(CP) Canadian Pacific Kansas City - NYSE
Sector: Industrials | Industry: Railroads | Exchange: NYSE (USA) | Market Cap: 76.372m USD | Total Return: 8.7% in 12m
Avg Turnover: 244M
EPS Trend: 96.0%
Qual. Beats: 0
Rev. Trend: 89.3%
Qual. Beats: 1
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
Canadian Pacific Kansas City (CPKC) operates the first single-line rail network connecting Canada, the United States, and Mexico. Following its 2023 merger, the company manages approximately 20,000 miles of track, transporting a diversified mix of bulk commodities, merchandise freight, and intermodal containers. The business model relies on high barriers to entry and significant capital intensity, as Class I railroads maintain proprietary infrastructure that is difficult to replicate.
The company serves critical industrial sectors including agriculture, energy, and automotive manufacturing, functioning as a backbone for North American trade. Rail transportation is generally more fuel-efficient than long-haul trucking, allowing the company to capture market share through lower greenhouse gas emissions per ton-mile. Investors can analyze the long-term valuation trends for this stock on ValueRay.
Headquartered in Calgary, CPKC provides essential logistics services through major business centers across the continent. Its revenue stream is tied to macroeconomic industrial production and global export demand for Canadian and American natural resources.
- KCS merger synergy realization drives long-term revenue and margin expansion
- Transcontinental North American trade volumes dictate bulk and merchandise freight growth
- Fluctuating fuel costs and labor expenses impact quarterly operating ratios
- Canadian grain harvest yields significantly influence annual bulk commodity revenue
- Regulatory oversight of cross-border rail operations affects logistical efficiency and costs
| Net Income: 4.41b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -0.35 > 1.0 |
| NWC/Revenue: -10.15% < 20% (prev -5.31%; Δ -4.84% < -1%) |
| CFO/TA 0.06 > 3% & CFO 5.13b > Net Income 4.41b |
| Net Debt (24.4b) to EBITDA (9.05b): 2.69 < 3 |
| Current Ratio: 0.67 > 1.5 & < 3 |
| Outstanding Shares: last quarter (897.3m) vs 12m ago -3.96% < -2% |
| Gross Margin: 46.67% > 18% (prev 51.92%; Δ -5.24% > 0.5%) |
| Asset Turnover: 18.69% > 50% (prev 16.83%; Δ 1.86% > 0%) |
| Interest Coverage Ratio: 6.97 > 6 (EBIT TTM 6.82b / Interest Expense TTM 978.0m) |
| A: -0.02 (Total Current Assets 3.41b - Total Current Liabilities 5.08b) / Total Assets 87.9b |
| B: 0.23 (Retained Earnings 20.0b / Total Assets 87.9b) |
| C: 0.08 (EBIT TTM 6.82b / Avg Total Assets 88.0b) |
| D: 1.15 (Book Value of Equity 46.6b / Total Liabilities 40.4b) |
| Altman-Z'' = 2.35 = BBB |
| DSRI: 0.97 (Receivables 2.20b/2.04b, Revenue 16.4b/14.8b) |
| GMI: 1.11 (GM 51.92% / 46.67%) |
| AQI: 0.99 (AQ_t 0.32 / AQ_t-1 0.32) |
| SGI: 1.11 (Revenue 16.4b / 14.8b) |
| TATA: -0.01 (NI 4.41b - CFO 5.13b) / TA 87.9b) |
| Beneish M = -2.87 (Cap -4..+1) = A |
As of June 22, 2026, the stock is trading at USD 86.03 with a total of 3,023,900 shares traded.
Over the past week, the price has changed by -3.67%,
over one month by -0.78%,
over three months by +8.49% and
over the past year by +8.70%.
Canadian Pacific Kansas City has received a consensus analysts rating of 4.29. Therefore, it is recommended to buy CP.
