NEW YORK, Sept. 4 /PRNewswire/ -- Dahlman Rose and & Co., LLC, a leading investment bank specializing in natural resource supply chain sectors, announced today that it has initiated research coverage of the Rail Industry with an Overweight rating.
The New York-based investment bank's initial rating is based on improved pricing power due to reduced capacity and expected volume growth over the next 24 months. According to Jason Seidl, Airfreight and Surface Transportation analyst at Dahlman Rose & Co., rail pricing power is here to stay, post 2004 valuations are for real and 2009 consensus estimates are too conservative. In addition to his industry overview, Mr. Seidl initiated coverage on the following eight rail companies: -- Burlington Northern Santa Fe Corp (NYSE:BNI) with a HOLD rating and $114 price target -- Canadian National Railway Company (NYSE:CNI) with a BUY rating and $68 price target -- Canadian Pacific (NYSE:CP) with a BUY rating and $74 price target
-- CSX Corp. (NYSE:CSX) with a BUY rating and $75 price target
-- Genesee & Wyoming (NYSE:GWR) with a HOLD rating and $48 price target
-- Kansas City Southern (NYSE:KSU) with a BUY rating and $64 price target
-- Norfolk Southern Corp(NYSE:NSC) with a BUY rating and $81 price target
-- Union Pacific Corp. (NYSE:UNP) with a BUY rating and $108 price target Each company is discussed in detail in the Rail sector initiation report released this morning by Dahlman Rose & Co.
Mr. Seidl commented, "We are pleased to initiate coverage of the railroad industry and leading rail companies ahead of our 1st Annual Global Transportation Conference on September 10 and 11. Our expansion into railroad enables Dahlman Rose to better understand the dynamic global transportation market and provide a more comprehensive research product that adds considerable value among institutional investors." About Dahlman Rose & Co., LLC Dahlman Rose & Company, LLC (MEMBER: FINRA/SIPC) is a leading investment bank that offers exceptional research, trading and investment banking capabilities across the entire capital structure to clients in the U.S. and globally. The firm provides performance for its clients through its sector specialization, and its personnel are attuned to the important day-to-day drivers in daily share price movement. The Dahlman Rose team specializes in verticals within the natural resources supply chain, including marine shipping and offshore services, exploration and production, oilfield services, and coal, metals and mining, airfreight and surface transportation. Our team has cultivated a thorough understanding of these industries and their drivers by leveraging relationships with an extensive roster of company management and industry contacts. DATASOURCE: Dahlman Rose and & Co., LLC CONTACT: Michael Cimini, The IGB Group, +1-212-477-8261, Web site: http://www.dahlmanrose.com/
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