CANADIAN PACIFIC KANSAS CITY (CP) Fundamental Analysis & Valuation

NYSE:CP • CA13646K1084

Current stock price

78.97 USD
+0.95 (+1.22%)
At close:
78.97 USD
0 (0%)
After Hours:

This CP fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

7

1. CP Profitability Analysis

1.1 Basic Checks

  • In the past year CP was profitable.
  • In the past year CP had a positive cash flow from operations.
  • Each year in the past 5 years CP has been profitable.
  • In the past 5 years CP always reported a positive cash flow from operatings.
CP Yearly Net Income VS EBIT VS OCF VS FCFCP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 4.82%, CP is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 9.03%, CP is in line with its industry, outperforming 59.52% of the companies in the same industry.
  • CP's Return On Invested Capital of 5.36% is fine compared to the rest of the industry. CP outperforms 61.90% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for CP is below the industry average of 7.15%.
  • The last Return On Invested Capital (5.36%) for CP is above the 3 year average (4.95%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 4.82%
ROE 9.03%
ROIC 5.36%
ROA(3y)4.66%
ROA(5y)4.59%
ROE(3y)8.75%
ROE(5y)8.75%
ROIC(3y)4.95%
ROIC(5y)4.45%
CP Yearly ROA, ROE, ROICCP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • Looking at the Profit Margin, with a value of 27.46%, CP belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
  • CP's Profit Margin has declined in the last couple of years.
  • With an excellent Operating Margin value of 37.62%, CP belongs to the best of the industry, outperforming 95.24% of the companies in the same industry.
  • CP's Operating Margin has declined in the last couple of years.
  • CP has a better Gross Margin (85.38%) than 97.62% of its industry peers.
  • In the last couple of years the Gross Margin of CP has remained more or less at the same level.
Industry RankSector Rank
OM 37.62%
PM (TTM) 27.46%
GM 85.38%
OM growth 3Y-0.13%
OM growth 5Y-2.61%
PM growth 3Y-11.71%
PM growth 5Y-2.83%
GM growth 3Y1.7%
GM growth 5Y-0.77%
CP Yearly Profit, Operating, Gross MarginsCP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. CP Health Analysis

2.1 Basic Checks

  • CP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • The number of shares outstanding for CP has been reduced compared to 1 year ago.
  • CP has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, CP has a worse debt to assets ratio.
CP Yearly Shares OutstandingCP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M
CP Yearly Total Debt VS Total AssetsCP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B

2.2 Solvency

  • An Altman-Z score of 2.13 indicates that CP is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 2.13, CP is in line with its industry, outperforming 42.86% of the companies in the same industry.
  • The Debt to FCF ratio of CP is 10.69, which is on the high side as it means it would take CP, 10.69 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of CP (10.69) is better than 61.90% of its industry peers.
  • CP has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
  • CP has a Debt to Equity ratio (0.46) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 10.69
Altman-Z 2.13
ROIC/WACC0.6
WACC8.86%
CP Yearly LT Debt VS Equity VS FCFCP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B

2.3 Liquidity

  • CP has a Current Ratio of 0.49. This is a bad value and indicates that CP is not financially healthy enough and could expect problems in meeting its short term obligations.
  • CP has a Current ratio of 0.49. This is amonst the worse of the industry: CP underperforms 95.24% of its industry peers.
  • A Quick Ratio of 0.41 indicates that CP may have some problems paying its short term obligations.
  • CP's Quick ratio of 0.41 is on the low side compared to the rest of the industry. CP is outperformed by 95.24% of its industry peers.
Industry RankSector Rank
Current Ratio 0.49
Quick Ratio 0.41
CP Yearly Current Assets VS Current LiabilitesCP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. CP Growth Analysis

3.1 Past

  • CP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.22%, which is quite good.
  • Measured over the past 5 years, CP shows a small growth in Earnings Per Share. The EPS has been growing by 5.46% on average per year.
  • Looking at the last year, CP shows a small growth in Revenue. The Revenue has grown by 3.66% in the last year.
  • Measured over the past years, CP shows a quite strong growth in Revenue. The Revenue has been growing by 14.36% on average per year.
EPS 1Y (TTM)8.22%
EPS 3Y7.32%
EPS 5Y5.46%
EPS Q2Q%3.1%
Revenue 1Y (TTM)3.66%
Revenue growth 3Y19.6%
Revenue growth 5Y14.36%
Sales Q2Q%1.26%

