NSC vs UNP: Correlation
Norfolk Southern (NSC) and Union Pacific Corporation (UNP) show a strong relationship: their 3-year correlation of weekly returns is 0.77.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are NSC and UNP?
Across a 3-year window, the weekly returns of NSC and UNP correlate at 0.77, strong. The link has tightened recently: the 1-year correlation (0.96) runs above the 3-year figure (0.77). Stretching to 5 years gives 0.79, with an annualized covariance of 348.6 %².
In NSC's tracked universe of 32 assets, UNP sits right near the top at #1. The trailing year gives UNP the advantage: +30.0% versus +42.4%, a 12.4-point spread. On a rolling one-year basis the correlation drifted between 0.56 and 0.95, a moderate band.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
NSC vs UNP: side by side
| NSC (Norfolk Southern) | UNP (Union Pacific Corporation) | |
|---|---|---|
| 1-year return | +30.0% | +42.4% |
| 5-year return | +49.6% | +56.5% |
| Volatility (ann.) | 22.0% | 20.6% |
| Beta vs S&P 500 | 0.69 | 0.56 |
| Max drawdown (3Y) | -25.1% | -17.8% |
| Market cap | $78.1B | $182.8B |
| P/E (trailing) | 30.1 | 25.1 |
| Dividend yield | 1.53% | 1.78% |
| Sector / category | Industrials | Industrials |
Year-by-year returns
| Year | NSC | UNP |
|---|---|---|
| 2022 | -15.6% | -15.9% |
| 2023 | -1.6% | +21.6% |
| 2024 | +1.6% | -5.1% |
| 2025 | +25.6% | +3.9% |
| 2026 | +22.0% | +34.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are NSC and UNP good diversifiers for each other?
To a limited degree. At 0.77 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between NSC and UNP?
Using weekly returns as of 2026-08-27: 0.77 over 3 years, with 0.96 over the last year and 0.79 over 5 years.
Is UNP a good diversifier for NSC?
To a limited degree. At 0.77 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.77 mean?
On the −1 to +1 scale, 0.77 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/nsc-vs-unp.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/nsc-vs-unp/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: NSC correlations · UNP correlations
