Brokerages Set Kansas City Southern (NYSE:KSU) Price Target at $266.57

Shares of Kansas City Southern (NYSE:KSU) have earned a consensus rating of “Hold” from the sixteen research firms that are covering the stock, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, seven have given a hold recommendation and six have issued a buy recommendation on the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $270.85.

KSU has been the topic of a number of research reports. Citigroup lowered Kansas City Southern from a “buy” rating to a “neutral” rating and raised their price target for the stock from $275.00 to $305.00 in a report on Tuesday, June 29th. Loop Capital lowered Kansas City Southern from a “buy” rating to a “hold” rating and set a $288.00 price target on the stock. in a report on Wednesday, September 1st. Raymond James lowered their price target on Kansas City Southern from $286.00 to $281.00 and set an “outperform” rating on the stock in a report on Thursday, July 15th. Barclays lowered Kansas City Southern from an “equal weight” rating to an “underweight” rating and raised their price target for the stock from $265.00 to $310.00 in a report on Friday, May 28th. Finally, TheStreet lowered Kansas City Southern from a “b” rating to a “c+” rating in a report on Monday, August 16th.

Shares of KSU stock traded down $5.75 during mid-day trading on Monday, hitting $271.71. 652,859 shares of the stock were exchanged, compared to its average volume of 1,133,494. The stock’s fifty day simple moving average is $279.79 and its two-hundred day simple moving average is $276.91. The stock has a market capitalization of $24.72 billion, a price-to-earnings ratio of 206.08 and a beta of 1.07. Kansas City Southern has a 12-month low of $171.82 and a 12-month high of $315.39. The company has a debt-to-equity ratio of 0.92, a quick ratio of 0.54 and a current ratio of 0.65.

Kansas City Southern (NYSE:KSU) last issued its quarterly earnings data on Thursday, July 15th. The transportation company reported $2.06 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.15 by ($0.09). Kansas City Southern had a return on equity of 16.17% and a net margin of 4.63%. The firm had revenue of $749.50 million for the quarter, compared to analysts’ expectations of $749.06 million. During the same period in the previous year, the business posted $1.16 EPS. The business’s revenue for the quarter was up 36.8% compared to the same quarter last year. On average, research analysts expect that Kansas City Southern will post 8.84 earnings per share for the current fiscal year.

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 6th. Investors of record on Monday, September 13th will be paid a $0.54 dividend. This represents a $2.16 annualized dividend and a yield of 0.79%. The ex-dividend date is Friday, September 10th. Kansas City Southern’s payout ratio is currently 31.03%.

Several hedge funds have recently made changes to their positions in the company. BlackRock Inc. grew its position in shares of Kansas City Southern by 3.2% in the second quarter. BlackRock Inc. now owns 7,637,777 shares of the transportation company’s stock valued at $2,164,318,000 after purchasing an additional 238,986 shares during the last quarter. Parnassus Investments CA grew its holdings in Kansas City Southern by 6.2% during the 1st quarter. Parnassus Investments CA now owns 2,458,528 shares of the transportation company’s stock valued at $648,855,000 after buying an additional 143,674 shares during the last quarter. Geode Capital Management LLC grew its holdings in Kansas City Southern by 3.1% during the 2nd quarter. Geode Capital Management LLC now owns 1,575,223 shares of the transportation company’s stock valued at $445,109,000 after buying an additional 46,787 shares during the last quarter. JPMorgan Chase & Co. increased its position in Kansas City Southern by 121.3% during the second quarter. JPMorgan Chase & Co. now owns 1,483,682 shares of the transportation company’s stock worth $420,430,000 after buying an additional 813,178 shares in the last quarter. Finally, Morgan Stanley raised its holdings in shares of Kansas City Southern by 141.1% in the first quarter. Morgan Stanley now owns 1,390,672 shares of the transportation company’s stock worth $367,025,000 after acquiring an additional 813,926 shares during the last quarter. Institutional investors and hedge funds own 80.71% of the company’s stock.

Kansas City Southern Company Profile

Kansas City Southern is a transportation holding company. It focuses on the growing north or south freight corridor connecting key commercial and industrial markets in the central United States with major industrial cities in Mexico. The firm also engages in the freight rail transportation business operating through a single coordinated rail network.

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Analyst Recommendations for Kansas City Southern (NYSE:KSU)

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