Stock Traders Buy Large Volume of Canadian Pacific Kansas City Put Options (NYSE:CP)

Key Points

• Canadian Pacific Kansas City saw a significant increase in put options trading, with 10,279 options purchased, representing an 814% rise compared to the average.
• Brokerage firms have varying opinions on the stock, with a consensus rating of "Moderate Buy" and a price target around $91.95.
• In their latest earnings report, Canadian Pacific Kansas City achieved $0.74 EPS, meeting estimates, while revenues surpassed projections at $2.66 billion.

Canadian Pacific Kansas City Limited (NYSE:CP - Get Free Report) TSE: CP saw some unusual options trading on Wednesday. Stock investors purchased 10,279 put options on the stock. Thisrepresentsanincreaseof814% compared to the typical daily volume of 1,125 put options.

Hedge Funds Weigh In On Canadian Pacific Kansas City

Several large investors have recently bought and sold shares of the stock. LPL Financial LLC lifted its position in shares of Canadian Pacific Kansas City by 34.4% in the fourth quarter. LPL Financial LLC now owns 258,075 shares of the transportation company's stock worth $18,677,000 after purchasing an additional 66,125 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its holdings in Canadian Pacific Kansas City by 873.5% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 841,273 shares of the transportation company's stock valued at $60,856,000 after buying an additional 754,853 shares during the period. CIBC Private Wealth Group LLC boosted its stake in shares of Canadian Pacific Kansas City by 7.1% in the 4th quarter. CIBC Private Wealth Group LLC now owns 62,551 shares of the transportation company's stock valued at $4,766,000 after purchasing an additional 4,123 shares in the last quarter. Alliancebernstein L.P. boosted its stake in shares of Canadian Pacific Kansas City by 260.7% in the 4th quarter. Alliancebernstein L.P. now owns 1,457,682 shares of the transportation company's stock valued at $105,492,000 after purchasing an additional 1,053,570 shares in the last quarter. Finally, Summit Financial LLC lifted its position in Canadian Pacific Kansas City by 9.1% during the 4th quarter. Summit Financial LLC now owns 5,514 shares of the transportation company's stock worth $399,000 after buying an additional 462 shares in the last quarter. Institutional investors and hedge funds own 72.20% of the company's stock.

Canadian Pacific Kansas City Trading Down 0.7%

Shares of NYSE:CP traded down $0.52 during trading on Friday, reaching $73.03. The company's stock had a trading volume of 1,126,918 shares, compared to its average volume of 3,215,682. The firm's 50 day simple moving average is $79.88 and its two-hundred day simple moving average is $76.93. The company has a current ratio of 0.81, a quick ratio of 0.70 and a debt-to-equity ratio of 0.43. Canadian Pacific Kansas City has a 12 month low of $66.49 and a 12 month high of $87.72. The stock has a market capitalization of $67.03 billion, a PE ratio of 22.75, a price-to-earnings-growth ratio of 2.12 and a beta of 1.07.

Canadian Pacific Kansas City (NYSE:CP - Get Free Report) TSE: CP last posted its quarterly earnings results on Wednesday, April 30th. The transportation company reported $0.74 earnings per share for the quarter, meeting the consensus estimate of $0.74. The business had revenue of $2.66 billion during the quarter, compared to analysts' expectations of $2.56 billion. Canadian Pacific Kansas City had a net margin of 28.05% and a return on equity of 8.68%. The business's revenue for the quarter was up 8.0% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.93 EPS. On average, research analysts predict that Canadian Pacific Kansas City will post 3.42 EPS for the current fiscal year.

Canadian Pacific Kansas City Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, October 27th. Investors of record on Friday, September 26th will be issued a $0.1651 dividend. This is a boost from Canadian Pacific Kansas City's previous quarterly dividend of $0.16. This represents a $0.66 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Friday, September 26th. Canadian Pacific Kansas City's dividend payout ratio is currently 20.56%.

Analysts Set New Price Targets

A number of analysts recently commented on CP shares. Citigroup upped their price objective on shares of Canadian Pacific Kansas City from $89.00 to $94.00 and gave the company a "buy" rating in a research report on Wednesday, July 9th. Susquehanna reaffirmed a "positive" rating and issued a $94.00 price target (up previously from $90.00) on shares of Canadian Pacific Kansas City in a research report on Tuesday, June 24th. Royal Bank Of Canada reduced their price target on shares of Canadian Pacific Kansas City from $122.00 to $121.00 and set an "outperform" rating for the company in a research report on Thursday, May 1st. National Bank Financial raised shares of Canadian Pacific Kansas City from a "hold" rating to a "strong-buy" rating in a research note on Wednesday. Finally, Scotiabank restated an "outperform" rating on shares of Canadian Pacific Kansas City in a report on Thursday, July 10th. Two research analysts have rated the stock with a sell rating, four have issued a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company's stock. According to MarketBeat, Canadian Pacific Kansas City has a consensus rating of "Moderate Buy" and a consensus price target of $92.30.

Canadian Pacific Kansas City Company Profile

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.