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During his 2024 campaign, one of Donald Trump’s most prominent promises was to enforce sweeping tariffs on all imported goods, with particularly high levies on products from China. While some speculate he may ease his stance, Trump reaffirmed in a speech last week that “nothing will stop [him]” from following through on his commitments.

While tariffs could create challenges for many U.S. businesses, others stand to gain. I believe three stocks, in particular, could benefit significantly if Trump implements his tariff plans. Now that the tariff measures are kicking in, the key question is:

Which U.S. Companies Could Benefit?

1. CSX Corporation

Florida-based CSX (NASDAQ: CSX) is one of the largest rail transportation companies in the U.S., operating roughly 20,000 miles of track across 26 states east of the Mississippi River and parts of Canada.

Following Trump’s election victory, CSX shares surged as investors anticipated that the company could see direct advantages from the incoming administration’s trade policies. That expectation seems well-founded.

Though CSX acknowledged in its annual 10-K report that higher tariffs “could result in reduced import and export volumes,” about 40% of its intermodal revenue comes from international shipments. Despite this, CSX could still be well-positioned to benefit.

One reason is that many importers will likely “frontload” their shipments—rushing to bring in goods before tariffs take full effect. This short-term surge in inbound freight should provide a temporary boost to CSX’s business.

Moreover, the company’s revenue breakdown suggests that the impact of tariffs on its international intermodal segment may be minimal. Intermodal freight contributed only about 14% of CSX’s total revenue during the first three quarters of 2024, and international intermodal revenue accounted for just 5.5% of total revenue.

More importantly, CSX generates most of its revenue from domestic shipments. As companies seek U.S.-based suppliers to avoid tariffs, demand for domestic rail transport is likely to rise, further strengthening CSX’s business.

2. J.B. Hunt Transport Services

J.B. Hunt Transport Services (NASDAQ: JBHT), an Arkansas-based trucking and logistics company, is another likely winner. The company operates the largest drayage fleet in North America and has a major intermodal division. It also provides contract fleet services, third-party transport brokerage, and the most extensive final-mile delivery network in the U.S.

After Trump’s election victory, J.B. Hunt shares, along with other trucking stocks, saw a notable jump as investors speculated on the impact of trade policies.

Typically, what benefits rail transport companies like CSX also favors trucking companies such as J.B. Hunt. In the third quarter of 2024, intermodal transport accounted for half of J.B. Hunt’s total revenue. The company moves containers between railcars and distribution centers using its fleet of 18-wheelers.

If tariffs increase domestic shipping demand, intermodal volumes should rise, boosting J.B. Hunt’s earnings. Additionally, the company’s other segments could see higher shipment volumes as more goods are sourced and transported within the U.S.

3. Steel Dynamics

Steel Dynamics (NASDAQ: STLD) is one of the largest steel manufacturers and metal recyclers in the country, producing a range of steel products, selling recycled metals, and fabricating steel joists and decking materials.

Tariffs on Chinese steel, first introduced under Trump and later maintained by President Biden, have already benefited Steel Dynamics. However, in the third quarter of 2024, the company’s financial performance declined compared to the previous quarter due to lower steel prices and increased imports from non-Chinese suppliers.

Steel Dynamics, along with other domestic steelmakers, is awaiting decisions from the U.S. Department of Commerce and the International Trade Commission regarding potential anti-dumping duties on steel imports from multiple countries, including Brazil, Canada, and Vietnam. Regardless of the outcome, Trump’s proposed tariffs could provide additional protection to U.S. steel manufacturers.

Even without these trade policies, Steel Dynamics has a strong business model, consistently generating solid profits and free cash flow while gaining market share in a competitive industry. However, if tariffs expand, the company could see even greater benefits.