Citigroup Inc. Reaffirms Buy Rating for Kansas City Southern (KSU)
Citigroup Inc. reissued their buy rating on shares of Kansas City Southern (NYSE:KSU) in a research note published on Wednesday. The firm currently has a $123.00 price target on the transportation company’s stock, up from their previous price target of $116.00.
A number of other brokerages have also issued reports on KSU. BidaskClub lowered Kansas City Southern from a strong-buy rating to a buy rating in a research note on Thursday, June 22nd. Credit Suisse Group upgraded Kansas City Southern from a neutral rating to an outperform rating and raised their target price for the stock from $90.00 to $116.00 in a research note on Friday, June 16th. Zacks Investment Research upgraded Kansas City Southern from a hold rating to a buy rating and set a $118.00 target price for the company in a research note on Thursday, August 24th. Cowen and Company restated a hold rating on shares of Kansas City Southern in a research note on Friday, August 25th. Finally, Stifel Nicolaus restated a buy rating and issued a $108.00 target price on shares of Kansas City Southern in a research note on Friday, June 30th. Eleven research analysts have rated the stock with a hold rating, eight have issued a buy rating and one has assigned a strong buy rating to the company. The stock has an average rating of Buy and an average target price of $107.60.
Kansas City Southern (KSU) traded down 3.42% during mid-day trading on Wednesday, reaching $103.74. The company had a trading volume of 2,136,739 shares. The firm has a market capitalization of $10.94 billion, a PE ratio of 20.88 and a beta of 0.81. Kansas City Southern has a 52 week low of $79.05 and a 52 week high of $109.13. The stock’s 50-day moving average price is $105.92 and its 200 day moving average price is $98.59.
Kansas City Southern (NYSE:KSU) last issued its earnings results on Friday, July 21st. The transportation company reported $1.33 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $1.26 by $0.07. The company had revenue of $656.40 million during the quarter, compared to analyst estimates of $627.81 million. Kansas City Southern had a return on equity of 11.40% and a net margin of 21.52%. The firm’s quarterly revenue was up 15.5% on a year-over-year basis. During the same quarter last year, the business posted $1.22 EPS. On average, equities research analysts predict that Kansas City Southern will post $5.20 EPS for the current year.
ILLEGAL ACTIVITY WARNING: This report was first reported by Watch List News and is the property of of Watch List News. If you are viewing this report on another domain, it was copied illegally and reposted in violation of U.S. & international copyright law. The correct version of this report can be accessed at https://www.watchlistnews.com/citigroup-inc-reaffirms-buy-rating-for-kansas-city-southern-ksu/1615973.html.
Kansas City Southern declared that its Board of Directors has authorized a stock buyback plan on Tuesday, August 15th that allows the company to repurchase $800.00 million in shares. This repurchase authorization allows the transportation company to reacquire up to 7.1% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.
The firm also recently declared a quarterly dividend, which was paid on Wednesday, October 4th. Investors of record on Monday, September 11th were paid a $0.36 dividend. This represents a $1.44 annualized dividend and a dividend yield of 1.39%. The ex-dividend date was Friday, September 8th. This is a positive change from Kansas City Southern’s previous quarterly dividend of $0.33. Kansas City Southern’s payout ratio is currently 28.92%.
In other Kansas City Southern news, Director Henry J. Maier purchased 3,000 shares of the business’s stock in a transaction that occurred on Thursday, August 17th. The stock was purchased at an average price of $106.19 per share, for a total transaction of $318,570.00. Following the purchase, the director now directly owns 4,159 shares in the company, valued at $441,644.21. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Antonio O. Garza sold 4,018 shares of Kansas City Southern stock in a transaction dated Tuesday, August 22nd. The shares were sold at an average price of $107.94, for a total value of $433,702.92. Following the completion of the transaction, the director now owns 4,920 shares of the company’s stock, valued at approximately $531,064.80. The disclosure for this sale can be found here. In the last 90 days, insiders sold 14,469 shares of company stock valued at $1,522,510. 0.95% of the stock is owned by company insiders.
Several institutional investors have recently made changes to their positions in KSU. UBS Asset Management Americas Inc. increased its stake in shares of Kansas City Southern by 10.0% in the 1st quarter. UBS Asset Management Americas Inc. now owns 277,259 shares of the transportation company’s stock valued at $23,778,000 after purchasing an additional 25,172 shares in the last quarter. Envestnet Asset Management Inc. increased its stake in shares of Kansas City Southern by 2.4% in the 1st quarter. Envestnet Asset Management Inc. now owns 2,250 shares of the transportation company’s stock valued at $194,000 after purchasing an additional 52 shares in the last quarter. Pacer Advisors Inc. increased its stake in shares of Kansas City Southern by 3.1% in the 1st quarter. Pacer Advisors Inc. now owns 2,202 shares of the transportation company’s stock valued at $189,000 after purchasing an additional 66 shares in the last quarter. Victory Capital Management Inc. increased its stake in shares of Kansas City Southern by 35.8% in the 1st quarter. Victory Capital Management Inc. now owns 14,603 shares of the transportation company’s stock valued at $1,252,000 after purchasing an additional 3,848 shares in the last quarter. Finally, Alliancebernstein L.P. increased its stake in shares of Kansas City Southern by 7.2% in the 1st quarter. Alliancebernstein L.P. now owns 220,070 shares of the transportation company’s stock valued at $18,873,000 after purchasing an additional 14,846 shares in the last quarter. Hedge funds and other institutional investors own 84.59% of the company’s stock.
About Kansas City Southern
Kansas City Southern (KCS) is a holding company. The Company has domestic and international rail operations in North America that are focused on the north/south freight corridor connecting commercial and industrial markets in the central United States with industrial cities in Mexico. The Company’s subsidiaries include The Kansas City Southern Railway Company (KCSR) and Kansas City Southern de Mexico, SA de C.V.
Receive News & Ratings for Kansas City Southern Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Kansas City Southern and related companies with Analyst Ratings Network's FREE daily email newsletter.