7 Transportation Stocks Pulling Strong

The companies moving you (and your stuff) from place to place are outpacing the market.

The economy may be limping along, but it's full steam ahead for transportation-related stocks. Over the past year, the Dow Jones transportation average, which includes airlines, railroads, and trucking and shipping firms, has gained 22%, six percentage points more than the Dow Jones industrial average.

Transportation companies tend to be sensitive to the ups and downs of the economy. So despite tepid growth in gross domestic product, the rally could mean that the economy is set to soar. A big question hanging over transit-related stocks, however, is what impact federal budget cuts will have on the sector. With that in mind, here are some companies that move people and things and that could do well in a variety of environments because they have superior strategies, managers, niches or opportunities. (Note that our list goes beyond the names you find in the typical transportation index. If a company is involved in something that moves, we consider it fair game.)

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Kathleen Pender
Contributing Writer