Canadian Pacific Kansas City (NYSE:CP) Cut to Sell at Wall Street Zen

Wall Street Zen cut shares of Canadian Pacific Kansas City (NYSE:CP) (TSE:CP) from a hold rating to a sell rating in a research note issued to investors on Saturday.

A number of other equities analysts also recently weighed in on CP. Barclays set a $90.00 target price on Canadian Pacific Kansas City and gave the company an “overweight” rating in a report on Thursday, October 2nd. Citigroup lowered their price target on shares of Canadian Pacific Kansas City from $90.00 to $88.00 and set a “buy” rating on the stock in a report on Monday, October 13th. Morgan Stanley upgraded Canadian Pacific Kansas City from an “equal weight” rating to an “overweight” rating in a report on Monday, December 8th. Susquehanna set a $87.00 price objective on Canadian Pacific Kansas City in a research report on Thursday, October 30th. Finally, Jefferies Financial Group set a $90.00 target price on Canadian Pacific Kansas City in a research report on Thursday, October 30th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $91.69.

Canadian Pacific Kansas City Price Performance

Shares of NYSE:CP opened at $72.69 on Friday. The company’s fifty day moving average is $72.60 and its two-hundred day moving average is $75.20. The company has a market cap of $65.22 billion, a P/E ratio of 22.16, a price-to-earnings-growth ratio of 1.63 and a beta of 1.10. Canadian Pacific Kansas City has a 12-month low of $66.49 and a 12-month high of $83.65. The company has a quick ratio of 0.54, a current ratio of 0.63 and a debt-to-equity ratio of 0.46.

Canadian Pacific Kansas City (NYSE:CP) (TSE:CP) last issued its quarterly earnings results on Wednesday, October 29th. The transportation company reported $0.80 earnings per share for the quarter, missing analysts’ consensus estimates of $0.81 by ($0.01). The business had revenue of $2.62 billion for the quarter, compared to analysts’ expectations of $2.71 billion. Canadian Pacific Kansas City had a net margin of 28.41% and a return on equity of 8.79%. During the same quarter in the prior year, the firm posted $0.99 EPS. Equities analysts expect that Canadian Pacific Kansas City will post 3.42 earnings per share for the current fiscal year.

Canadian Pacific Kansas City Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, January 26th. Stockholders of record on Wednesday, December 31st will be issued a dividend of $0.228 per share. The ex-dividend date of this dividend is Wednesday, December 31st. This represents a $0.91 dividend on an annualized basis and a dividend yield of 1.3%. This is a positive change from Canadian Pacific Kansas City’s previous quarterly dividend of $0.17. Canadian Pacific Kansas City’s payout ratio is currently 19.82%.

Hedge Funds Weigh In On Canadian Pacific Kansas City

Several hedge funds and other institutional investors have recently added to or reduced their stakes in CP. Vident Advisory LLC boosted its holdings in shares of Canadian Pacific Kansas City by 13.2% during the 1st quarter. Vident Advisory LLC now owns 6,733 shares of the transportation company’s stock worth $473,000 after buying an additional 787 shares during the period. Focus Partners Advisor Solutions LLC boosted its holdings in Canadian Pacific Kansas City by 31.5% during the first quarter. Focus Partners Advisor Solutions LLC now owns 5,104 shares of the transportation company’s stock valued at $358,000 after acquiring an additional 1,222 shares during the period. Amundi grew its position in shares of Canadian Pacific Kansas City by 3.1% in the first quarter. Amundi now owns 1,363,989 shares of the transportation company’s stock valued at $96,134,000 after purchasing an additional 41,253 shares during the last quarter. Edmond DE Rothschild Holding S.A. bought a new position in shares of Canadian Pacific Kansas City in the first quarter worth about $421,000. Finally, NewEdge Advisors LLC lifted its position in shares of Canadian Pacific Kansas City by 2.5% during the 1st quarter. NewEdge Advisors LLC now owns 31,290 shares of the transportation company’s stock worth $2,197,000 after purchasing an additional 750 shares during the last quarter. Institutional investors and hedge funds own 72.20% of the company’s stock.

Canadian Pacific Kansas City Company Profile

Canadian Pacific Kansas City (CPKC) is a North American Class I freight railroad formed through the combination of Canadian Pacific Railway and Kansas City Southern. The merged company operates an integrated rail network that spans Canada, the United States and Mexico, providing a single-line rail connection across all three countries. This transborder footprint is intended to streamline cross-border freight flows and provide shippers with direct rail access from Canadian and U.S. production centers to Mexican markets and ports.

CPKC’s core business is freight transportation and related logistics services.