Market Mad House

In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. Friedrich Nietzsche

Does Kansas City Southern Make Money?

Long Ideas
daniel , , , , , , , , ,

Kansas City Southern: A Railroad in Decline?

The situation at Kansas City Southern should make investors reconsider the notion that railroads are a value investment. Changing economic conditions are calling that value theory into question. Political conditions and the potential of major technological disruption; in the form of innovations like Hyperloop, make railroads a far riskier investment than they once were.

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Good StocksStocks
daniel , , , , ,

Is the Kansas City Southern a Value Investment?

As you can see, the Kansas City Southern is a riskier investment than other U.S. railroads because of its exposure to Mexico. Yet it is still a good value because of its low cost, profits and position as a trade corridor between the United States and our neighbor to the south.

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