New alliance for CPKC

Article Excerpt

CANADIAN PACIFIC KANSAS CITY LTD. $106.62 (Toronto symbol CP; shares o/s: 931.1 million; Market cap: $100.4 billion; Rating: Above Average; Dividend yield: 0.7%) took its current form on April 14, 2023, when Canadian Pacific Railway Ltd. completed its acquisition of U.S. railway Kansas City Southern (KCS). Meantime, the company has formed a new alliance with Americold Realty Trust, Inc. (New York symbol COLD), which operates 243 temperature-controlled warehouses in North America, Europe, Asia-Pacific and South America. Under this deal, Americold will locate its new warehouses next to CPKC’s rail network. That includes a new facility in Kansas City, Missouri, which will link up with CP’s new intermodal service connecting Chicago with points in Mexico. CPKC has more than doubled its fleet to around 2,000 refrigerated containers. That will let it carry more fresh and frozen produce, baked goods and other food products. CPKC remains a buy. buy. …