CANADIAN PACIFIC KANSAS CITY (CP) Stock Fundamental Analysis

NYSE:CP • CA13646K1084

87.59 USD
+0.47 (+0.54%)
At close: Feb 27, 2026
87 USD
-0.59 (-0.67%)
Pre-Market: 3/2/2026, 8:03:39 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to CP. CP was compared to 42 industry peers in the Ground Transportation industry. While CP has a great profitability rating, there are quite some concerns on its financial health. CP has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year CP was profitable.
  • In the past year CP had a positive cash flow from operations.
  • In the past 5 years CP has always 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

  • CP has a better Return On Assets (4.82%) than 66.67% of its industry peers.
  • 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.
  • CP had an Average Return On Invested Capital over the past 3 years of 4.95%. This is below the industry average of 7.32%.
  • 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

  • CP's Profit Margin of 27.46% is amongst the best of the industry. CP outperforms 92.86% of its industry peers.
  • In the last couple of years the Profit Margin of CP has declined.
  • CP has a better Operating Margin (37.62%) than 95.24% of its industry peers.
  • CP's Operating Margin has declined in the last couple of years.
  • CP has a Gross Margin of 85.38%. This is amongst the best in the industry. CP outperforms 97.62% of its industry peers.
  • CP's Gross Margin has been stable in the last couple of years.
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. Health

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.
  • Compared to 1 year ago, CP has less shares outstanding
  • CP has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for CP is higher compared to a year ago.
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 2.28 indicates that CP is not a great score, but indicates only limited risk for bankruptcy at the moment.
  • CP has a Altman-Z score (2.28) which is comparable to the rest of the industry.
  • CP has a debt to FCF ratio of 10.69. This is a negative value and a sign of low solvency as CP would need 10.69 years to pay back of all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 10.69, CP is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
  • 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 of 0.46. This is comparable to the rest of the industry: CP outperforms 42.86% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 10.69
Altman-Z 2.28
ROIC/WACC0.57
WACC9.34%
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 92.86% of its industry peers.
  • A Quick Ratio of 0.41 indicates that CP may have some problems paying its short term obligations.
  • The Quick ratio of CP (0.41) is worse than 92.86% 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. Growth

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.
  • CP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.36% yearly.
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

  • Based on estimates for the next years, CP will show a very strong growth in Earnings Per Share. The EPS will grow by 21.59% on average per year.
  • CP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.97% yearly.
EPS Next Y17.95%
EPS Next 2Y15.45%
EPS Next 3Y15.46%
EPS Next 5Y21.59%
Revenue Next Year4.87%
Revenue Next 2Y5.56%
Revenue Next 3Y6.4%
Revenue Next 5Y5.97%

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. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 25.99, CP can be considered very expensive at the moment.
  • 71.43% of the companies in the same industry are more expensive than CP, based on the Price/Earnings ratio.
  • Compared to an average S&P500 Price/Earnings ratio of 27.07, CP is valued at the same level.
  • CP is valuated rather expensively with a Price/Forward Earnings ratio of 22.02.
  • Based on the Price/Forward Earnings ratio, CP is valued a bit cheaper than 73.81% of the companies in the same industry.
  • CP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 28.05, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 25.99
Fwd PE 22.02
CP Price Earnings VS Forward Price EarningsCP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 50 100 150

4.2 Price Multiples

  • CP's Enterprise Value to EBITDA ratio is in line with the industry average.
  • CP's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CP is cheaper than 64.29% of the companies in the same industry.
Industry RankSector Rank
P/FCF 49.56
EV/EBITDA 16.82
CP Per share dataCP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • CP's 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 15.46% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.45
PEG (5Y)4.76
EPS Next 2Y15.45%
EPS Next 3Y15.46%

More info and screens

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

5

5. Dividend

5.1 Amount

  • CP has a yearly dividend return of 0.76%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.66, CP pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.76, CP pays less dividend than the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 0.76%

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.
  • CP has decreased its dividend 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.
  • The dividend of CP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP19.22%
EPS Next 2Y15.45%
EPS Next 3Y15.46%
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

CANADIAN PACIFIC KANSAS CITY

NYSE:CP (2/27/2026, 8:04:00 PM)

Premarket: 87 -0.59 (-0.67%)

87.59

+0.47 (+0.54%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)01-28
Earnings (Next)04-28
Inst Owners75.74%
Inst Owner Change-1.46%
Ins Owners0.02%
Ins Owner Change0%
Market Cap78.63B
Revenue(TTM)15.08B
Net Income(TTM)4.14B
Analysts82.86
Price Target91.4 (4.35%)
Short Float %0.87%
Short Ratio3.21
Dividend
Industry RankSector Rank
Dividend Yield 0.76%
Yearly Dividend0.64
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)0.7%
PT rev (3m)2.73%
EPS NQ rev (1m)-4.79%
EPS NQ rev (3m)-6.15%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.23%
Revenue NQ rev (1m)-3.78%
Revenue NQ rev (3m)-4.49%
Revenue NY rev (1m)-1.75%
Revenue NY rev (3m)-1.74%
Valuation
Industry RankSector Rank
PE 25.99
Fwd PE 22.02
P/S 7.13
P/FCF 49.56
P/OCF 20.25
P/B 2.34
P/tB 4.38
EV/EBITDA 16.82
EPS(TTM)3.37
EY3.85%
EPS(NY)3.98
Fwd EY4.54%
FCF(TTM)1.77
FCFY2.02%
OCF(TTM)4.33
OCFY4.94%
SpS12.29
BVpS37.38
TBVpS19.99
PEG (NY)1.45
PEG (5Y)4.76
Graham Number53.24
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 2.28
F-Score7
WACC9.34%
ROIC/WACC0.57
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 Y17.95%
EPS Next 2Y15.45%
EPS Next 3Y15.46%
EPS Next 5Y21.59%
Revenue 1Y (TTM)3.66%
Revenue growth 3Y19.6%
Revenue growth 5Y14.36%
Sales Q2Q%1.26%
Revenue Next Year4.87%
Revenue Next 2Y5.56%
Revenue Next 3Y6.4%
Revenue Next 5Y5.97%
EBIT growth 1Y7.12%
EBIT growth 3Y19.44%
EBIT growth 5Y11.37%
EBIT Next Year38.95%
EBIT Next 3Y17.83%
EBIT Next 5Y14.35%
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 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.


What is the profitability of CP stock?

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


What are the PE and PB ratios of CANADIAN PACIFIC KANSAS CITY (CP) stock?

The Price/Earnings (PE) ratio for CANADIAN PACIFIC KANSAS CITY (CP) is 25.99 and the Price/Book (PB) ratio is 2.34.


Can you provide the financial health for CP stock?

The financial health rating of CANADIAN PACIFIC KANSAS CITY (CP) is 3 / 10.