Desjardins Issues Pessimistic Forecast for TSE:CP Earnings

Canadian Pacific Kansas City Limited (TSE:CP) (NYSE:CP) – Analysts at Desjardins dropped their FY2024 earnings per share estimates for Canadian Pacific Kansas City in a research note issued to investors on Wednesday, October 23rd. Desjardins analyst B. Poirier now forecasts that the company will post earnings per share of $4.26 for the year, down from their prior estimate of $4.29. Desjardins has a “Buy” rating and a $131.00 price objective on the stock. The consensus estimate for Canadian Pacific Kansas City’s current full-year earnings is $4.34 per share. Desjardins also issued estimates for Canadian Pacific Kansas City’s Q4 2024 earnings at $1.28 EPS, FY2025 earnings at $5.02 EPS, FY2026 earnings at $5.91 EPS, FY2027 earnings at $6.86 EPS and FY2028 earnings at $7.75 EPS.

A number of other analysts have also recently commented on CP. Barclays lifted their price target on Canadian Pacific Kansas City from C$95.00 to C$97.00 and gave the stock a “buy” rating in a research report on Wednesday, September 25th. Scotiabank upgraded Canadian Pacific Kansas City from a “sector perform” rating to an “outperform” rating and lifted their price objective for the company from C$124.00 to C$130.00 in a research note on Wednesday, July 10th. Royal Bank of Canada lowered their target price on Canadian Pacific Kansas City from C$137.00 to C$134.00 and set an “outperform” rating on the stock in a research note on Thursday. National Bankshares lifted their price target on Canadian Pacific Kansas City from C$107.00 to C$119.00 and gave the company a “sector perform” rating in a research report on Thursday. Finally, Sanford C. Bernstein lowered their price objective on Canadian Pacific Kansas City from C$126.00 to C$125.00 in a research report on Wednesday, October 9th. Four equities research analysts have rated the stock with a hold rating and ten have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of C$120.93.

Canadian Pacific Kansas City Price Performance

Shares of CP opened at C$108.76 on Friday. The company has a debt-to-equity ratio of 50.47, a current ratio of 0.51 and a quick ratio of 0.42. The company’s fifty day moving average price is C$112.34 and its 200-day moving average price is C$111.60. Canadian Pacific Kansas City has a 1-year low of C$94.45 and a 1-year high of C$123.37. The firm has a market capitalization of C$101.49 billion, a PE ratio of 29.16, a price-to-earnings-growth ratio of 2.32 and a beta of 0.79.

Canadian Pacific Kansas City (TSE:CP) (NYSE:CP) last released its earnings results on Tuesday, July 30th. The company reported C$1.05 EPS for the quarter, topping analysts’ consensus estimates of C$1.01 by C$0.04. Canadian Pacific Kansas City had a net margin of 24.46% and a return on equity of 8.10%. The company had revenue of C$3.60 billion during the quarter, compared to analysts’ expectations of C$3.55 billion.

Insiders Place Their Bets

In other news, Senior Officer John Kenneth Brooks sold 21,700 shares of Canadian Pacific Kansas City stock in a transaction dated Wednesday, August 28th. The shares were sold at an average price of C$112.01, for a total value of C$2,430,629.59. In related news, Senior Officer Laird Joseph Pitz sold 5,480 shares of the business’s stock in a transaction that occurred on Tuesday, August 20th. The stock was sold at an average price of C$79.71, for a total transaction of C$436,796.55. Also, Senior Officer John Kenneth Brooks sold 21,700 shares of the firm’s stock in a transaction on Wednesday, August 28th. The shares were sold at an average price of C$112.01, for a total value of C$2,430,629.59. 0.03% of the stock is currently owned by company insiders.

Canadian Pacific Kansas City Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, January 27th. Investors of record on Friday, December 27th will be issued a $0.19 dividend. This represents a $0.76 annualized dividend and a yield of 0.70%. The ex-dividend date of this dividend is Friday, December 27th. Canadian Pacific Kansas City’s payout ratio is presently 20.38%.

About Canadian Pacific Kansas City

Canadian Pacific Kansas City Limited, together with its subsidiaries, owns and operates a transcontinental freight railway in Canada, the United States, and Mexico. The company transports bulk commodities, including grain, coal, potash, fertilizers, and sulphur; merchandise freight, such as forest products, energy, chemicals and plastics, metals, minerals, consumer products, and automotive; and intermodal traffic comprising retail goods in overseas containers.