Updating ATCO Ltd., IGM Financial, and CP Rail

Article Excerpt

ATCO LTD. (Toronto symbols ACO.X [class I non-voting] $55 and ACO.Y [class II voting] $55; Income Portfolio, Utilities sector; Shares outstanding: 115.1 million; Market cap: $6.3 billion; Price-to-sales ratio: 1.4; Dividend yield: 1.6%; TSINetwork Rating: Above Average; www.atco.com) has won a contract to operate a new camp for 1,500 potash miners in Saskatchewan. It will supply catering, housekeeping and janitorial services until late 2016. ATCO did not say how much it will earn, but it did say that this is a multi-million-dollar deal. Meanwhile, ATCO earned $127 million, or $1.10 a share, in the first quarter of 2014, up 8.5% from $117 million, or $1.01, a year ago. Without unusual items, earnings fell 4.2%, partly because it sold its 50% stake in a South American joint venture for $124 million. Revenue rose 11.6%, to $1.2 billion from $1.1 billion, as severe winter weather increased demand for electricity and natural gas. The class I (X) non-voting shares are more liquid than the class…