S&P Capital IQ Reiterates HOLD Rating on Kansas City Southern

October 24 00:00 2011

New York, October 24 (RainbowNewsLine.com) – Analyst Kevin Kirkeby of S&P Capital IQ maintains his HOLD recommendation on the shares of Kansas City Southern (NYSE:KSU), while raising his estimates for the company. The target price is set to $63.

Analyst Kevin Kirkeby, in a research report published on October 22, mentions that the company reported its Q3 results ahead of the estimates. The company’s volumes grow 13%, given its strength in autos and intermodal segments, and an increase in average length of haul, the analyst says. Despite the recession fears, the company has the potential to grow its revenues higher than many of its peers, the analyst adds. The EPS estimate for 2011 has been raised from $2.72 to $2.81.