Union Pacific Corporation (NYSE:UNP) operational efficiency and cargo volumes, which are expected to remain weak in the near term. Loop Capital’s analyst highlighted that these issues are not fully accounted for in the current stock valuation, prompting the revised rating and price target. This adjustment signals a more cautious outlook for Union Pacific Corporation (NYSE:UNP) financial performance over the next year, potentially influencing investor decisions.

In the first quarter of 2024, the number of hedge funds with stakes in Union Pacific Corporation (NYSE:UNP) decreased to 87 from 90 in the previous quarter, according to Insider Monkey’s database. The combined value of these stakes is approximately $4.92 billion. Ken Fisher’s Fisher Asset Management emerged as the largest stakeholder among these hedge funds during this period.