The Successful Investor, in its April, 2014, issue, refreshes its buy of Canadian Pacific Railway Ltd., recently $174. The Investor said buy 19 times from October, 2001, to February, 2014, at prices ranging from $24 to $164. Assuming an investment of $1,000 for each of the 19 buys, the $19,000 position would now be worth $65,250. The railway has started charging oil producers a surcharge for each older DOT-111 tanker car they use on CP's rail network. It hopes the charge will encourage these customers to upgrade to railcar models with thicker hulls. The thicker hulls would make the oil less likely to spill and catch fire in the event of a crash. CP is also considering selling $2-billion of surplus real estate. The company plans to use the proceeds to buy back 3 per cent of its shares over the next year. The stock continues to be a buy.
© 2024 Canjex Publishing Ltd. All rights reserved.