- The anticipated merger between Canadian Pacific Kansas City will likely provide a forecasted boost.
- The adjusted EPS is estimated at C$0.94, compared to the unadjusted EPS estimate of C$0.93.
- Revenue is projected to reach C$3.53 billion, with freight revenue accounting for C$3.46 billion of the total. Non-freight revenue is estimated at C$74.6 million.
- Total Freight Revenue per Carload is anticipated to be about C$3,169.
- Total carload estimates stand at 1.09 million, with intermodal carloads at approximately 420,242.
- The operating ratio is projected to be at 63.4%.
- Despite volatile weather conditions in 1Q24, Raymond James remains confident in the traffic recovery that emerged late the previous year.
- The current ratings spread consists of 21 buys, 12 holds, and 1 sell. The average price target is C$122.86, representing a 2.3% upside from the current price.
- The implied 1-day share move following earnings is projected at 2.4%.
- Stocks have risen by 9.1% in the past year, outpacing the SPTSX Index which increased by 6.5%.
- The quarter dividend is predicted to remain stable at C$0.190 per share, similar to the rate a year earlier.
- Earnings release is expected on April 24 at 9 a.m. Toronto time.
A look at Canadian Pacific Kansas City L Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Canadian Pacific Kansas City Limited, a transnational rail network operator, is positioned with a mixed outlook according to the Smartkarma Smart Scores. While the company exhibits promising momentum with a score of 4, indicating strong performance trends, its dividend score of 1 suggests a weaker payout to shareholders. With a value score of 3, Canadian Pacific Kansas City L demonstrates a moderate valuation compared to its peers, and its growth score of 3 reflects a balanced perspective on future expansion opportunities. However, the company’s resilience score of 2 indicates some vulnerability to potential challenges in the market.
Operating primarily in North America, Canadian Pacific Kansas City Limited focuses on transporting a diverse range of products including automotive, energy, chemicals, plastics, forestry, industrial, and temperature protected goods. While the company shows solid momentum, potential investors may want to consider the overall mixed outlook presented by the Smartkarma Smart Scores, which highlight varying strengths and weaknesses across different aspects of Canadian Pacific Kansas City L‘s performance and operations.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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