Assessing Whether Canadian Pacific Kansas City Limited (NYSE: CP) Is Over- Or Undervalued

Canadian Pacific Kansas City Limited (CP) concluded trading on Wednesday at a closing price of $78.84, with 6.06 million shares of worth about $477.46 million changed hands on the day. Half year performance of the stock remained negative as price took a plunge of -4.18% during that period and on January 29, 2025 the price saw a loss of about -0.45%. Currently the company’s common shares owned by public are about 933.30M shares, out of which, 933.08M shares are available for trading.

Stock saw a price change of 0.54% in past 5 days and over the past one month there was a price change of 7.79%. Year-to-date (YTD), CP shares are showing a performance of 8.94% which increased to 0.31% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $70.89 but also hit the highest price of $91.58 during that period. The average intraday trading volume for Canadian Pacific Kansas City Limited shares is 3.02 million. The stock is currently trading 3.56% above its 20-day simple moving average (SMA20), while that difference is up 4.80% for SMA50 and it goes to -0.89% lower than SMA200.

Canadian Pacific Kansas City Limited (NYSE: CP) currently have 933.30M outstanding shares and institutions hold larger chunk of about 73.41% of that.

The stock has a current market capitalization of $73.59B and its 3Y-monthly beta is at 0.98. PE ratio of stock for trailing 12 months is 28.33, while it has posted earnings per share of $2.78 in the same period. Its PEG reads 1.74 and has Quick Ratio of 0.46 while making debt-to-equity ratio of 0.50. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for CP, volatility over the week remained 1.85% while standing at 1.79% over the month.

Stock’s fiscal year EPS is expected to rise by 15.53% while it is estimated to increase by 15.08% in next year. EPS is likely to grow at an annualized rate of 16.26% for next 5-years, compared to annual growth of 8.14% made by the stock over the past 5-years.

Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Wolfe Research on January 08, 2025 offering an Outperform rating for the stock and assigned a target price of $86 to it. Coverage by Stephens stated Canadian Pacific Kansas City Limited (CP) stock as an Overweight in their note to investors on January 06, 2025, suggesting a price target of $88 for the stock. On October 24, 2024, Susquehanna Upgrade their recommendations, while on October 09, 2024, Citigroup Initiated their ratings for the stock with a price target of $97. Stock get a Sector outperform rating from Scotiabank on July 10, 2024.

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