3.2 Future

  • The Earnings Per Share is expected to grow by 21.59% on average over the next years. This is a very strong growth
  • CP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.67% yearly.
EPS Next Y15.88%
EPS Next 2Y14.98%
EPS Next 3Y14.6%
EPS Next 5Y21.59%
Revenue Next Year4.83%
Revenue Next 2Y5.57%
Revenue Next 3Y6.36%
Revenue Next 5Y5.67%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
CP Yearly Revenue VS EstimatesCP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 5B 10B 15B
CP Yearly EPS VS EstimatesCP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 5 10

More info and screens

Find the best growth stocksShow best growing peers

4

4. CP Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 23.79, the valuation of CP can be described as rather expensive.
  • CP's Price/Earnings ratio is a bit cheaper when compared to the industry. CP is cheaper than 69.05% of the companies in the same industry.
  • CP is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.60, which is the current average of the S&P500 Index.
  • With a Price/Forward Earnings ratio of 20.54, CP is valued on the expensive side.
  • CP's Price/Forward Earnings ratio is rather cheap when compared to the industry. CP is cheaper than 83.33% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.84, CP is valued at the same level.
Industry RankSector Rank
PE 23.79
Fwd PE 20.54
CP Price Earnings VS Forward Price EarningsCP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

  • CP's Enterprise Value to EBITDA is on the same level as the industry average.
  • Based on the Price/Free Cash Flow ratio, CP is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 45.42
EV/EBITDA 15.5
CP Per share dataCP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of CP may justify a higher PE ratio.
  • CP's earnings are expected to grow with 14.60% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.5
PEG (5Y)4.36
EPS Next 2Y14.98%
EPS Next 3Y14.6%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. CP Dividend Analysis

5.1 Amount

  • With a yearly dividend of 0.83%, CP is not a good candidate for dividend investing.
  • CP's Dividend Yield is a higher than the industry average which is at 0.71.
  • With a Dividend Yield of 0.83, CP pays less dividend than the S&P500 average, which is at 1.88.
Industry RankSector Rank
Dividend Yield 0.83%

5.2 History

  • The dividend of CP has a limited annual growth rate of 4.71%.
  • CP has been paying a dividend for at least 10 years, so it has a reliable track record.
  • The dividend of CP decreased recently.
Dividend Growth(5Y)4.71%
Div Incr Years0
Div Non Decr Years1
CP Yearly Dividends per shareCP Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8

5.3 Sustainability

  • 19.22% of the earnings are spent on dividend by CP. This is a low number and sustainable payout ratio.
  • CP's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP19.22%
EPS Next 2Y14.98%
EPS Next 3Y14.6%
CP Yearly Income VS Free CF VS DividendCP Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B
CP Dividend Payout.CP Dividend Payout, showing the Payout Ratio.CP Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

CP Fundamentals: All Metrics, Ratios and Statistics

CANADIAN PACIFIC KANSAS CITY

NYSE:CP (4/2/2026, 5:22:01 PM)

After market: 78.97 0 (0%)

