5 Stocks to Buy in 2021 According to Carl Tiedemann’s TIG Advisors

2. Kansas City Southern (NYSE:KSU)

TIG Advisors’ Stake Value: $192,617,000
Percentage of TIG Advisors’ 13F Portfolio: 6.46%
Number of Hedge Fund Holders: 61

Kansas City Southern (NYSE:KSU) offers domestic and international rail transportation services based in North America. It was founded in 1887 and is ranked second on the list of 10 stocks to buy in 2021 according to Carl Tiedemann’s TIG Advisors.

On September 15, Wolfe Research analyst Scott Group downgraded Kansas City Southern (NYSE:KSU) to “Peer Perform” from “Outperform” after it was reported that Canadian National Railway Company (NYSE:CNI) decided not to raise its proposal, allowing Kansas City to terminate their merger and conclude a deal with Canadian Pacific Railway Limited (NYSE:CP).

Miller/Howard Investments, in its first-quarter 2021 investor letter, mentioned Kansas City Southern (NYSE:KSU). Here is what the fund said: 

“Canadian Pacific Railway (CP) agreed to acquire Kansas City Southern (KSU) in the largest rail deal in over a decade. The merger will create the first rail network connecting Canada, the US, and Mexico, and it should benefit from the passage of the USMCA Trade Agreement. We initiated a position in KSU in Q4 as we expected it to benefit from growing North American trade and viewed it as a consolidation candidate.”