NEW YORK (TheStreet) -- Kansas City Southern (KSU) shares are climbing in after-market trading on Wednesday, up 0.6% to $101.44 in after the closing bell today.
The freight rail holding company posted record revenues of $607 million and an adjusted diluted earnings per share of $1.05 during the first quarter, according to the company's earnings report.
The increase in total revenue was led by a 40% increase in agriculture and minerals shipping. Year over year quarterly carload volumes increased 4%.
Reported net income for the quarter came in at $94 million, a 9.6% decrease from the $104 million it posted in first quarter 2013.
TheStreet Ratings team rates KANSAS CITY SOUTHERN as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate KANSAS CITY SOUTHERN (KSU) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and growth in earnings per share. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows: