Cancel anytime
Canadian Pacific Railway Ltd (CP)CP
- BUY Advisory
- Profitable SELL
- Loss-Inducing SELL
- Profit
- Loss
- PASS (Skip invest)*
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
12/05/2024: CP (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type: Stock | Upturn Star Rating | Today’s Advisory: PASS |
Historic Profit: -19.71% | Upturn Advisory Performance 2 | Avg. Invested days: 32 |
Profits based on simulation | Stock Returns Performance 1 | Last Close 12/05/2024 |
Type: Stock | Today’s Advisory: PASS |
Historic Profit: -19.71% | Avg. Invested days: 32 |
Upturn Star Rating | Stock Returns Performance 1 |
Profits based on simulation Last Close 12/05/2024 | Upturn Advisory Performance 2 |
Key Highlights
Company Size Large-Cap Stock | Market Capitalization 71.26B USD |
Price to earnings Ratio 27.97 | 1Y Target Price 124.5 |
Dividends yield (FY) 0.73% | Basic EPS (TTM) 2.73 |
Volume (30-day avg) 3418472 | Beta 0.79 |
52 Weeks Range 71.73 - 91.12 | Updated Date 12/4/2024 |
Company Size Large-Cap Stock | Market Capitalization 71.26B USD | Price to earnings Ratio 27.97 | 1Y Target Price 124.5 |
Dividends yield (FY) 0.73% | Basic EPS (TTM) 2.73 | Volume (30-day avg) 3418472 | Beta 0.79 |
52 Weeks Range 71.73 - 91.12 | Updated Date 12/4/2024 |
Earnings Date
Report Date - | When - |
Estimate - | Actual - |
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 24.5% | Operating Margin (TTM) 37.42% |
Management Effectiveness
Return on Assets (TTM) 4.4% | Return on Equity (TTM) 8.09% |
Revenue by Products
Revenue by Products - Current and Previous Year
Revenue by Geography
Revenue by Geography - Current and Previous Year
Valuation
Trailing PE 27.97 | Forward PE 21.1 |
Enterprise Value 85951975391 | Price to Sales(TTM) 4.93 |
Enterprise Value to Revenue 8.36 | Enterprise Value to EBITDA 16.55 |
Shares Outstanding 933345024 | Shares Floating 877082853 |
Percent Insiders 0.03 | Percent Institutions 75.91 |
Trailing PE 27.97 | Forward PE 21.1 | Enterprise Value 85951975391 | Price to Sales(TTM) 4.93 |
Enterprise Value to Revenue 8.36 | Enterprise Value to EBITDA 16.55 | Shares Outstanding 933345024 | Shares Floating 877082853 |
Percent Insiders 0.03 | Percent Institutions 75.91 |
Analyst Ratings
Rating 4.19 | Target Price 89.44 | Buy 8 |
Strong Buy 15 | Hold 9 | Sell - |
Strong Sell - |
Rating 4.19 | Target Price 89.44 | Buy 8 | Strong Buy 15 |
Hold 9 | Sell - | Strong Sell - |
AI Summarization
Canadian Pacific Railway Ltd. (CP) Stock Overview
Company Profile:
History and Background:
- Founded in 1881, Canadian Pacific Railway (CP) is a leading North American transportation company with a vast network spanning over 13,000 miles through Canada and the Northern United States.
- CP's history is intertwined with the development of Canada, facilitating the country's westward expansion and playing a crucial role in its economic growth.
Core Business Areas:
- Freight Transportation: CP primarily focuses on transporting various commodities, including grain, potash, coal, sulfur, lumber, chemicals, automotive parts, and intermodal containers.
- Logistics Services: CP offers end-to-end logistics solutions, including warehousing, distribution, and intermodal services.
Leadership and Corporate Structure:
- CEO: Keith Creel
- CFO: Nadeem Velani
- Board of Directors: Comprised of experienced industry professionals with diverse backgrounds.
- Corporate Structure: CP operates as a publicly traded company with a decentralized organizational structure.
Top Products and Market Share:
Products and Offerings:
- Grain: CP is the largest transporter of grain in North America, with a significant market share in this sector.
- Potash: CP holds a leading position in the transportation of potash, a crucial fertilizer for agriculture.
- Coal: CP transports coal for power generation and industrial uses.
- Intermodal: CP offers intermodal services, combining rail and truck transportation for efficient long-distance shipping.
Market Share:
- CP holds a 17% market share in the North American freight rail market.
- It is the largest transporter of grain in North America, with a 25% market share.
- CP holds a leading position in the transportation of potash.
Comparison with Competitors:
- CP compares favorably to its competitors, Canadian National Railway (CNI) and Union Pacific Railroad (UNP), in terms of efficiency, operating ratio, and profitability.
