KSU stock: buy or sell?
October 18th, 2019
Kansas City Southern, through its subsidiaries, provides domestic and international rail transportation services in North America.
Should I buy KSU stock?Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best moment to buy them. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
These 2 buy setups work for Kansas City Southern stock right now:
|New all-time high||Yes|
|New 52 week high||Yes|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Kansas City Southern stock a buy?
Banks and financial institutions publish stock ratings everyday.At Stocks2.com, we collected 15 ratings published for KSU stock in the last 30 days. The general sentiment of these ratings is bullish for KSU stock, with 8 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-7-22||Morgan Stanley||n/a||Equal Weight|
|2019-7-22||JPMorgan Chase & Co.||n/a||Neutral|
|2019-7-22||Credit Suisse Group||n/a||Outperform|
|2019-4-4||Barclays||Equal Weight||Equal Weight|
|2019-3-20||Bank of America||Buy||Buy|
|2019-1-7||Morgan Stanley||Equal Weight||Equal Weight|
|2019-1-7||Credit Suisse Group||n/a||Outperform|
KSU stock analysis
Kansas City Southern boosted 7.26% on October 18th and touched a new all time high at $145.82.
After marking all time highs on Oct/18, Kansas City Southern boosted 7.26% on October 18th to $145.25. Since price and SMA100d lines crossed up on August, KSU climbed $26.08 (21.88%).
Kansas City Southern closed this week at $145.25 after reaching a new all time high ($145.82) and climbed an amazing 8.80%.
Price pattern shows an uptrend with two rising tops and bottoms, and now finally trading above the $134.70 resistance. Late April, SMA20w and SMA40w crossed up triggering a rise of 16.85%. Since mid February when KSU stock price broke up the SMA40w line, it gained $43.95 (43.39%).
KSU stock price history
KSU IPO was on March 17th, 1980 at $0.00 per share1. Since then, KSU stock surged a inf%, with an average of inf% per year. If you had invested $1,000 in KSU stock in 1980, it would worth $inf today.
1: Adjusted price after possible price splits or reverse-splits.
KSU stock historical price chart
KSU stock reached all-time highs on October 18th with a price of $145.82.
KSU stock price target is $129.20How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. We detected 13 price targets for KSU stock released in the last month:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-7-8||Morgan Stanley||Set Price Target||n/a||$111.00||-|
|2019-7-22||Raymond James||Raises Target||$140.00||$141.00||0.7%|
|2019-7-22||Morgan Stanley||Raises Target||$111.00||$121.00||9%|
|2019-7-22||Loop Capital||Raises Target||n/a||$144.00||-|
|2019-7-22||JPMorgan Chase & Co.||Raises Target||$130.00||$136.00||4.6%|
|2019-7-22||Credit Suisse Group||Reiterates||$134.00||$140.00||4.5%|
|2019-3-20||Bank of America||Reiterates||$122.00||$127.00||4.1%|
|2019-1-7||Morgan Stanley||Raises Target||$112.00||$113.00||0.9%|
|2019-1-7||Credit Suisse Group||Reiterates||$126.00||$116.00||-7.9%|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter publishing its last earnings report on April, Kansas City Southern . As soon as we get its actual EPS from the earnings report, we will extend this review.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual revenues report draw a good growth of 5.08% to $2,714.00 M dollars. On the other hand, its income margin (compared to sales) collapsed to 23.12%, that is $627.40 million. Kansas City Southern fiscal year ends in December, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Kansas City Southern TTM sales up to March 2019 were $2,750.20 and income $585.70 M dollars. When comparing this TTM figures with the last reported annuality, we can esteem Kansas City Southern business evolution since December 2018: Annual sales up to March, compared to lastest yearly report, grew a tiny 1.33%. Instead, profit margin (net income/sales) depreciated at 23.12%.
