CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) Factsheet
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) Stock Analysis
Analysis from 10-Q filed 2025-10-30. Data as of Q4 2025.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 5.6%. FCF margin 14.6%. D/E 0.5x. Source: 10-Q filed 2025-10-30.
| Metric | Value | Context |
|---|---|---|
| ROIC | 5.6% | Below expectations |
| FCF Margin | 14.6% | Healthy cash flow |
| Debt/Equity | 0.5x | Conservative leverage |
ROIC 5.6% — Bottom 50% of sector peers. FCF margin 14.6% — Top 25%.
Explore CANADIAN PACIFIC KANSAS CITY LTD/CN: Earnings History | Filings | ROIC Analysis
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for CP: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: CANADIAN PACIFIC KANSAS CITY LTD/CN earns 5.6% ROIC, Bottom 50% in Transportation
ROIC TTM 5.6%, sector median 6.3%, Bottom 50%. DuPont: NOPAT margin 28.1% × asset turnover 0.2x. Operating margin 37.2%. Source: 10-Q filed 2025-10-30.
| Metric | CP | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 5.6% | Warning | Below sector median of 6.3% |
| Return on Equity (ROE) | 8.9% | Adequate | Moderate equity returns |
| Operating Margin | 37.2% | Excellent | Efficient operations |
Cash Flow: CANADIAN PACIFIC KANSAS CITY LTD/CN generates $2.2B FCF at 14.6% margin, positive NaN/8 quarters
FCF TTM $2.2B. FCF margin 14.6%, Top 25%. OCF/Net income 1.3x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-30.
| Metric | CP | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 14.6% | Good | Healthy cash generation |
| Free Cash Flow (TTM) | $2.2B | Good | Positive cash generation |
| OCF/Net Income | 1.3x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: CANADIAN PACIFIC KANSAS CITY LTD/CN at 0.5x leverage
Debt/Equity 0.5x. Total debt $21.1B, cash & investments $184.0M. Source: 10-Q filed 2025-10-30.
| Metric | CP | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.5x | Good | Conservative capital structure |
| Net Cash Position | $-20.9B | Warning | Net debt position |
Valuation: CANADIAN PACIFIC KANSAS CITY LTD/CN trades at 16.3x earnings
P/E 16.3x. EV/Sales 5.8x. FCF yield 3.3%. Dividend yield 1.2%. Source: 10-Q filed 2025-10-30.
| Metric | CP | Rating | Context |
|---|---|---|---|
| P/E Ratio | 16.3x | Adequate | Reasonable valuation |
| EV/Sales | 5.8x | Adequate | Growth premium priced in |
| FCF Yield | 3.3% | Adequate | Lower cash yield |
| Dividend Yield | 1.2% | Adequate | Growth focus over income |
Capital Allocation: CANADIAN PACIFIC KANSAS CITY LTD/CN returns 7.0% shareholder yield
Total shareholder yield 7.0% (div 1.2% + buyback 5.8%). Capital returned $4.7B TTM. Source: 10-Q filed 2025-10-30.
| Metric | CP | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 7.0% | Excellent | Dividend + buyback yield combined |
| Buyback Yield | 5.8% | Good | Active share repurchases |
| Total Capital Returned (TTM) | $4.7B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 5.6% | Bottom 50% | 0.9x below |
| Free Cash Flow Margin | 14.6% | Top 25% | 3.1x above |
| Operating Margin | 37.2% | Top 5% | 5.9x above |
| Return on Equity (ROE) | 8.9% | Bottom 50% | 0.8x below |
| P/E Ratio | 16.3x | N/A | - |
Financial Scorecard
| Metric | CP | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 5.6% | Warning | Bottom 50% of sector (median: 6.3%) |
| Free Cash Flow Margin | 14.6% | Good | Top 25% of sector (median: 4.8%) |
| Debt to Equity Ratio | 46.0% | Good | Moderate leverage |
| P/E Ratio (Price-to-Earnings) | 16.3x | Adequate | Fair value |
| Free Cash Flow Yield | 3.3% | Adequate | Moderate yield |
Frequently Asked Questions
Q: What is CANADIAN PACIFIC KANSAS CITY LTD/CN's Return on Invested Capital (ROIC)?
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) has a trailing twelve-month Return on Invested Capital (ROIC) of 5.6%. Sector median 6.3%. Source: 10-Q filed 2025-10-30.
Q: What is CANADIAN PACIFIC KANSAS CITY LTD/CN's Free Cash Flow Margin?
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) has a free cash flow margin of 14.6%, generating $2.2 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-30.
Q: What is CANADIAN PACIFIC KANSAS CITY LTD/CN's P/E ratio and how does it compare to peers?
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) trades at a P/E ratio of 16.3x, which is above the sector median of N/A. EV/Sales 5.8x. FCF yield 3.3%. Source: 10-Q filed 2025-10-30.
Q: Does CANADIAN PACIFIC KANSAS CITY LTD/CN pay a dividend?
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) currently pays a dividend yield of 1.2%. Total shareholder yield (dividend + buybacks) 7.0%. Source: 10-Q filed 2025-10-30.
Q: What is CANADIAN PACIFIC KANSAS CITY LTD/CN's revenue and earnings growth?
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) grew revenue by 3.7% year-over-year. EPS +12.8% YoY. Source: 10-Q filed 2025-10-30.
Q: Is CANADIAN PACIFIC KANSAS CITY LTD/CN buying back stock?
CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) repurchased $3.9 billion of stock over the trailing twelve months. This represents a buyback yield of 5.8%. Source: 10-Q filed 2025-10-30.
Q: How does CANADIAN PACIFIC KANSAS CITY LTD/CN compare to competitors in Transportation?
Compared to other companies in Transportation, CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) shows: ROIC 5.6%, sector median 6.3% (Bottom 50%). FCF margin 14.6%, sector median 4.8% (Top 25%). These rankings are based on MetricDuck's analysis of all Transportation companies with available SEC filings.
Q: What warning signs should I watch for with CANADIAN PACIFIC KANSAS CITY LTD/CN?
No quantitative warning flags fired for CANADIAN PACIFIC KANSAS CITY LTD/CN (CP) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2025-10-30.
Data Source: Data sourced from 10-Q filed 2025-10-30. TTM metrics as of Q4 2025.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.