78.97

+0.95 (+1.22%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)01-28
Earnings (Next)04-28
Inst Owners73.67%
Inst Owner Change-1.54%
Ins Owners0.03%
Ins Owner Change0%
Market Cap70.91B
Revenue(TTM)15.08B
Net Income(TTM)4.14B
Analysts82.86
Price Target91.4 (15.74%)
Short Float %0.79%
Short Ratio2.49
Dividend
Industry RankSector Rank
Dividend Yield 0.83%
Yearly Dividend0.63
Dividend Growth(5Y)4.71%
DP19.22%
Div Incr Years0
Div Non Decr Years1
Ex-Date03-27
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.35%
Min EPS beat(2)-4.7%
Max EPS beat(2)-4%
EPS beat(4)0
Avg EPS beat(4)-3.43%
Min EPS beat(4)-4.7%
Max EPS beat(4)-1.24%
EPS beat(8)2
Avg EPS beat(8)-2.32%
EPS beat(12)3
Avg EPS beat(12)-3.19%
EPS beat(16)4
Avg EPS beat(16)-3.1%
Revenue beat(2)0
Avg Revenue beat(2)-3.82%
Min Revenue beat(2)-3.97%
Max Revenue beat(2)-3.68%
Revenue beat(4)0
Avg Revenue beat(4)-3.75%
Min Revenue beat(4)-5.44%
Max Revenue beat(4)-1.89%
Revenue beat(8)0
Avg Revenue beat(8)-3.53%
Revenue beat(12)0
Avg Revenue beat(12)-3.78%
Revenue beat(16)0
Avg Revenue beat(16)-3.84%
PT rev (1m)-0.01%
PT rev (3m)0.33%
EPS NQ rev (1m)-0.43%
EPS NQ rev (3m)-5.49%
EPS NY rev (1m)-1.75%
EPS NY rev (3m)-2.43%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)-4.16%
Revenue NY rev (1m)-1.79%
Revenue NY rev (3m)-1.79%
Valuation
Industry RankSector Rank
PE 23.79
Fwd PE 20.54
P/S 6.53
P/FCF 45.42
P/OCF 18.56
P/B 2.15
P/tB 4.02
EV/EBITDA 15.5
EPS(TTM)3.32
EY4.2%
EPS(NY)3.84
Fwd EY4.87%
FCF(TTM)1.74
FCFY2.2%
OCF(TTM)4.26
OCFY5.39%
SpS12.09
BVpS36.77
TBVpS19.66
PEG (NY)1.5
PEG (5Y)4.36
Graham Number52.41
Profitability
Industry RankSector Rank
ROA 4.82%
ROE 9.03%
ROCE 7.09%
ROIC 5.36%
ROICexc 5.37%
ROICexgc 7.29%
OM 37.62%
PM (TTM) 27.46%
GM 85.38%
FCFM 14.39%
ROA(3y)4.66%
ROA(5y)4.59%
ROE(3y)8.75%
ROE(5y)8.75%
ROIC(3y)4.95%
ROIC(5y)4.45%
ROICexc(3y)4.98%
ROICexc(5y)4.47%
ROICexgc(3y)6.83%
ROICexgc(5y)5.59%
ROCE(3y)6.57%
ROCE(5y)5.87%
ROICexgc growth 3Y25.69%
ROICexgc growth 5Y-9.35%
ROICexc growth 3Y13.7%
ROICexc growth 5Y-14.44%
OM growth 3Y-0.13%
OM growth 5Y-2.61%
PM growth 3Y-11.71%
PM growth 5Y-2.83%
GM growth 3Y1.7%
GM growth 5Y-0.77%
F-Score7
Asset Turnover0.18
Health
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 10.69
Debt/EBITDA 2.75
Cap/Depr 155.52%
Cap/Sales 20.83%
Interest Coverage 6.57
Cash Conversion 69.03%
Profit Quality 52.38%
Current Ratio 0.49
Quick Ratio 0.41
Altman-Z 2.13
F-Score7
WACC8.86%
ROIC/WACC0.6
Cap/Depr(3y)156.06%
Cap/Depr(5y)167.92%
Cap/Sales(3y)20.14%
Cap/Sales(5y)19.45%
Profit Quality(3y)52.93%
Profit Quality(5y)61.58%
High Growth Momentum
Growth
EPS 1Y (TTM)8.22%
EPS 3Y7.32%
EPS 5Y5.46%
EPS Q2Q%3.1%
EPS Next Y15.88%
EPS Next 2Y14.98%
EPS Next 3Y14.6%
EPS Next 5Y21.59%
Revenue 1Y (TTM)3.66%
Revenue growth 3Y19.6%
Revenue growth 5Y14.36%
Sales Q2Q%1.26%
Revenue Next Year4.83%
Revenue Next 2Y5.57%
Revenue Next 3Y6.36%
Revenue Next 5Y5.67%
EBIT growth 1Y7.12%
EBIT growth 3Y19.44%
EBIT growth 5Y11.37%
EBIT Next Year38.95%
EBIT Next 3Y17.83%
EBIT Next 5Y13.95%
FCF growth 1Y-9.85%
FCF growth 3Y-5.68%
FCF growth 5Y13.91%
OCF growth 1Y0.76%
OCF growth 3Y8.63%
OCF growth 5Y13.63%

CANADIAN PACIFIC KANSAS CITY / CP Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for CANADIAN PACIFIC KANSAS CITY?

ChartMill assigns a fundamental rating of 5 / 10 to CP.


What is the valuation status of CANADIAN PACIFIC KANSAS CITY (CP) stock?

ChartMill assigns a valuation rating of 4 / 10 to CANADIAN PACIFIC KANSAS CITY (CP). This can be considered as Fairly Valued.


How profitable is CANADIAN PACIFIC KANSAS CITY (CP) stock?

CANADIAN PACIFIC KANSAS CITY (CP) has a profitability rating of 7 / 10.


Can you provide the expected EPS growth for CP stock?

The Earnings per Share (EPS) of CANADIAN PACIFIC KANSAS CITY (CP) is expected to grow by 15.88% in the next year.


How sustainable is the dividend of CANADIAN PACIFIC KANSAS CITY (CP) stock?

The dividend rating of CANADIAN PACIFIC KANSAS CITY (CP) is 5 / 10 and the dividend payout ratio is 19.22%.