Best Transportation Stocks For 2016

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Some of the stocks that may grab investor focus today are:

Wall Street expects CarMax, Inc (NYSE: KMX) to report its quarterly earnings at $0.71 per share on revenue of $3.68 billion. CarMax shares gained 0.38 percent to $53.50 in after-hours trading.

Best Transportation Stocks For 2016: Canadian Pacific Railway Limited(CP)

 

Canadian Pacific Railway Limited, through its subsidiaries, operates a transcontinental railway in Canada and the United States. The company provides logistics and supply chain expertise services. It transports bulk commodities, including grain, coal, fertilizers, and sulphur; and intermodal traffic comprising retail goods in overseas containers that can be transported by train, ship, and truck, as well as in domestic containers and trailers that can be moved by train and truck. The company also transports merchandise freight consisting of finished vehicles and automotive parts, chemicals and plastics, crude oil, and forest products, as well as metals, minerals, and consumer products. It provides rail and intermodal transportation services over a network of approximately 13,700 miles serving the business centers of Canada from Montreal, Quebec, to Vancouver, British Columbia, and the United States Northeast and Midwest regions . In addition, the company offers transloading, warehousing, and distribution services of steel products. Canadian Pacific Railway Limited was founded in 1881 and is headquartered in Calgary, Canada.

Advisors’ Opinion:

  • [By Motif Investing]

    Bill Ackman is founder and CEO of hedge fund Pershing Square Capital Management, L.P. Some of his activist positions have included Target Corporation (NYSE: TGT), JC Penney Company Inc (JCP) and Canadian Pacific Railway Limited (NYSE: CP). His funds have suffered double-digit losses in the last year – a net loss of 16.5 and 20.5 percent respectively for his main fund and Pershing Square Holdings in 2015 – largely due to a sizeable stake in Valeant Pharmaceuticals.
    Ackman has also been in the news recently regarding his December 2012 bet against Herbalife Ltd. (NYSE: HLF), a nutrition and weight management company that was facing pyramid scheme allegations up until recently. Ackman’s activist goal over the last several years has been to expose Herbalife as a get-rich-quick scammer. He believes the company should be taken down due to its use of inflated pricing, misleading data and unscrupulous incentive structure.
    The Federal Trade Commission just released its ruling on July 15th for a $200 million settlement fine that doesn’t include pyramid scheme charges. Fortune estimates Ackman has lost at least $500 million on his 20.2 million shares, stock loan fees and marketing campaigns costs to publicly shame the company.

Best Transportation Stocks For 2016: Diana Shipping inc.(DSX)

 

Diana Shipping Inc. provides shipping transportation services. The company transports a range of dry bulk cargoes, including commodities, such as iron ore, coal, grain, and other materials in shipping routes through its ownership of dry bulk vessels worldwide. As of May 11, 2016, it operated a fleet of 46 dry bulk vessels comprising 2 Newcastlemax, 14 Capesize, 3 Post-Panamax, 4 Kamsarmax, and 23 Panamax vessels. The company was formerly known as Diana Shipping Investments Corp. and changed its name to Diana Shipping Inc. in February 2005. Diana Shipping Inc. was founded in 1999 and is based in Athens, Greece.

Advisors’ Opinion:

  • [By Nickey Friedman]

    Diana Shipping (NYSE: DSX  ) is pure investment in dry shipping. The company transports dry bulk cargoes worldwide, including commodities such as iron ore, coal, grain, and other materials. Analysts have yet to respond to the rate increases, but no doubt more of them will be raising their 2014 EPS estimates shortly. Diana Shipping trades around 20% below book value now; back in its heyday, it traded north of $40 per share.

Best Computer Hardware Stocks To Own Right Now: Rhino Resource Partners LP(RNO)

Rhino Resource Partners LP produces, processes, and sells coal of various steam and metallurgical grades in the United States. The company holds interests in various surface and underground coal mines located in Central Appalachia, Northern Appalachia, the Illinois Basin, and the Western Bituminous region. As of December 31, 2010, it operated 10 mines, including 5 underground and 5 surface mines located in Kentucky, Ohio, and West Virginia. The company markets its steam coal primarily to electric utility companies as fuel for their steam-powered generators; and metallurgical coal for steel and coke producers. It also engages in mining limestone from reserves located at its Sands Hill mining complex and sells it as aggregate to various construction companies and road builders. The company was founded in 2003 and is based in Lexington, Kentucky.

Advisors’ Opinion:

  • [By Alexis Xydias]

    Investors are regaining confidence, squeezing pessimists who say the economy remains sluggish outside of Germany and point to record-low trading volume as a lack of conviction in the Euro Stoxxs 61 percent rally of the past two years. Besides gains in stocks from Banco Bilbao Vizcaya Argentaria SA to Renault SA (RNO), yields on Spanish and Italian bonds have declined to a two-year low compared with German bunds and the euro has strengthened 4.6 percent to $1.35 in the past six months.

