Canadian Pacific Kansas City Limited (NYSE:CP) Receives Consensus Rating of “Moderate Buy” from Brokerages

Canadian Pacific Kansas City Limited (NYSE:CP) (TSE:CP) has received an average rating of “Moderate Buy” from the twelve ratings firms that are presently covering the firm, MarketBeat Ratings reports. Three investment analysts have rated the stock with a hold recommendation, eight have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 12 month target price among analysts that have issued ratings on the stock in the last year is $103.2222.

Several equities analysts recently commented on CP shares. Canadian Imperial Bank of Commerce set a $140.00 target price on shares of Canadian Pacific Kansas City in a report on Tuesday. Royal Bank Of Canada cut their price target on shares of Canadian Pacific Kansas City from $128.00 to $127.00 and set an “outperform” rating for the company in a research report on Thursday, April 30th. Sanford C. Bernstein raised their price objective on Canadian Pacific Kansas City from $85.41 to $90.00 and gave the company a “market perform” rating in a research note on Tuesday, March 31st. Weiss Ratings reissued a “hold (c+)” rating on shares of Canadian Pacific Kansas City in a research note on Friday, May 29th. Finally, ATB Cormark Capital Markets cut Canadian Pacific Kansas City from a “strong-buy” rating to a “moderate buy” rating in a report on Friday, April 17th.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Intech Investment Management LLC increased its position in shares of Canadian Pacific Kansas City by 16.0% in the first quarter. Intech Investment Management LLC now owns 21,276 shares of the transportation company’s stock valued at $1,493,000 after acquiring an additional 2,940 shares during the period. Acadian Asset Management LLC purchased a new position in Canadian Pacific Kansas City during the 1st quarter valued at about $35,000. Sivia Capital Partners LLC bought a new position in Canadian Pacific Kansas City during the 2nd quarter valued at approximately $206,000. Prudential Financial Inc. raised its position in Canadian Pacific Kansas City by 8.7% during the 2nd quarter. Prudential Financial Inc. now owns 5,183 shares of the transportation company’s stock valued at $411,000 after purchasing an additional 415 shares during the last quarter. Finally, EverSource Wealth Advisors LLC lifted its holdings in Canadian Pacific Kansas City by 39.3% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,307 shares of the transportation company’s stock worth $104,000 after buying an additional 369 shares during the period. 72.20% of the stock is owned by hedge funds and other institutional investors.

Canadian Pacific Kansas City Stock Performance

NYSE:CP opened at $90.10 on Wednesday. The company has a market capitalization of $79.93 billion, a price-to-earnings ratio of 27.73, a PEG ratio of 1.93 and a beta of 1.09. The business has a 50 day moving average of $84.83 and a 200 day moving average of $79.83. The company has a debt-to-equity ratio of 0.46, a current ratio of 0.67 and a quick ratio of 0.57. Canadian Pacific Kansas City has a 1-year low of $68.42 and a 1-year high of $91.50.

Canadian Pacific Kansas City (NYSE:CP) (TSE:CP) last issued its quarterly earnings results on Wednesday, April 29th. The transportation company reported $0.76 EPS for the quarter, missing analysts’ consensus estimates of $0.78 by ($0.02). The business had revenue of $2.66 billion for the quarter, compared to the consensus estimate of $2.70 billion. Canadian Pacific Kansas City had a net margin of 27.20% and a return on equity of 8.86%. The firm’s revenue was down 2.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.06 earnings per share. On average, sell-side analysts predict that Canadian Pacific Kansas City will post 3.76 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, July 27th. Stockholders of record on Friday, June 26th will be paid a dividend of $0.268 per share. This represents a $1.07 dividend on an annualized basis and a dividend yield of 1.2%. This is a boost from Canadian Pacific Kansas City’s previous quarterly dividend of $0.23. The ex-dividend date of this dividend is Friday, June 26th. Canadian Pacific Kansas City’s payout ratio is currently 20.68%.

About Canadian Pacific Kansas City

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.