10 Best Railroad Stocks To Buy According To Billionaires

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1. Canadian Pacific Kansas City Limited (NYSE:CP)

Number of Billionaire Investors: 15

Stake Value of Billionaire Holdings: $6,022,849,580

Canadian Pacific Kansas City Limited (NYSE:CP) operates a freight railway network across Canada, the United States, and Mexico. It transports a wide range of goods, from bulk commodities like grain and coal to consumer products and automotive goods. CP ranks first on our list of the best railroad stocks to buy.

On April 3, BMO Capital Markets maintained an Outperform rating on the stock with a price target of C$128. CP has shown strong financial performance with solid margins and revenue growth. The company also got a boost from the US, and despite economic uncertainty, BMO Capital remains confident in the company’s growth potential and long-term stability.

Canadian Pacific Kansas City Limited (NYSE:CP) raised $1.2 billion through two bond offerings, $600 million in 4.800% notes due 2030 and another $600 million in 5.200% notes due 2035. The deal closed on March 17, 2025, after meeting all customary conditions. CP used the proceeds to refinance existing debt and for general corporate purposes, with any remaining funds temporarily placed in short-term investments or bank deposits.

According to Insider Monkey’s Q4 database, 15 billionaire investors were bullish on Canadian Pacific Kansas City Limited (NYSE:CP), with combined stakes worth $6 billion. Billionaire Chris Hohn’s TCI Fund Management was the leading stakeholder of the company, with a position worth nearly $4 billion.

Overall, CP ranks first among the 10 Best Railroad Stocks To Buy According To Billionaires. While we acknowledge the potential of best railroad stocks, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CP but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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