- StrongBuy: 14
- Buy: 9
- Hold: 4
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 89.9 | 4.5% |
Market Cap CAD = 108b (76.4b USD * 1.4173 USD.CAD)
P/E Trailing = 26.8844
P/E Forward = 23.5849
P/S = 5.0969
P/B = 2.3013
P/EG = 2.2189
Revenue TTM = 16.4b CAD
EBIT TTM = 6.82b CAD
EBITDA TTM = 9.05b CAD
Long Term Debt = 21.9b CAD (from longTermDebt, last quarter)
Short Term Debt = 2.44b CAD (from shortTermDebt, last quarter)
Debt = 24.8b CAD (from shortLongTermDebtTotal, last quarter) + Leases 410.0m
Net Debt = 24.4b CAD (calculated: Debt 24.8b - CCE 410.1m)
Enterprise Value = 133b CAD (108b + Debt 24.8b - CCE 410.1m)
Interest Coverage Ratio = 6.97 (Ebit TTM 6.82b / Interest Expense TTM 978.0m)
EV/FCF = 64.92x (Enterprise Value 133b / FCF TTM 2.04b)
FCF Yield = 1.54% (FCF TTM 2.04b / Enterprise Value 133b)
FCF Margin = 12.42% (FCF TTM 2.04b / Revenue TTM 16.4b)
Net Margin = 26.82% (Net Income TTM 4.41b / Revenue TTM 16.4b)
Gross Margin = 46.67% ((Revenue TTM 16.4b - Cost of Revenue TTM 8.77b) / Revenue TTM)
Gross Margin QoQ = 33.99% (prev 36.86%)
Tobins Q-Ratio = 1.51 (Enterprise Value 133b / Total Assets 87.9b)
Interest Expense / Debt = 3.94% (Interest Expense 978.0m / Debt 24.8b)
Taxrate = 24.59% (1.44b / 5.84b)
NOPAT = 5.14b (EBIT 6.82b * (1 - 24.59%))
Current Ratio = 0.67 (Total Current Assets 3.41b / Total Current Liabilities 5.08b)
Debt / Equity = 0.53 (Debt 24.8b / totalStockholderEquity, last quarter 46.6b)
Debt / EBITDA = 2.69 (Net Debt 24.4b / EBITDA 9.05b)
Debt / FCF = 11.93 (Net Debt 24.4b / FCF TTM 2.04b)
Total Stockholder Equity = 42.9b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.01% (Net Income 4.41b / Total Assets 87.9b)
RoE = 10.29% (Net Income TTM 4.41b / Total Stockholder Equity 42.9b)
RoCE = 10.53% (EBIT 6.82b / Capital Employed (Equity 42.9b + L.T.Debt 21.9b))
RoIC = 6.06% (NOPAT 5.14b / Invested Capital 84.9b)
WACC = 7.10% (E(108b)/V(133b) * Re(8.04%) + D(24.8b)/V(133b) * Rd(3.94%) * (1-Tc(0.25)))
Discount Rate = 8.04% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -51.11 | Cagr: -1.76%
[DCF] Terminal Value 73.41% ; FCFF base≈2.17b ; Y1≈1.93b ; Y5≈1.62b
[DCF] Fair Price = 1.63 (EV 25.8b - Net Debt 24.4b = Equity 1.45b / Shares 887.7m; r=8.35% [WACC [floored]]; 5y FCF grow -13.25% → 2.50% )
EPS Correlation: 95.98 | EPS CAGR: 10.43% | SUE: -0.35 | # QB: 0
Revenue Correlation: 89.29 | Revenue CAGR: 14.46% | SUE: 2.75 | # QB: 1
EPS current Quarter (2026-06-30): EPS=1.24 | Chg30d=+0.00% | Revisions=-45% | Analysts=23
EPS next Quarter (2026-09-30): EPS=1.31 | Chg30d=+0.14% | Revisions=+20% | Analysts=22
EPS current Year (2026-12-31): EPS=5.13 | Chg30d=+0.17% | Revisions=+20% | GrowthEPS=+11.3% | GrowthRev=+6.4%
EPS next Year (2027-12-31): EPS=5.90 | Chg30d=+0.15% | Revisions=+20% | GrowthEPS=+14.9% | GrowthRev=+5.9%
[Analyst] Revisions Ratio: -45%