Canadian Pacific Kansas City Limited

Canadian Pacific Kansas City Limited

CP

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Market Cap$79.29B
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Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Canadian Pacific Kansas City LimitedCanadian Pacific Kansas City Limited27.10.74%12%5.60.5

Earnings Call Q1 2026

May 1, 2026 - AI Summary

Solid Q1 Performance with Strong Revenue: CPKC reported Q1 revenues of $3.7 billion, achieving a 2% volume growth on an RTM basis. The operating ratio was 63%, with earnings per share at $1.04, down 2% year-over-year. Notably, the strong execution across operational, commercial, and financial metrics was emphasized despite a challenging economic environment impacted by volatile fuel and foreign exchange markets.
Positive Outlook for Q2 and Beyond: The company forecasts a rebound in earnings growth, expecting double-digit EPS growth in Q2 2026, supported by record volumes in April and improving yield comparisons. The network is running well, and with winter challenges passed, there is confidence in the ability to deliver a strong performance in the latter half of the year.
Challenges in Coal Business: The coal segment continues to face headwinds due to issues with customer mine production and tariffs affecting cross-border steel business. The management does not anticipate significant coal volume recovery until Q3 2026, indicating that coal could remain a drag on overall volume growth through Q2.

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Target Price by Analysts

6.6% upsideCanadian Pacific Kansas City Limited Target Price DetailsTarget Price
$52.97

Current Fair Value

40.6% downside

Overvalued by 40.6% based on the discounted cash flow analysis.

Share Statistics

Market cap$79.29 Billion
Enterprise Value$96.48 Billion
Dividend Yield$0.66 (0.74%)
Earnings per Share$4.52
Beta1.22
Outstanding Shares896,800,000

Return

Return on Equity12.21%ROE
Return on Assets6.47%
Return on Invested Capital10.60%

Valuation & Multiples

P/E Ratio27.08P/E Ratio
PEG-385.01PEG
Price to Sales5.57Price to Sales
Price to Book Ratio2.35Price to Book Ratio
Enterprise Value to Revenue6.44
Enterprise Value to EBIT15.33
Enterprise Value to Net Income23
Total Debt to Enterprise0.18
Debt to Equity0.52Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
April 29, 2026
EPS Estimate
$0.78
Average shareholder expectation
Revenue Estimate
$2.70 B
Average shareholder expectation

Next Earnings Call

Expected Date
July 29, 2026
EPS Estimate
$0.91
Average shareholder expectation
Revenue Estimate
$2.91 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio0.5963 25.85%
Total Calls1,670,300 2.09%
Total Puts996,000 80.21%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %65.80% 0.97%
Total Invested$47.57B 5.16%
Investors Holding967 15.00%

ESG Score

No data

About Canadian Pacific Railway Ltd

Relevant Senate Committees

Joint Committee on Taxation

This committee provides the technical analysis and revenue estimates for all tax legislation. Its work directly shapes tax policy, influencing corporate tax structures, capital expenditure incentives, and the overall tax burden on CP and its industry.

Finance

This powerful committee controls taxation and trade. Its decisions on corporate tax rates, depreciation rules, investment credits, and international trade agreements directly impact CP's profitability, capital investment decisions, and cross-border freight volumes.

Appropriations

This committee allocates federal discretionary spending. Its subcommittees directly fund transportation infrastructure projects, critical infrastructure resilience, and other programs that can provide contracts or significant capital improvements beneficial to CP.

Agriculture, Nutrition, and Forestry

Railroads are major transporters of agricultural products. The Farm Bill and other agricultural policies determined by this committee directly influence commodity production, supply chains, and, consequently, a significant portion of CP's freight volumes.

Health, Education, Labor, and Pensions

Railroads operate with a heavily unionized workforce, making labor laws, union regulations, and pension policies (all under this committee's jurisdiction) direct and significant drivers of operating costs, employee relations, and financial performance for CP.

Judiciary

This committee's oversight of antitrust laws and the Department of Justice is critically important for large corporations. Mega-mergers, such as CP's acquisition of Kansas City Southern, are subject to intense antitrust scrutiny and approval processes that this committee influences.

Commerce, Science, and Transportation

This is the primary oversight committee for the transportation sector, including railroads. It directly regulates interstate commerce and has jurisdiction over the Surface Transportation Board (STB), which regulates railroad rates, service, mergers, and competition.

Environment and Public Works

This committee directly impacts railroads through environmental regulations (emissions, land use) and its role in federal infrastructure programs that can fund or affect rail lines, bridges, and intermodal connections.