Prologis Outshines Union Pacific in Supply Chain Race

Prologis and Union Pacific have experienced recent price setbacks, presenting buying opportunities for long-term investors. Prologis focuses on new warehouse builds, giving it an advantage over Union Pacific’s legacy rails. Both companies benefit from e-commerce growth, but Prologis may offer a stronger case for investors looking for income and long-term growth.

Prologis, a real estate investment trust, dominates the market with a vast warehouse footprint strategically located near major metro areas and highways. The company signed significant new leases and initiated substantial new developments in Q1 2025, showcasing its strong position in the market. Prologis is well-positioned to benefit from the growing demand for warehouse space driven by e-commerce expansion.

Union Pacific operates a vast network of tracks, primarily hauling freight like coal, grain, and cars. The company’s growth potential is limited compared to Prologis due to its focus on maintaining existing infrastructure rather than expanding into new markets. Union Pacific’s operational efficiency and solid fundamentals make it an attractive investment option despite its growth constraints.

In the comparison between Prologis and Union Pacific, Prologis emerges as the more promising investment opportunity due to its focus on expanding warehouse space and strong positioning in the e-commerce market. Prologis also offers a higher dividend yield compared to Union Pacific, making it an appealing choice for investors seeking both income and growth potential.

Read more at Nasdaq: Prologis vs. Union Pacific: Which Supply Chain Giant Has More Room to Run?