HOME ZACKS RESEARCH FUNDS PORTFOLIO BROKER RESEARCH MARKETS SCREENING EDUCATION SERVICES
Zacks Rank    Equity Research    Premium Home    My Account    Help    
A Better Way to Make Money in Today's Market
Learn more now >>
Quote:
Login Free Membership
Search:

 
Analyst Blog  

Burlington Northern Balances Out

January 23, 2009 | Comments: 0
Recommended this article (1)
BNI
Print    Share

We are continuing our Hold on Burlington Northern Santa Fe Corporation (BNI - Analyst Report), but decreasing our target price to $66. BNI reported 2008 fourth quarter diluted EPS of $1.79, up 23% year over year and above consensus of $1.74 and our $1.75 estimate, as expenses, primarily for fuel, were lower than estimated.

Revenues were also below expectations, reflecting a 5% decline in volume that accelerated in the second half of the fourth quarter due to the global economic slowdown. We are sharply reducing our 2009 diluted EPS estimate to $5.05 from $6.90.

Going forward, we expect that significantly lower volumes and unhedged fuel costs will offset benefits from rate increases and fuel surcharges. BNI recently increased its dividend by 25% to a $1.60 annual rate.

Read the full analyst report on BNI.


Email

Print

Share

RSS

Rate Pos

Rate Neg

Comment
Read/Post Comments (0) | Recommended this article (1)
 Posting Comment...
There was a problem posting this this comment. Please try back later.
[CLICK TO CLOSE X]
Comments (Limit 1000 Characters - Used: 0)
Display Name: Email Address:  
 Loading Comments...
Be the first to comment on this article!

More Zacks Resources

Market Summary Nov 08, 2009 05:35 am ET
DJIA 10023.42  17.46 0.17%
NASD 2112.44  7.12 0.34%
S&P 500 1069.3  2.67 0.25%
Sponsored Links