Best Transportation Stocks For 2016: Grupo Aeroportuario del Centro Norte S.A.B. de C.V.(OMAB)

Grupo Aeroportuario del Centro Norte, S.A.B. de C.V. is a holding company. The Company, through its subsidiaries, holds concessions to operate, maintain and develop over 10 airports in Mexico. The Company’s segments include Metropolitan, Tourist, Regional, Border, Hotel and Other. The Company also engages in various commercial and diversification activities conducted at its airports, such as the leasing of space to restaurants and retailers, the operation of parking facilities, and the operation of the NH Terminal 2 Hotel and the Hilton Garden Inn Hotel at the Monterrey airport. The Company’s airports serve the Monterrey metropolitan area; approximately three tourist destinations, such as Acapulco, Mazatlan and Zihuatanejo; over seven regional centers, such as Chihuahua, Culiacan, Durango, San Luis Potosi, Tampico, Torreon and Zacatecas, and approximately two border cities, such as Ciudad Juarez and Reynosa.

The Company’s airports serve various international r outes, such as Monterrey-Houston, Monterrey-Dallas, Monterrey-Atlanta, Monterrey-Las Vegas, Mazatlan-Los Angeles, Mazatlan-Phoenix and Zihuatanejo-Los Angeles. The Company’s airports also serve other international destinations, including Dallas, Chicago, San Antonio, Los Angeles, Miami, Detroit and New York in the United States and Panama City. The Company’s airports serve various domestic routes, such as Monterrey-Mexico City, Cancun-Monterrey, Mexico City-Chihuahua and Guadalajara-Monterrey. The Company’s revenues from aeronautical services are derived from passenger charges, landing charges, aircraft parking charges, charges for the use of passenger walkways and charges for the provision of airport security services. It collects a passenger charge for each departing passenger on an aircraft (other than diplomats, infants, and transfer and transit passengers) called the Tarifa de Uso de Aeropuerto. It collects landing charges from all carriers, including cargo carriers for their use of its runways and taxiways, illumination systems! on the runways and taxiways, and other visual landing assistance services. The Company collects various charges from all carriers, including cargo carriers for the use of its facilities by their aircraft and passengers after landing.

The Company’s revenues from non-aeronautical services are principally derived from commercial activities, such as the leasing of space in its airports to retailers, restaurants and other commercial tenants, maintaining parking facilities and advertising; diversification activities, such as hotel services, air cargo logistics services, operation and lease of the industrial park and real estate services, and complementary activities, which principally include the leasing of space to airlines and the baggage-screening system. The Company leases space to financial services providers, such as currency exchange bureaus, banks and automated teller machines (ATMs), at its airports. It leases space for the OMA Premium Lounge and American Ex press-Centurion VIP Lounge, which provide their frequent flyers a luxury waiting lounge with seating, Internet service, television and free newspapers, among other amenities. The Company has bonded warehouses and provides cargo logistics services, which include handling, maneuvers, loading and unloading, x-ray screening of exports and temporary warehousing, which operate at the Monterrey, Ciudad Juarez and Chihuahua airports.

The Company’s shopping center and office plaza, located in the outside areas of Terminal A of the Monterrey airport, consists of two-story building with commercial space on the lower level and office space for rent on the upper level. The Monterrey airport is located approximately 20 kilometers from the city of Monterrey. The Monterrey airport has approximately two operating runways. The Monterrey airport occupies a total area of approximately 820.1 hectares, and has approximately three commercial passenger terminal buildings (Terminal A, B and C for domestic and international flights) with a total ! area of a! pproximately 58,850 square meters. The Monterrey airport has approximately three platforms for commercial aviation operations, a platform for general aviation operations, a platform for air freight operations and over 10 taxiways. The Acapulco airport is located approximately 20 kilometers from the city of Acapulco in the state of Guerrero. The Acapulco airport occupies a total area of approximately 448.7 hectares with a total terminal space of over 13,530 square meters. The Acapulco airport has approximately two operating runways and over six taxiways.

The Mazatlan airport is located approximately 20 kilometers from the city of Mazatlan. The Mazatlan airport occupies approximately 460 hectares of land. The Zihuatanejo airport is located approximately 10 kilometers from the city of Zihuatanejo. The Chihuahua airport is located approximately 20 kilometers from the city of Chihuahua, the capital of the state of Chihuahua. The Chihuahua airport has approximately th ree runways. The Chihuahua airport occupies a total area of approximately 921.4 hectares. The Culiacan airport is located approximately 10 kilometers from the city of Culiacan. The Culiacan airport occupies a total area of approximately 294.3 hectares. The Durango airport is located approximately 20 kilometers from the City of Durango. The Durango airport’s total area is approximately 552.2 hectares. The San Luis Potosi airport is located approximately 20 kilometers from the city of San Luis Potosi. The San Luis Potosi airport has a total area of approximately 519.8 hectares.

