Canadian Pacific Kansas City (NYSE:CP) Reaches New 1-Year High – Still a Buy?

Canadian Pacific Kansas City Limited (NYSE:CP) (TSE:CP)’s share price reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $89.42 and last traded at $89.3090, with a volume of 2769646 shares. The stock had previously closed at $87.59.

Wall Street Analyst Weigh In

CP has been the subject of a number of analyst reports. Scotiabank reissued an “outperform” rating on shares of Canadian Pacific Kansas City in a research report on Wednesday, January 21st. Royal Bank Of Canada restated an “outperform” rating and set a $124.00 price objective (down from $127.00) on shares of Canadian Pacific Kansas City in a research note on Thursday, January 29th. Barclays set a $93.00 target price on Canadian Pacific Kansas City in a research report on Thursday, January 29th. Evercore decreased their price target on shares of Canadian Pacific Kansas City from $87.00 to $85.00 and set an “outperform” rating for the company in a research report on Thursday, January 29th. Finally, National Bank Financial cut shares of Canadian Pacific Kansas City from a “strong-buy” rating to a “hold” rating in a report on Thursday, January 8th. Ten analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, Canadian Pacific Kansas City has a consensus rating of “Moderate Buy” and a consensus target price of $92.00.

Canadian Pacific Kansas City Stock Performance

The firm has a market capitalization of $80.18 billion, a price-to-earnings ratio of 27.65, a price-to-earnings-growth ratio of 1.87 and a beta of 1.10. The company has a 50-day moving average of $77.28 and a 200-day moving average of $75.21. The company has a current ratio of 0.49, a quick ratio of 0.41 and a debt-to-equity ratio of 0.43.

Canadian Pacific Kansas City (NYSE:CP) (TSE:CP) last issued its earnings results on Wednesday, January 28th. The transportation company reported $0.95 earnings per share for the quarter, missing analysts’ consensus estimates of $0.99 by ($0.04). Canadian Pacific Kansas City had a return on equity of 8.91% and a net margin of 27.49%.The business had revenue of $2.85 billion for the quarter, compared to analyst estimates of $2.85 billion. During the same period last year, the company posted $1.29 earnings per share. The firm’s revenue for the quarter was up 1.3% on a year-over-year basis. On average, equities research analysts forecast that Canadian Pacific Kansas City Limited will post 3.42 earnings per share for the current fiscal year.

Canadian Pacific Kansas City Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, April 27th. Shareholders of record on Friday, March 27th will be issued a $0.228 dividend. The ex-dividend date of this dividend is Friday, March 27th. This represents a $0.91 dividend on an annualized basis and a yield of 1.0%. Canadian Pacific Kansas City’s dividend payout ratio (DPR) is currently 20.43%.

Institutional Trading of Canadian Pacific Kansas City

A number of institutional investors and hedge funds have recently made changes to their positions in CP. Prosperity Bancshares Inc bought a new position in Canadian Pacific Kansas City during the 4th quarter worth $26,000. Twin Peaks Wealth Advisors LLC acquired a new position in shares of Canadian Pacific Kansas City during the second quarter valued at $27,000. Gilpin Wealth Management LLC bought a new position in shares of Canadian Pacific Kansas City during the fourth quarter worth about $29,000. Caldwell Trust Co acquired a new stake in shares of Canadian Pacific Kansas City in the 3rd quarter worth about $30,000. Finally, McMillan Office Inc. acquired a new stake in shares of Canadian Pacific Kansas City in the 4th quarter worth about $31,000. 72.20% of the stock is currently owned by institutional investors and hedge funds.

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.