Railroad industry
Article Abstract:
Top-line growth and system efficiency improvement are the two issues which railroad managements need to address in order for them to take pressure off margin and earnings growth for the industry in 1999. A slowing of the US economy will have an effect on this in 1999, as will industry consolidation, although most railroads are taking steps in the right direction. Risk-tolerant investors will find several of thes stocks to be suitable, but conserative investors should avoid the industry.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1998
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Railroad industry
Article Abstract:
The division of Conrail between CSX Corp and Norfolk Southern Corp has been approved by the US Surface Transportation Board and is planned to close in late Aug 1998. However, labor agreement finalization and debt financing for the purchase will delay bottom-line results. Union Pacific Corp is forecast to post its 3rd consecutive quarterly loss due to its service problems. These stocks are best only long-term investors who can tolerate risk.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1998
User Contributions:
Comment about this article or add new information about this topic: