SCCM Enhanced Equity Portfolio Exited Norfolk Southern (NSC) Following Acquisition Announcement

2 days ago 11

Soumya Eswaran

Mon, March 2, 2026 astatine 9:00 AM CST 3 min read

Cullen Capital Management, LLC, operating nether the name Schafer Cullen Capital Management, Inc. (SCCM), has released its “SCCM Enhanced Equity Income Fund” fourth-quarter capitalist letter. A transcript of the missive tin beryllium downloaded here. In the 4th quarter, the US equity marketplace continued to rally, mostly fueled by enthusiasm for artificial intelligence. The Enhanced Equity Income Strategy returned 2.0% (net) for the 4th fourth and 7.5% (net) for the year, compared to 6.5% and 8.9% from its superior benchmark, the S&P 500 Buy/Write Index, and 1.4% and 8.7% for its secondary benchmark, the SPDR Barclays High Yield Bond ETF (JNK), respectively. The Strategy's full instrumentality was importantly affected by investors' disregard for high-dividend and low-volatility factors, arsenic good arsenic an equity marketplace that failed to grow crossed sectors. The Strategy anticipates a affirmative economical outlook for 2026, driven by the Federal Reserve's interest-rate cuts, taxation reductions, capital-expenditure bonus depreciation (OBBBA), and imaginable little tariffs, each contributing to growth. In addition, delight cheque the Strategy’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, SCCM Enhanced Equity Income Fund highlighted stocks similar Norfolk Southern Corporation (NYSE:NSC). Norfolk Southern Corporation (NYSE:NSC) is simply a proscription institution that specializes successful obstruction proscription of earthy materials, intermediate products, and finished goods. On February 27, 2026, Norfolk Southern Corporation (NYSE:NSC) banal closed astatine $314.74 per share. One-month instrumentality of Norfolk Southern Corporation (NYSE:NSC) was 7.97%, and its shares gained 28.39% implicit the past 52 weeks. Norfolk Southern Corporation (NYSE:NSC) has a marketplace capitalization of $70.682 billion.

SCCM Enhanced Equity Income Fund stated the pursuing regarding Norfolk Southern Corporation (NYSE:NSC) successful its 4th fourth 2025 capitalist letter:

"Norfolk Southern Corporation (NYSE:NSC) was sold successful the quarter. Shares of Norfolk Southern were purchased successful the strategy successful May of 2025 and truthful held for good little than a year. However, successful July, Union Pacific announced its acquisition of Norfolk Southern and the woody is expected to adjacent by aboriginal 2027. Shares of Norfolk Southern person appreciated importantly since our acquisition date, aided by the bid from Union Pacific but besides driven by beardown Merchandise gross arsenic good arsenic an improving operating ratio. At 22x net and a dividend output present nether 2%, we decided to merchantability the shares and bargain shares of Union Pacific, which trades astatine a little P/E and higher dividend yield."

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