NYSE
CP
Last Price
US $93.50
KEY FIGURES
MKT CAP
$82.2B
EPS
TTM
$4.77
PEG
TTM
6.11x
P/E
TTM
19.59x
P/S
TTM
4.91x
YIELD
1.02%
GROWTH
Revenue Y/Y
14.36%
(FY vs FY)
EBITDA Y/Y
Cash Flow (DCF)
Fair Value
Market $93.50
-81.53%
Default assumptions
EBITDA Multiple
Fair Value
Market $93.50
-57.54%
Default assumptions
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Canadian Pacific Kansas City Ltd. cash flow to debt ratio of 22.90% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial risk - Healthy cash flow growth.
Canadian Pacific Kansas City Ltd.'s free cash flow has decreased -9.85% from $2.41G last year to $2.17G, signaling decreasing performance
Financial stability - Healthy debt to equity ratio.
Canadian Pacific Kansas City Ltd.'s debt to equity ratio is 0.54, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial risk - Healthy debt to equity ratio development.
Canadian Pacific Kansas City Ltd.'s debt has increased relative to shareholder equity from 0.48 last year to 0.54 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
Canadian Pacific Kansas City Ltd. has a net debt to EBITDA ratio of 2.75x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Canadian Pacific Kansas City Ltd.'s interest coverage ratio of 6.20 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
Canadian Pacific Kansas City Ltd.'s profit margin has decreased (-2.04%) in the last year from 25.56% to 25.04%, signaling decreasing performance
Financial risk - Short term assets vs short term liabilities.
Canadian Pacific Kansas City Ltd.'s short-term liabilities of $5.99G exceed its short-term assets of $2.94G, signaling financial risk
Decreasing performance - ROA.
Canadian Pacific Kansas City Ltd.'s return on assets of 4.74% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
Canadian Pacific Kansas City Ltd.'s return on equity of 8.35%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
Canadian Pacific Kansas City Ltd.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Canadian Pacific Kansas City Ltd. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Canadian Pacific Kansas City Ltd. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Canadian Pacific Kansas City Ltd. has a free cash flow yield of 2.64%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Canadian Pacific Kansas City Ltd.'s yearly earnings has increased 11.38% since last year from $3.72G to $4.14G, signaling increasing performance
Increasing performance - Healthy revenue growth.
Canadian Pacific Kansas City Ltd.'s yearly revenue has increased 3.66% since last year from $14.55G to $15.08G, signaling increasing performance
Increasing performance - ROIC.
ROIC 5.39% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
Canadian Pacific Kansas City Ltd.'s 3-year revenue CAGR of 19.60% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Canadian Pacific Kansas City Ltd. had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Canadian Pacific Kansas City Ltd. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Canadian Pacific Kansas City Ltd. is overvalued relative to its fair value price of 17.27 based on Discounted Cash Flow model
Undervalued - Earnings yield.
Canadian Pacific Kansas City Ltd. has an earnings yield of 5.10%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
Canadian Pacific Kansas City Ltd. is overvalued relative to its fair value price of 39.70 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Canadian Pacific Kansas City Ltd. has an EV/EBITDA ratio of 12.56x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Canadian Pacific Kansas City Ltd. has a PEG-ratio over 1 which is considered overvalued
Undervalued - P/B ratio.
Canadian Pacific Kansas City Ltd. has a price-to-book ratio of 1.74x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Canadian Pacific Kansas City Ltd. has a price-to-sales ratio of 4.91x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
8.35%
Return on equity
ROIC: 5.39%
Valuation History
27.1X
Price to Earnings
EV/EBITDA: 15.6X
Cash flow
Profit margin
13.54%
(FY vs FY)
Cash flow Y/Y
13.91%
(FY vs FY)
Base valuations use default assumptions. Customize in the Valuator.