Canadian Pacific Kansas City (NYSE:CP) Sets New 1-Year High – Should You Buy?

Canadian Pacific Kansas City Limited (NYSE:CP) (TSE:CP)’s share price hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $83.86 and last traded at $83.1830, with a volume of 474845 shares traded. The stock had previously closed at $83.08.

Wall Street Analyst Weigh In

CP has been the subject of several analyst reports. Weiss Ratings reissued a “hold (c)” rating on shares of Canadian Pacific Kansas City in a report on Thursday, October 30th. Scotiabank reaffirmed an “outperform” rating on shares of Canadian Pacific Kansas City in a report on Wednesday, January 21st. Wall Street Zen raised shares of Canadian Pacific Kansas City from a “sell” rating to a “hold” rating in a research note on Saturday. Royal Bank Of Canada reissued an “outperform” rating and issued a $124.00 price objective (down from $127.00) on shares of Canadian Pacific Kansas City in a research note on Thursday, January 29th. Finally, Jefferies Financial Group set a $90.00 target price on shares of Canadian Pacific Kansas City in a research report on Thursday, October 30th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, Canadian Pacific Kansas City presently has an average rating of “Moderate Buy” and a consensus target price of $92.00.

Canadian Pacific Kansas City Price Performance

The company has a debt-to-equity ratio of 0.46, a quick ratio of 0.54 and a current ratio of 0.63. The company has a 50 day moving average of $74.17 and a 200 day moving average of $74.20. The stock has a market capitalization of $75.12 billion, a price-to-earnings ratio of 25.84, a PEG ratio of 1.71 and a beta of 1.10.

Canadian Pacific Kansas City (NYSE:CP) (TSE:CP) last posted its earnings results on Wednesday, January 28th. The transportation company reported $0.95 earnings per share for the quarter, missing the consensus estimate of $0.99 by ($0.04). The firm had revenue of $2.85 billion during the quarter, compared to analysts’ expectations of $2.85 billion. Canadian Pacific Kansas City had a net margin of 27.49% and a return on equity of 8.88%. The firm’s revenue for the quarter was up 1.3% on a year-over-year basis. During the same period in the previous year, the firm posted $1.29 earnings per share. As a group, equities research analysts anticipate that Canadian Pacific Kansas City Limited will post 3.42 EPS for the current year.

Canadian Pacific Kansas City Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, April 27th. Stockholders of record on Friday, March 27th will be paid a $0.228 dividend. This represents a $0.91 annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Friday, March 27th. Canadian Pacific Kansas City’s dividend payout ratio (DPR) is 20.43%.

Institutional Trading of Canadian Pacific Kansas City

Hedge funds have recently bought and sold shares of the company. Dilation Capital Management LP raised its position in shares of Canadian Pacific Kansas City by 4.4% in the 3rd quarter. Dilation Capital Management LP now owns 170,269 shares of the transportation company’s stock valued at $12,683,000 after purchasing an additional 7,105 shares in the last quarter. AGF Management Ltd. grew its holdings in Canadian Pacific Kansas City by 9.9% during the 3rd quarter. AGF Management Ltd. now owns 2,001,292 shares of the transportation company’s stock worth $149,215,000 after acquiring an additional 180,419 shares in the last quarter. Meixler Investment Management Ltd. acquired a new stake in shares of Canadian Pacific Kansas City in the 3rd quarter valued at about $1,644,000. Nicola Wealth Management LTD. lifted its position in shares of Canadian Pacific Kansas City by 46.8% during the third quarter. Nicola Wealth Management LTD. now owns 141,500 shares of the transportation company’s stock worth $10,539,000 after purchasing an additional 45,100 shares during the last quarter. Finally, Envestnet Asset Management Inc. grew its stake in Canadian Pacific Kansas City by 1.3% in the third quarter. Envestnet Asset Management Inc. now owns 1,127,435 shares of the transportation company’s stock worth $83,985,000 after purchasing an additional 14,916 shares in the last quarter. Institutional investors and hedge funds own 72.20% of the company’s stock.

About Canadian Pacific Kansas City

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.