|2013||$2,370 M||-||$351 M14.8%||-|
|2014||$2,577 M||8.74%||$503 M19.5%||43.03%|
|2015||$2,419 M||-6.14%||$484 M20.0%||-3.80%|
|2016||$2,334 M||-3.50%||$478 M20.5%||-1.12%|
|2017||$2,583 M||10.65%||$962 M37.2%||101.21%|
|2018||$2,714 M||5.08%||$627 M23.1%||-34.78%|
|TTM||$2,750 M||1.33%||$586 M21.3%||-6.65%|
Quarterly financial resultsKansas City Southern reported $674.80 million in sales for 2019-Q1, a -2.77% decline compared to previous quarter. Reported quarter income marked $102.80 million with a profit margin of 15.23%. Profit margin eased a -7.98% compared to previous quarter when profit margin was 23.21%. When comparing revenues to same quarter last year, Kansas City Southern sales marked a beatiful gain and soared a 5.67%. Looking back to recent quarterly results, Kansas City Southern posted 2 negative quarters in a row.
|2017-Q2||$669 M||-||$134 M20.1%||-|
|2017-Q3||$668 M||-0.22%||$129 M19.4%||-3.79%|
|2017-Q4||$660 M||-1.09%||$552 M83.5%||326.68%|
|2018-Q1||$639 M||-3.30%||$145 M22.6%||-73.81%|
|2018-Q2||$682 M||6.86%||$148 M21.7%||2.56%|
|2018-Q3||$699 M||2.43%||$174 M24.8%||17.14%|
|2018-Q4||$694 M||-0.72%||$161 M23.2%||-7.20%|
|2019-Q1||$675 M||-2.77%||$103 M15.2%||-36.19%|
Kansas City Southern ownershipWhen you are planning to buy a company, it's always worth to check its ownership structure.
Kansas City Southern shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.51% of all shares.
Bearish positions for KSU stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Kansas City Southern:
|Market cap||$14.5 B||$62.9 B||$30.0 B||$54.8 B||$6.3 B|
|Total shares||99.9 M||718.1 M||138.6 M||798.2 M||56.6 M|
|Float shares||99.3 M||615.5 M||128.0 M||796.9 M||55.5 M|
|- Institutional holdings (%)||85.4%||0.0%||75.4%||78.7%||98.0%|
|- Insider holdings (%)||0.5%||3.0%||0.0%||0.2%||1.9%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, October 18th, 2019|
|Day range||$140.36 - $145.82|
|Average true range||$3.38|
|50d mov avg||$128.06|
|100d mov avg||$123.82|
|200d mov avg||$118.25|
Kansas City Southern performanceTo better understand Kansas City Southern performance you must compare its gains with other related stocks in same sector or industry. In the following table, we compare Kansas City Southern performance to Canadian National Railway, Canadian Pacific Railway, CSX, Genesee & Wyoming, Norfolk Souther and Union Pacific:
|CPCanadian Pacific ...||-8.76%||0.61%||9.99%|
|GWRGenesee & Wyoming||1.37%||27.67%||36.92%|
Kansas City Southern competitorsOne check before investing in any stock is to review a list of its competitors, in this case for Kansas City Southern. We selected 6 companies as Kansas City Southern competitors as they are in the same industry or have similar market objectives.
- Canadian National Railway (CNI)
- Canadian Pacific Railway (CP)
- CSX (CSX)
- Genesee & Wyoming (GWR)
- Norfolk Souther (NSC)
- Union Pacific (UNP)
Latest KSU stock news
- InvestorPlaceKansas City Southern Earnings: KSU Stock Surges on Q2 ResultsJuly 19, 2019
- Seeking AlphaKansas City Southern: Waiting For The BreakoutJuly 23, 2018
- InvestorPlace3 Big Stock Charts for Friday: Kansas City Southern, Nordstrom and TJX CompaniesJuly 13, 2018
- InvestorPlace3 Big Stock Charts for Tuesday: J M Smucker Co, PepsiCo, Inc. and Kansas City SouthernJuly 3, 2018