Citi analyst Ariel Rosa downgraded Union Pacific (UNP) to Neutral from Buy with a price target of $250, down from $270, following the company’s acquisition of Norfolk Southern (NSC). The firm sees the appeal of a transcontinental railroad, but believes the transaction is likely to face “fierce pushback.” Citi believes both stocks could trade sideways as investors contemplate the likelihood of regulatory approval and potential conditions that could be required.
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Read More on UNP:
- Norfolk Southern price target raised to $300 from $290 at Barclays
- M&A News: Norfolk Southern Stock (NSC) Derails after $85B Union Pacific Takeover
- Union Pacific Announces Merger with Norfolk Southern
- Norfolk Southern downgraded to In Line from Outperform at Evercore ISI
- Norfolk Southern downgraded to Sector Perform from Outperform at RBC Capital