Union Pacific leads industrials this week, while Axon Enterprise trails

The Industrial Select Sector SPDR Fund ETF (XLI) has performed strongly, with a year-to-date increase of 15.80%, surpassing the S&P 500's gain of 12.96%.

Union Pacific led the weekly gains among industrial stocks with a 6.61% rise following Donald Trump's endorsement of its proposed acquisition of Norfolk Southern, which also saw a 4.86% increase.

Quanta Services and Westinghouse Air Brake Technologies both experienced significant price increases after receiving positive ratings and securing substantial contracts, while Northrop Grumman climbed 3.75% due to potential international contracts.

Axon Enterprise faced the largest decline with an 8.48% drop following its acquisition announcement, while United Airlines and Delta Air Lines also experienced notable losses.

Recommendation Rating: Strong Performance in Industrial Sector

The Industrial Select Sector SPDR Fund ETF (NYSEARCA:XLI) experienced a weekly increase of 0.90%. On a year-to-date basis, the fund has outperformed the wider market averages, achieving a 15.80% rise compared to the S&P 500's gain of 12.96%.

Top 5 Weekly Gainers

Union Pacific (NYSE:UNP): This stock led the weekly gains, soaring by 6.61% following endorsement from Donald Trump for its proposed $72 billion acquisition of competing railroad operator Norfolk Southern (NYSE:NSC).

Norfolk Southern (NYSE:NSC): In the wake of Union Pacific's announcement, Norfolk Southern saw its shares rise by 4.86%, securing its position as the second largest gainer among industrial stocks.

Quanta Services (NYSE:PWR): The stock climbed 4.34% after Jefferies upgraded it from Hold to Buy. This change reflects the company's potential to expand significantly in the data center market.

Westinghouse Air Brake Technologies (NYSE:WAB): The shares increased by 4.22% as Citi initiated coverage with a Buy rating. Analysts foresee increased demand from railroad operators. Additionally, Westinghouse secured a $4.2 billion multiyear agreement to provide locomotives and long-term maintenance services to Kazakhstan's state railway.

Northrop Grumman (NYSE:NOC): The stock rose by 3.75% after reports suggested the company could secure a contract worth €1.2 billion (approximately $1.41 billion) from Germany for equipping its Eurofighter jets.

Top 5 Weekly Losers

Axon Enterprise (NASDAQ:AXON): Axon suffered the most significant decline, with shares dropping 8.48% after announcing plans to acquire Prepared. Additionally, Piper Sandler initiated coverage with an Overweight rating.

United Airlines (NASDAQ:UAL): The airline's shares fell by 7.90% due to the FAA grounding its flights over an identified equipment and technology issue.

Generac Holdings (NYSE:GNRC): This stock decreased by 7.69%.

Builders FirstSource (NYSE:BLDR): The company saw a decline of 4.79%.

Delta Air Lines (NYSE:DAL): Delta's shares fell by 4.28% despite announcing a quarterly dividend of $0.1875 per share.

For investors looking to tap into the industrial sector, notable ETFs include (NYSEARCA:XLI), (VIS), (XAR), (EXI), (PSCI), (PRN), and (FIDU).