Baillie Gifford & Co. Cuts Stock Holdings in Canadian Pacific Kansas City Limited $CP

Key Points

• Baillie Gifford cut its stake in Canadian Pacific Kansas City by 31.9%, selling 143,431 shares and leaving 305,553 shares valued at about $22.53 million at quarter-end.
• The company missed Q4 EPS expectations, reporting $0.95 versus $0.99 consensus while revenue was roughly in line at $2.85 billion (up 1.3% YoY).
• CPKC announced a quarterly dividend of $0.228 (annualized $0.91, ~1.1% yield), and analysts maintain a "Moderate Buy" consensus with a $93.80 average price target.

Baillie Gifford & Co. decreased its holdings in shares of Canadian Pacific Kansas City Limited (NYSE:CP - Free Report) TSE: CP by 31.9% during the fourth quarter, according to its most recent filing with the SEC. The firm owned 305,553 shares of the transportation company's stock after selling 143,431 shares during the period. Baillie Gifford & Co.'s holdings in Canadian Pacific Kansas City were worth $22,525,000 at the end of the most recent reporting period.

Other institutional investors have also added to or reduced their stakes in the company. Caldwell Trust Co purchased a new position in Canadian Pacific Kansas City during the 3rd quarter valued at about $30,000. Acadian Asset Management LLC purchased a new position in Canadian Pacific Kansas City during the 1st quarter valued at about $35,000. Cornerstone Planning Group LLC increased its position in Canadian Pacific Kansas City by 205.5% during the 3rd quarter. Cornerstone Planning Group LLC now owns 498 shares of the transportation company's stock valued at $36,000 after purchasing an additional 335 shares during the period. Wealth Watch Advisors INC purchased a new position in Canadian Pacific Kansas City during the 3rd quarter valued at about $36,000. Finally, Aventura Private Wealth LLC purchased a new position in Canadian Pacific Kansas City during the 4th quarter valued at about $37,000. Hedge funds and other institutional investors own 72.20% of the company's stock.

Canadian Pacific Kansas City Stock Up 0.9%

Shares of Canadian Pacific Kansas City stock opened at $81.38 on Tuesday. The firm's 50 day moving average price is $82.02 and its 200-day moving average price is $76.41. The company has a quick ratio of 0.41, a current ratio of 0.49 and a debt-to-equity ratio of 0.43. Canadian Pacific Kansas City Limited has a 52-week low of $68.42 and a 52-week high of $89.42. The company has a market cap of $72.61 billion, a P/E ratio of 25.19, a PEG ratio of 1.73 and a beta of 1.07.

Canadian Pacific Kansas City (NYSE:CP - Get Free Report) TSE: CP last issued its quarterly earnings data on Wednesday, January 28th. The transportation company reported $0.95 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.99 by ($0.04). Canadian Pacific Kansas City had a return on equity of 8.91% and a net margin of 27.49%.The firm had revenue of $2.85 billion during the quarter, compared to analysts' expectations of $2.85 billion. During the same period in the previous year, the firm earned $1.29 EPS. The firm's quarterly revenue was up 1.3% on a year-over-year basis. On average, sell-side analysts predict that Canadian Pacific Kansas City Limited will post 3.42 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, April 27th. Stockholders of record on Friday, March 27th will be given a $0.228 dividend. The ex-dividend date of this dividend is Friday, March 27th. This represents a $0.91 dividend on an annualized basis and a dividend yield of 1.1%. Canadian Pacific Kansas City's payout ratio is presently 20.74%.

Analyst Upgrades and Downgrades

A number of research firms have commented on CP. Barclays cut their target price on shares of Canadian Pacific Kansas City from $93.00 to $91.00 and set an "overweight" rating on the stock in a research report on Friday, March 27th. Royal Bank Of Canada reissued an "outperform" rating and set a $124.00 target price (down from $127.00) on shares of Canadian Pacific Kansas City in a research report on Thursday, January 29th. Evercore cut their target price on shares of Canadian Pacific Kansas City from $87.00 to $85.00 and set an "outperform" rating on the stock in a research report on Thursday, January 29th. Citigroup raised their target price on shares of Canadian Pacific Kansas City from $86.00 to $93.00 and gave the company a "buy" rating in a research report on Tuesday, April 7th. Finally, Scotiabank downgraded shares of Canadian Pacific Kansas City from a "strong-buy" rating to a "hold" rating in a research report on Thursday, April 9th. Eight analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $93.80.

Canadian Pacific Kansas City 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.

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