The Tampico airport serves the industrial zone of Tampico, Ciudad Madero and Altamira. The Torreon airport is located in the city of Torreon, which is part of the La Laguna region. The Torreon airport has approximately two runways, and covers a total area of over 364.2 hectares. The Zacatecas airport covers a total area of approximately 220 hectares. The Ciudad Juarez International Airport is located in the city of Ciudad Juarez. The Ciudad Juarez a! irport ha! s approximately two runways, and covers a total area of over 380 hectares. The Reynosa airport is located in Reynosa, and covers a total area of approximately 420 hectares.

The Company competes with the Mexican Airport and Auxiliary Services agency.

Advisors’ Opinion:

  • [By Paul R. La Monica]

    It even owns shares of several airport stocks — including Mexico’s Grupo Aeroportuario del Centro Norte (OMAB) and Grupo Aeroportuario del Sureste (ASR).

Best Transportation Stocks For 2016: Werner Enterprises, Inc.(WERN)

Werner Enterprises, Inc., incorporated on September 14, 1982, is a transportation and logistics company. The Company is engaged in transporting truckload shipments of general commodities in both interstate and intrastate commerce. The Company operates through two segments: Truckload Transportation Services (Truckload) and Value Added Services (VAS). The Company also provides logistics services through its VAS division. The Company has a fleet of approximately 7,450 trucks, of which over 6,640 are Company-operated and over 810 are owned and operated by independent contractors. Its VAS division operates over 60 additional intermodal drayage trucks.

Truckload Transportation Services

Truckload segment comprises the One-Way Truckload and Specialized Services units. Its One-Way Truckload unit’s operating fleet includes the regional short-haul (Regional) fleet, which transports a variety of consumer non-durable products and other commodities in truckload quantities within geographic regions across the United States using dry van trailers; the medium-to-long-haul van (Van) fleet, which provides comparable truckload van service over irregular routes, and the expedited (Expedited) fleet, which provides time-sensitive truckload services utilizing driver teams. Its Specialized Services unit provides truckload services for a retail distribution center or manufacturing facility, including services for products requiring specialized trailers, such as flatbed or temperature-controlled trailers.

The Company’s Truckload fleets operate across over 40 contiguous United States’ states pursuant to operating authority, both common and contract, granted by the United States Department of Transportation (DOT) and pursuant to intrastate authority granted by various United States’ states. It also operates in several provinces of Canada and provides through-trailer service into and out of Mexico. The principal types of freight it t ransports include retail store merchandise, consumer product! s, grocery products and manufactured products.

VAS segment

The Company’s VAS segment is a non-asset-based transportation and logistics provider. VAS comprises operating units that provide non-trucking services to its customers, which include truck brokerage (Brokerage) that uses contracted carriers to complete customer shipments; freight management (Freight Management), which offers a range of single-source logistics management services and solutions; the intermodal (Intermodal) unit, which offers rail transportation through alliances with rail and drayage providers as an alternative to truck transportation, and Werner Global Logistics international (WGL), which provides complete management of global shipments from origin to destination using a combination of air, ocean, truck and rail transportation modes. Its Brokerage unit has transportation services contracts with approximately 12,920 carriers.

Advisors’ Opinion:

  • [By Michael Flannelly]

    Following Werner Enterprises, Inc.’s (WERN) third quarter earnings warning, analysts at KeyBanc downgraded the transportation and logistics company on Tuesday.

    The analysts downgraded WERN from “Buy” to “Hold.”

    KeyBanc analyst Todd Fowler said, “We downgrade WERN from Buy to HOLD following its negative 3Q pre-ann’ct, which reflected a number of company-specific issues that we expect to limit upside going forward; we would focus investors on other, stronger-performing names within the truckload space, specifically, BUY-rated Swift Transportation Company (SWFT), Marten Transport Ltd. (MRTN), and Knight Transportation Inc. (KNX).”

    Werner Enterprises shares were down $1.66, or 6.80%, during pre-market trading on Tuesday. The stock is up 12.64% year-to-date.

  • [By Monica Gerson]

    Werner Enterprises (NASDAQ: WERN) shares dropped 4.83% to $23.23 in pre-market trading after the company issued a weak third-quarter profit forecast.

Best Transportation Stocks For 2016: Student Transportation Inc(STB)

 

Student Transportation Inc., together with its subsidiaries, provides student transportation solutions in North America. The company offers contracted, managed, special needs transportation, direct-to-parent, and charter services. As of October 1, 2015, it operated approximately 13,000 vehicles. The company delivers its services through drivers, dispatchers, maintenance technicians, terminal managers, information technology professionals, and members of local communities. The company was formerly known as Student Transportation of America Ltd. and changed its name to Student Transportation Inc. in November 2009. Student Transportation Inc. was founded in 1997 and is headquartered in Barrie, Canada.

Advisors’ Opinion:

  • [By Monica Gerson]

    Student Transportation Inc (NASDAQ: STB) is estimated to post its quarterly earnings at $0.04 per share on revenue of $167.40 million.

    Exar Corporation (NYSE: EXAR) is projected to post its quarterly earnings at $0.09 per share on revenue of $38.38 million.