NEW YORK (TheStreet) -- Shares of Norfolk Southern(NCS) - Get Report are gaining 1.01% to $86.92 in early afternoon trading on Thursday.

The Norfolk, VA-based holding company is engaged in the rail transportation business.

TheStreet'sChris Versace and Bob Lang of Trifecta Stocks have identified Norfolk Southern as the "Chart of the Day." Here is what Versace and Lang had to say about the stock:

Rails have made a nice resurgence of late, and M&A has been swirling around Norfolk Southern, the stock reached higher in April following a good quarter and chatter.

Last month saw a bit of a pullback with the stock and now it has been making a series of tiny higher lows, and trying to exceed the June high around $87.

Image placeholder title

It seems that price has capped the stock, and the momentum indicator shows that to be true as well.

But once above the channel, we could see this stock move back toward the old highs. The stock is one of the strongest rails.

- Chris Versace and Bob Lang "Chart of the Day: Norfolk Southern" originally published on 6/23/16 on Trifecta Stocks.

Want more like this from Chris Versace and Bob Lang BEFORE your stock moves? Learn more about Trifecta Stocks now here.

Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on the stock.

The company's strengths can be seen in multiple areas, such as its increase in net income, good cash flow from operations, expanding profit margins, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures.

The team believes its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.

You can view the full analysis from the report here: NSC