For those investors who believe the ride is not over in this economic cycle, placing one’s faith (and therefore hard-earned money) on a company like Canadian National Railway Company (TSX:CNR)(NYSE:CNR) could turn out to be a great long-term investment, given recent developments with this company which have enticed me to keep my eyes on this stock in the past few days.
As most investors know, CNR has experienced a strike which has resulted in a dip in the company’s stock price of 6% since November, a dip which is enticing to those wishing to bolster a position in the Canadian large cap company, or start a new position altogether.
The company has been growing its dividend nicely in recent years, now holding a yield of nearly 2%. One only needs to take a look at this company’s stock price chart over the past 30 years to see how great of an investment CNR has turned out to be, and the fundamentals behind this railroad operator remain robust.
I would encourage value investors and long-term, buy-and-hold types to consider buying on any dips, as I view CNR as one of those “forever” stocks that largely reflect broad North American economic performance.
If you’re like Warren Buffett and believe that the best is yet to come with respect to the North American economy, investing in a railroad is one surefire way to gain exposure to future growth, along with a decent growing dividend over time.
Invest wisely, my friends.