Equities Analysts Set Expectations for CP Q3 Earnings

Key Points

• Desjardins has lowered its Q3 2025 earnings estimate for Canadian Pacific Kansas City, now forecasting $0.82 per share, down from $0.86, while the consensus estimate for the current full-year earnings stands at $3.42 per share.
• In its most recent earnings report, Canadian Pacific Kansas City posted $0.81 earnings per share, missing the consensus estimate by $0.01, with revenue of $2.72 billion compared to expectations of $2.76 billion.
• The company recently declared a quarterly dividend of $0.1651 per share, reflecting an increase from its prior dividend, with the annualized yield now at 0.9%.

Canadian Pacific Kansas City Limited (NYSE:CP - Free Report) TSE: CP - Desjardins cut their Q3 2025 earnings estimates for shares of Canadian Pacific Kansas City in a research note issued on Wednesday, July 30th. Desjardins analyst B. Poirier now expects that the transportation company will post earnings of $0.82 per share for the quarter, down from their previous forecast of $0.86. The consensus estimate for Canadian Pacific Kansas City's current full-year earnings is $3.42 per share. Desjardins also issued estimates for Canadian Pacific Kansas City's FY2025 earnings at $3.41 EPS, FY2026 earnings at $4.02 EPS and FY2027 earnings at $4.59 EPS.

Canadian Pacific Kansas City (NYSE:CP - Get Free Report) TSE: CP last posted its earnings results on Wednesday, July 30th. The transportation company reported $0.81 earnings per share for the quarter, missing the consensus estimate of $0.82 by ($0.01). The firm had revenue of $2.72 billion for the quarter, compared to analysts' expectations of $2.76 billion. Canadian Pacific Kansas City had a net margin of 28.05% and a return on equity of 8.69%. Canadian Pacific Kansas City's revenue for the quarter was up 2.7% compared to the same quarter last year. During the same period last year, the firm earned $1.05 earnings per share.

Other equities research analysts have also recently issued research reports about the stock. Stephens lifted their price target on shares of Canadian Pacific Kansas City from $95.00 to $97.00 and gave the company an "overweight" rating in a research note on Thursday. Barclays lifted their price target on shares of Canadian Pacific Kansas City from $87.00 to $91.00 and gave the company an "overweight" rating in a research note on Thursday, July 10th. Scotiabank reissued an "outperform" rating on shares of Canadian Pacific Kansas City in a research note on Thursday, July 10th. Stifel Nicolaus dropped their price target on shares of Canadian Pacific Kansas City from $85.00 to $79.00 and set a "hold" rating on the stock in a research note on Monday, April 14th. Finally, Citigroup lifted their price target on shares of Canadian Pacific Kansas City from $89.00 to $94.00 and gave the company a "buy" rating in a research note on Wednesday, July 9th. Two investment analysts have rated the stock with a sell rating, four have issued a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $92.30.

Canadian Pacific Kansas City Price Performance

NYSE:CP opened at $72.89 on Monday. The company has a debt-to-equity ratio of 0.45, a current ratio of 0.93 and a quick ratio of 0.81. The firm has a market cap of $66.91 billion, a price-to-earnings ratio of 22.71, a price-to-earnings-growth ratio of 2.05 and a beta of 1.06. The company has a 50 day moving average price of $79.74 and a 200-day moving average price of $76.96. Canadian Pacific Kansas City has a 1-year low of $66.49 and a 1-year high of $87.72.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Cornerstone Planning Group LLC boosted its position in shares of Canadian Pacific Kansas City by 209.8% during the 1st quarter. Cornerstone Planning Group LLC now owns 378 shares of the transportation company's stock valued at $28,000 after acquiring an additional 256 shares during the last quarter. North Capital Inc. acquired a new position in shares of Canadian Pacific Kansas City during the 1st quarter valued at about $27,000. Cheviot Value Management LLC acquired a new position in shares of Canadian Pacific Kansas City during the 1st quarter valued at about $30,000. Bernard Wealth Management Corp. acquired a new position in shares of Canadian Pacific Kansas City during the 4th quarter valued at about $31,000. Finally, Hexagon Capital Partners LLC lifted its position in Canadian Pacific Kansas City by 49.5% in the first quarter. Hexagon Capital Partners LLC now owns 495 shares of the transportation company's stock valued at $35,000 after buying an additional 164 shares during the last quarter. Institutional investors and hedge funds own 72.20% of the company's stock.

Canadian Pacific Kansas City Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, October 27th. Stockholders of record on Friday, September 26th will be given a dividend of $0.1651 per share. This represents a $0.66 annualized dividend and a dividend yield of 0.9%. The ex-dividend date of this dividend is Friday, September 26th. This is a positive change from Canadian Pacific Kansas City's previous quarterly dividend of $0.16. Canadian Pacific Kansas City's dividend payout ratio is presently 20.56%.

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.

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