CP Rail reports record revenue

Article Excerpt

CP recently lost out to CN Railway in its bid to take over U.S. railway Kansas City Southern. But CP showed strong discipline in not over-bidding—plus, it pocketed a $750 million U.S. break-up fee from Kansas City Southern after that firm accepted the rival offer. Meanwhile, CP Rail is still well positioned to keep prospering despite any COVID-19-related slowdowns or disruptions to its shipping markets. The stock is a buy. CANADIAN PACIFIC RAILWAY $92.57, is a buy. The company (Toronto symbol CP; shares outstanding: 666.8 million; Market cap: $62.1 billion; Rating: Above Average; Dividend yield: 0.8%) operates a 22,000-kilometre rail network between Montreal and Vancouver. It also links to rail hubs in the U.S. Midwest and Northeast. The company reported record revenue for the second quarter of 2021, as the re-opening of the economy led to higher shipments of coal, automotive products, metal, minerals and intermodal containers that travel by rail, ship and truck. In the three months ended June 30, 2021, CP’s…