Add a New Bulls Reason
Company: Kansas City Southern (KSU)
Current price:
Headline: (100 character max)
Analysis:
Cancel
91%
agree
12 votes

  Owns one of the most important pieces of track in the South

Top Contributor: Matt Mueller | Created when NYSE:KSU was $34.62 | Edit | History

The Kansas City Southern owns one of the most important pieces of track in the South. The Meridian Bypass from Meridian, Mississippi to Dallas, Texas is a hurricane proof link from the Atlanta hubs of the CSX and Norfolk Southern railroads to connections with the Union Pacific and Burlington Northern/ Santa Fe.

Whan Katrina struck the Gulf Coast it stopped all traffic between Mobile and New Orleans. The Bypass was able to take its place.

Even in good weather, the Huey Long bridge across the Big Muddy is a transportation bottleneck that adds a day or more to through trains.

With the completion of double tracking of the Bypass and installation of Centalized Train Control, traffic capacity will more than double.

(100 character max) Cancel
66%
agree
3 votes

  Invested heavily in increasingly important port

Top Contributor: Tom Shohfi | Created when NYSE:KSU was $38.30 | Edit | History

KCS has heavily invested in the deepwater Mexican port of Lazaro Cardenas. With most Pacific North American Ports at or near capacity, KCS's position at this new intermodal transport hub could reap significant benefits in the coming years.

(100 character max) Cancel
0%
agree
1 votes

  Continued Cost Improvements Have Expanded Margins

Top Contributor: Tom Shohfi | Created when NYSE:KSU was $47.00 | Edit | History

EBIT Margin has increased significantly over the past three years through continued cost cutting initiatives. Management has delivered on its goal of reducing operating ratio (inverse of operating margin) below 80% and will see further benefit as revenue increases.

EBIT Margins 2005 - 4.6% 2006 - 18.3% 2007 - 20.8% 2008 - 21.0% (LTM)

(100 character max) Cancel
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki