Bombardier’s rail division wins new order

Article Excerpt

BOMBARDIER INC. (Toronto symbols BBD.A $1.96 and BBD.B $1.77; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.7 billion; Market cap: $3.0 billion; Price-to-sales ratio: 0.2; Dividend suspended in February 2015; TSINetwork Rating: Speculative; www.bombardier.com) has won a contract to supply the city of Gothenburg, Sweden with 40 streetcars. It expects to begin delivering these cars in early 2019. The company will build these vehicles as part of a joint venture with German manufacturer Vossloh Kiepe. Bombardier’s share of the contract is equal to $109 million U.S. Steady demand for passenger railcars helps offset cyclical demand for its aircraft. Bombardier is a hold. hold…