Topic: How To Invest

The Successful Investor Hotline – Friday, July 21, 2017

Article Excerpt

CANADIAN PACIFIC RAILWAY LTD., $203.28, Toronto symbol CP, ships freight over a 22,000-kilometre rail network between Montreal and Vancouver, with links to hubs in the U.S. Midwest and Northeast. In the three months ended June 30, 2017, CP’s revenue rose 13.3%, to $1.64 billion from $1.45 billion a year earlier. That beat the consensus forecast of $1.62 billion. Higher revenue from the shipment of oil, metals, minerals, potash, grain and coal helped offset declines in fertilizers (other than potash), forest products and automotive equipment. Earnings in the quarter jumped 46.3%, to $480 million from $328 million. Due to fewer shares outstanding, per-share earnings gained 52.1%, to $3.27 from $2.15. If you exclude unusual items, such as currency-exchange gains and an insurance settlement, CP earned $2.77 a share in the latest quarter. On that basis, the latest earnings beat the consensus estimate of $2.71. The company continues to boost its efficiency with new locomotives and train tracks, and software to optimize its trainloads and speeds…