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

Canadian Pacific Kansas City Limited (NYSE:CP) (TSE:CP) shares hit a new 52-week high on Thursday . The stock traded as high as $93.95 and last traded at $93.7150, with a volume of 270630 shares. The stock had previously closed at $92.69.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on the stock. Citigroup increased their target price on shares of Canadian Pacific Kansas City from $106.00 to $109.00 and gave the stock a “buy” rating in a report on Thursday, July 30th. Susquehanna boosted their price target on shares of Canadian Pacific Kansas City from $104.00 to $106.00 and gave the stock a “positive” rating in a research note on Tuesday, July 14th. Barclays set a $102.00 price objective on Canadian Pacific Kansas City and gave the stock an “overweight” rating in a research report on Thursday, June 25th. Royal Bank Of Canada reiterated an “outperform” rating and issued a $145.00 price objective (up from $139.00) on shares of Canadian Pacific Kansas City in a research note on Thursday, July 30th. Finally, Weiss Ratings upgraded Canadian Pacific Kansas City from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, July 2nd. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $108.60.

Canadian Pacific Kansas City Trading Down 0.4%

The company’s fifty day moving average is $89.72 and its two-hundred day moving average is $85.41. The stock has a market cap of $82.16 billion, a price-to-earnings ratio of 30.08, a PEG ratio of 1.84 and a beta of 1.10. The company has a quick ratio of 0.50, a current ratio of 0.59 and a debt-to-equity ratio of 0.47.

Canadian Pacific Kansas City (NYSE:CP) (TSE:CP) last issued its quarterly earnings results on Wednesday, July 29th. The transportation company reported $0.92 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.89 by $0.03. Canadian Pacific Kansas City had a net margin of 25.02% and a return on equity of 9.02%. The company had revenue of $2.93 billion during the quarter, compared to the consensus estimate of $2.89 billion. During the same quarter in the previous year, the firm earned $1.12 earnings per share. The firm’s quarterly revenue was up 12.6% on a year-over-year basis. On average, research analysts predict that Canadian Pacific Kansas City Limited will post 3.7 EPS for the current fiscal year.

Canadian Pacific Kansas City Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, October 26th. Stockholders of record on Friday, September 25th will be issued a $0.268 dividend. This represents a $1.07 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date is Friday, September 25th. Canadian Pacific Kansas City’s dividend payout ratio (DPR) is presently 25.08%.

Hedge Funds Weigh In On Canadian Pacific Kansas City

Institutional investors and hedge funds have recently modified their holdings of the company. Norges Bank purchased a new position in Canadian Pacific Kansas City in the fourth quarter valued at $978,558,000. Connor Clark & Lunn Investment Management Ltd. purchased a new stake in Canadian Pacific Kansas City during the 2nd quarter worth about $802,983,000. The Manufacturers Life Insurance Company acquired a new position in shares of Canadian Pacific Kansas City during the 2nd quarter worth about $657,672,000. Legal & General Group Plc acquired a new position in shares of Canadian Pacific Kansas City during the 2nd quarter worth about $604,797,000. Finally, Jupiter Topco LLC purchased a new position in shares of Canadian Pacific Kansas City in the 2nd quarter valued at about $576,687,000. Institutional investors and hedge funds own 72.20% of the company’s stock.

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.