| The Casual Investor | ||||||||||||
| Investing tips for those who are not yet rich | ||||||||||||
Stock Pick 11/30/2007: CP
For today's pick, I opened up the railroad industry. This was a small set, with only ten stocks for scrutiny. I selected CP as the best bet out of those ten. CP has the second-smallest market cap at $9.98B, which is about half the cap of eight of the other railroads in this group. The smallest market cap is GWR at $791.36M. Small caps have more room to grow in general, so it came down to a choice between CP and GWR. CP has a lower P/E ratio and higher profitability than GWR, and that's all there is to it. With greater growth potential and more money available for operations, CP is a better bet. Out of all ten public railroad companies, this is the one to buy. 2007-11-30 21:22:47 GMT
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