These industry leaders are still strong buys

Article Excerpt

CANADIAN PACIFIC RAILWAY $259.25 (Toronto symbol CP; shares outstanding: 147.7 million; Market cap: $36.8 billion; TSINetwork Rating: Above Average; Dividend yield: 1.0%; www.cpr.ca) ships freight over a 22,000-kilometre rail network between Montreal and Vancouver, with links to hubs in the U.S. Midwest and Northeast. Following a brief strike, the company has settled with the union representing its conductors and electrical workers. Excluding one-time items—and despite the work stoppage—CP’s earnings in the three months ended June 30, 2018, rose 11.3%, to $453 million from $407 million a year earlier. Per-share earnings rose at the even faster rate of 14.1%, to $3.16 from $2.77, on fewer shares outstanding. In the quarter, revenue rose 6.5%, to $1.75 billion from $1.64 billion a year earlier. Most of the higher revenue came from shipping oil, metals, minerals, grain, potash and automotive products. That offset declines in coal and fertilizers. The company continues to boost its efficiency with new locomotives and train tracks, and software to optimize its trainloads and speeds…