Topic: How To Invest

The Successful Investor Hotline – Friday, January 13, 2023

Article Excerpt

CANADIAN PACIFIC RAILWAY LTD., $105.96, Toronto symbol CP, is your #1 Conservative Buy for 2023. CP ships freight over a 23,700-kilometre rail network, mainly between Montreal and Vancouver. It also links to hubs in the U.S. Midwest and Northeast. This is the fifth year in a row we’ve picked CP as our #1 Conservative stock. The company continues to benefit as the economy rebounded from the COVID-19 shutdowns. In fact, it hit a new all-time high of $111.43 in early December 2022. We expect CP’s upcoming merger with U.S.-based railway Kansas City Southern will push the stock higher in 2023 and beyond. KCS operates a rail network of roughly 11,400 kilometres extending from the U.S. Midwest and Southeast into Mexico. CP investors now own 72% of the merged company, with KCS shareholders holding the remaining 28%. The company has deposited the KCS shares into an independent voting trust, which will continue to run that business while the U.S. Surface Transportation Board (STB) studies the purchase. CP…