Canadian National Railway (USA) (CNI), CSX Corporation (CSX): 3 Canadian Rail Companies to Have on Your Radar

The firm is not only at an advantage to its American counterparts due to its Canadian exposure, it is also at a future advantage because of its strategic positioning in the Eastern portion of its U.S. network. In fact, the company’s tracks stretch further than one of its large competitors, Norfolk Southern Corp. (NYSE:NSC). The track reaches to New England and Florida, which sets the company up nicely as the go-to source for future business.

Rail is a safe way to invest

Investing in rail companies is almost a surefire way to help recession-proof your portfolio. Rail firms are among the least likely to go out of business due to competition because it is next to impossible to attain the right-of-way if it is not already established. That makes these three rail operators in Canada secure in their position to cash in on major hauling in the years ahead, particularly due to increasing cargo demand throughout Canada.

The article 3 Canadian Rail Companies to Have on Your Radar originally appeared on Fool.com and is written by Phillip Woolgar.

Phillip Woolgar has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Phillip is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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