|Bid||0.00 x 800|
|Ask||0.00 x 800|
|Day's Range||175.06 - 176.69|
|52 Week Range||116.90 - 176.69|
|PE Ratio (TTM)||8.80|
|Earnings Date||Oct 23, 2018 - Oct 29, 2018|
|Forward Dividend & Yield||3.20 (1.84%)|
|1y Target Est||175.19|
Kansas City Southern (KSU) has a forward dividend yield of 1.26% as of August 20. The average forward dividend yield for US Class I railroad companies is 1.43%, indicating that the smallest Class I railroad company has a relatively low yield. Western US major railroad company Union Pacific (UNP) has the highest metric of 1.97% among all Class I railroad companies.
Most major railroad companies (XTN) have raised their quarterly dividends per share in 2018. Lower taxes due to the Tax Cuts and Jobs Act along with relatively low capex levels this year have contributed to the dividend rises. Railroad stocks specifically benefited from the provision of deduction capex for tax calculation purposes in the year it was incurred.
Major Western US rail carrier Union Pacific (UNP) reported 2.0% YoY (year-over-year) carload volume growth in Week 32. The company carried ~98,200 railcars excluding intermodal units in the week compared to ~96,300 in the same week of 2017.
On August 16, Kansas City Southern (KSU), the United States’ smallest Class I railroad company, announced a quarterly cash dividend of $0.36 per share on its outstanding common stock. The company’s quarterly equity cash dividend is payable on October 3 to shareholders on record as of September 10.
On August 15, the AAR (Association of American Railroads) published the weekly traffic data for major North American rail carriers. The data pertained to Week 32, which ended on August 11. AAR divides the data into carload traffic and intermodal units, which are expressed in containers and truck trailers.
Shares of GATX Corporation (NYSE:GATX) have rallied 35.2% so far this year, handily outperforming its industry’s 6.2% growth. GATX performed impressively in the second quarter of 2018, reporting better-than-expected earnings per share and revenues. Apart from the outperformance, the company raised its outlook for 2018 earnings per share owing to improved market conditions.
In this article I am going to calculate the intrinsic value of Norfolk Southern Corporation (NYSE:NSC) by projecting its future cash flows and then discounting them to today’s value. ThisRead More...
In this updated daily bar chart of NSC, below, we can see that prices have leveled off this month. NSC is still above the rising 50-day moving average line but the daily On-Balance-Volume (OBV) line has been flat the last week suggesting a balance between bulls and bears. This weekly bar chart of NSC, below, does not show any weakness.
Previously, we discuss Berkshire Hathaway’s (BRK.B) BNSF (Burlington Northern Santa Fe) Coal segment’s performance. In this part, we’ll discuss the railroad’s operating margin performance in the second quarter.
Earlier, we reviewed Berkshire Hathaway’s (BRK.B) BNSF (Burlington Northern Santa Fe) Agricultural Products segment. In this part, we’ll discuss how the Coal segment performed. In the second quarter, BNSF’s coal revenues were $911.0 million—down 0.1% from $912.0 million in the second quarter in 2017.
In the previous part, we discussed Berkshire Hathaway’s (BRK.B) BNSF (Burlington Northern Santa Fe) Industrial Products segment. In this part, we’ll analyze the railroad’s Agricultural Products segment. In the second quarter, the segment’s revenues grew 10% YoY (year-over-year) to $1.1 billion from $1.0 billion. However, the segment’s share in total freight revenues declined 0.4% to 20.1% from 20.5% in the second quarter of 2017.
In the previous part, we analyzed Berkshire Hathaway’s (BRK.B) BNSF (Burlington Northern Santa Fe) revenues. In this part, we’ll discuss the Consumer Products segment. In the second quarter, the Consumer Products segment’s revenues increased $237.0 million or 13.6% to $1.9 billion from $1.7 billion in the second quarter of 2017.
Berkshire Hathaway’s (BRK.B) BNSF (Burlington Northern Santa Fe) railroad operations are reported in four segments—Industrial Products, Consumer Products, Agricultural Products, and Coal. In the second quarter, BNSF’s total revenues were $5.8 billion—up 12% YoY (year-over-year) from $5.2 billion in the second quarter of 2017. Excluding non-rail logistics and accessorial revenues of $324.0 million, BNSF’s total freight revenues were $5.5 billion—up 11.1% YoY from $5.0 billion in the second quarter of 2017.
Berkshire Hathaway’s (BRK.B) privately owned BNSF (Burlington Northern Santa Fe) is the largest Class I railroad in the United States. On August 7, BNSF filed a 10Q with the SEC for the quarter ending on June 30. BNSF operates the largest rail network in North America through its wholly owned subsidiary—BNSF Railway Company.
SkyWest (SKYW) posts a decline in July block hours, in line with its fleet transition plans. Rise in the key metric, load factor, is another positive.
Norfolk Southern (NSC) is seeing solid earnings estimate revision activity and is a great company from a Zacks Industry Rank perspective.
In this part of the series, we’ll be looking at Expeditors International of Washington’s (EXPD) Ocean Freight and Ocean Services segment. The segment’s gross revenue rose 0.3% YoY (year-over-year) to $530 million in the second quarter. Its net revenue expanded 1.5% YoY to $144.8 million in Q2 2018 from $142.6 million in Q2 2017.
Canadian Pacific Railway (CP) reported 5.7% YoY (year-over-year) growth in carload traffic. The railroad hauled ~31,900 railcars excluding intermodal units in Week 30, compared to ~30,200 units in the comparable period of 2017.
Of the 28 analysts covering Union Pacific (UNP) stock, 15 have recommended “buys,” 12 have recommended “holds,” and one has recommended a “sell.” Analysts’ target price of $155.84 is ~4% higher than UNP’s August 7 closing price of $149.88. Its business reorganization could increase its operating costs in the short term, but analysts expect it to expand its operating margin in the long term.
Genesee & Wyoming (GWR), North America’s largest shortline operator, is known for its acquisition appetite in the railroad industry. Over the years, the company has grown as a result of numerous acquisitions. In the last five years, GWR has spent over $2.0 billion on acquisitions.
Eastern US railroad giant CSX Corporation (CSX) reported 6.1% YoY (year-over-year) carload traffic growth in Week 30. The railroad’s intermodal gains were lower than carload traffic growth in the week. CSX moved ~71,000 railcars excluding intermodal compared to ~66,900 railcars in the previous year.