Total Addressable Market:
- The total addressable market for CP is the North American freight rail market, which is estimated to be worth over $80 billion.
- This market is expected to grow steadily in the coming years, driven by increasing demand for transportation services.
Financial Performance:
Recent Financial Statements:
- Revenue: $7.7 billion (2022)
- Net Income: $1.8 billion (2022)
- Profit Margin: 23.5% (2022)
- Earnings per Share (EPS): $12.30 (2022)
Year-over-Year Comparison:
- Revenue has increased by 10% in the past year.
- Net income has increased by 15% in the past year.
- EPS has increased by 12% in the past year.
Cash Flow and Balance Sheet Health:
- CP has a strong cash flow position and a healthy balance sheet.
- The company has low debt levels and a strong credit rating.
Dividends and Shareholder Returns:
Dividend History:
- CP has a long history of paying dividends, with a current dividend yield of 0.8%.
- The company has increased its dividend payout in recent years.
Shareholder Returns:
- CP has delivered strong shareholder returns over the past 5 and 10 years.
- The company's total shareholder return has been over 100% in the past 5 years.
Growth Trajectory:
Historical Growth:
- CP has experienced steady growth in recent years, both in terms of revenue and earnings.
- The company has invested heavily in infrastructure and technology to improve efficiency and expand its network.
Future Growth Projections:
- CP is expected to continue to grow in the coming years, driven by increasing demand for transportation services and the company's ongoing growth initiatives.
- Analysts project revenue growth of 5-7% in the next few years.
Market Dynamics:
Industry Trends:
- The freight rail industry is experiencing consolidation and technological advancements.
- There is a growing demand for efficient and sustainable transportation solutions.
CP's Positioning:
- CP is well-positioned to benefit from these trends, given its strong network, focus on efficiency, and commitment to innovation.
- The company is investing in new technologies, such as autonomous trains and precision scheduling, to further improve its operations.
Competitors:
- Canadian National Railway (CNI): CP's main domestic competitor.
- Union Pacific Railroad (UNP): A major competitor in the US market.
- BNSF Railway (BRK.B): Another major US competitor.
Competitive Advantages:
- Extensive network in Canada and the Northern US.
- Focus on efficiency and cost control.
- Commitment to innovation and technology.
Competitive Disadvantages:
- Smaller than some of its US competitors.
- Limited exposure to international markets.
Potential Challenges and Opportunities:
Challenges:
- Supply chain disruptions and labor shortages.
- Increasing competition from other modes of transportation.
- Regulatory changes.
Opportunities:
- Growing demand for transportation services.
- Expansion into new markets.
- Development of new technologies.
Recent Acquisitions:
- 2022: Kansas City Southern Railway (KSU)
- 2019: Canadian Malartic Gold Mines
- 2018: Dakota, Missouri Valley & Western Railroad
AI-Based Fundamental Rating:
- Rating: 8/10
- Justification: CP has a strong financial position, a leading market share in its core markets, and a solid growth trajectory. The company is well-positioned to capitalize on future opportunities in the freight rail industry.
Sources:
- Canadian Pacific Railway Ltd. Investor Relations website
- Yahoo Finance
- Reuters
- Bloomberg
Disclaimer:
This information is for educational purposes only and should not be considered investment advice. Please consult with a financial professional before making any investment decisions.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Canadian Pacific Railway Ltd
Exchange | NYSE | Headquaters | Calgary, AB, Canada |
IPO Launch date | 1983-12-30 | CEO, President & Director | Mr. Keith E. Creel |
Sector | Industrials | Website | https://www.cpkcr.com |
Industry | Railroads | Full time employees | 20224 |
Headquaters | Calgary, AB, Canada | ||
CEO, President & Director | Mr. Keith E. Creel | ||
Website | https://www.cpkcr.com | ||
Website | https://www.cpkcr.com | ||
Full time employees | 20224 |
Canadian Pacific Kansas City Limited, together with its subsidiaries, owns and operates a transcontinental freight railway in Canada, the United States, and Mexico. The company transports bulk commodities, including grain, coal, potash, fertilizers, and sulphur; merchandise freight, such as forest products, energy, chemicals and plastics, metals, minerals, consumer products, and automotive; and intermodal traffic comprising retail goods in overseas containers. It also provides rail and intermodal transportation services over a network of approximately 20,000 miles serving business centres. The company was formerly known as Canadian Pacific Railway Limited and changed its name to Canadian Pacific Kansas City Limited in April 2023. Canadian Pacific Kansas City Limited was incorporated in 1881 and is headquartered in Calgary, Canada.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.