Morgan Stanley Reiterates Overweight Rating on Canadian Pacific Railway
In a report published Wednesday, Morgan Stanley reiterated its Overweight rating on Canadian Pacific Railway (NYSE: CP).
Morgan Stanley noted, “Since resuming coverage with an OW rating in September, CP has been our top pick in freight as we believe the turnaround has the potential to be the most compelling railroad investment opportunity over the next 3 years. The arrival of Mr. Hunter Harrison as CEO should catalyze change on a network that is certainly not broken and arguably has strong potential. While we acknowledge that key man risk and weakening macro are concerns, we see significant opportunity for OR improvement at CP with non-economic drivers to growth and productivity.”
Canadian Pacific Railway closed on Tuesday at $93.62.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.