Credit Suisse keeps an Outperform rating on Kansas City Southern (NYSE:KSU) after factoring in the railroad company's Q3 report and management update
"It’s not lost on KSU that it needs to do better in terms of network performance, and it is taking specific steps to address recent congestion in Mexico - including leasing 30 locos, the redeployment of crews within Southern and Central Mexico, rightsizing customer equipment and modifying operating plans at the Monterrey yard, and shifting switching activity to the Sanchez yard (from Monterrey)," notes CS.
The firm also says that it was encouraging to hear that KSU is focused on improving car cycle times.
Credit Suisse keeps its price target on KSU at $126.
KSU +0.27% premarket to $106.41.
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