Operating Efficiency Puts Railroad Stocks Back on Track

Slowing industrial activity caused by the protracted U.S.-China trade dispute has ravaged railroad companies’ freight volumes in 2019. While stocks in the segment mostly shrugged off falling carload figures in the first half of the year to provide comparable returns to the broader market, over the past three months, the group has fallen 2.08% compared to the S&P 500’s gain of nearly 1%.

Washington and Beijing made some…