(BRK.A), (BRK.B)
BNSF Railway has been having a tough year, with overall carloads and intermodal down 8.38 percent from 2019 levels, but there is some very good news. Intermodal shipments, which is one of BNSF strengths, are up a whopping 12.3 percent in the fourth quarter as compared to 2019.
Rail intermodal, which moves shipping containers and truck trailers by rail, has been reaching record levels, and BNSF is the largest intermodal railroad, transporting over a million more intermodal loads annually than its competitors.
Back in July, BNSF noted that the rise in intermodal volume was primarily driven by e-commerce business.
A single train can take upwards of 400 tractor trailers off of highways, saving energy and reducing traffic congestion.
This video shows the scale of BNSF’s intermodal trains.
© 2020 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.