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CPCanadian Pacific Kansas City LiSell5.0·$90.50+1.33%
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Canadian Pacific Kansas City Li (CP) Stock Analysis

SellModerate Confidence

Industrials · Railroads

Sell if holding. Analyst target reached at $90.50 — A.R:R is negative (-2.1) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Near 52-week high (1.6% away).

Canadian Pacific Kansas City owns and operates the only freight railway spanning Canada, the United States, and Mexico, covering approximately 20,000 route miles. The company generated $14,776 million in freight revenues in 2025 from Bulk (36%), Merchandise (46%), and Intermodal... Read more

$90.50-0.5% A.UpsideScore 5.0/10#5 of 8 Railroads
QualityF-score7 / 9FCF yield2.38%
IncomeYield0.77%(5y avg 0.76%)Payout20.36%sustainable
Stop $85.70Target $89.67(resistance)A.R:R -2.1:1
Analyst target$90.94+0.5%13 analysts
$89.67our TP
$90.50price
$90.94mean
$72
$103

Sell if holding. Analyst target reached at $90.50 — A.R:R is negative (-2.1) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Near 52-week high (1.6% away). Chart setup: No clear chart pattern; technical signals are mixed. Score 5.0/10, moderate confidence.

Passes 6/8 gates (clean insider activity, no SEC red flags, news events none recent, earnings proximity 45d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: moderate.

10-K grounded · weekly refresh

About Canadian Pacific Kansas City Li

About Canadian Pacific Kansas City Li

Canadian Pacific Kansas City generated freight revenues of $14,776 million in 2025 ($14,223 million in 2024), with Merchandise traffic at 46% of freight revenues and Bulk commodities at 36% comprising the two dominant segments, alongside Intermodal at 18%. Energy, chemicals and plastics — including crude, refined fuels, and petrochemicals from the U.S. Gulf Coast and Alberta — represented 20% of total freight revenues, while Grain shipments from the Canadian prairies and U.S. northern plains accounted for 22%. The network spans approximately 20,000 route miles across Canada, the United States, and Mexico, operated through a single rail transportation segment.

CPKC earns revenue through freight rates negotiated directly with shippers in Canada and the U.S., while Mexican rates are registered with the ATTRAPI as maximum prices. Fuel surcharges tracked approximately 10% of freight revenues ($1,483 million) in 2025, tied to diesel price movements via the company's fuel cost adjustment program; fuel surcharge revenue fell $168 million year-over-year primarily due to lower fuel prices and the elimination of the Canadian federal carbon tax program effective April 1, 2025. Bulk traffic moves in unit trains on fixed origin-destination routes; Merchandise delivers to diverse industrial and consumer destinations; Intermodal connects the Port of Vancouver, Port of Lázaro Cárdenas, and Port of Montréal to inland North American markets. The majority of employees belong to labour unions; new four-year collective agreements with the Teamsters Canada Rail Conference for train and engine and rail traffic controller divisions were reached May 30, 2025, following binding arbitration, with 3% annual wage increases through December 31, 2027.

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CPKC's Canadian grain exposure — 22% of freight revenues — operates under a structural rate cap: the Canada Transportation Act establishes a maximum revenue entitlement governing aggregate revenues from western Canadian export grain to the ports of Vancouver and Thunder Bay, limiting the company's pricing flexibility on its most seasonally concentrated traffic. Separately, CPKCM's Mexican operations rely on a government concession expiring in 2037 (first 40 years of a 50-year grant) that could be revoked for repeated compliance failures or unilateral rate overcharges, and the SICT may temporarily seize rail assets in the event of national emergency without guaranteed timely compensation.

See also: Industrials · Railroads

From Canadian Pacific Kansas City Li's most recent 10-K filing, extracted June 9, 2026.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-14
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Wed, Jul 29, 202645d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Analyst target reached - limited upside remaining
Near 52-week high (1.6% away)
Consecutive earnings misses (3)

Key Metrics

P/E (TTM)28.0
P/E (Fwd)21.4
Mkt Cap$80.0B
EV/EBITDA13.0
Profit Mgn27.2%
ROE8.4%
Rev Growth-2.5%
Beta1.21
Dividend0.77%
Rating analysts33

Quality Signals

Piotroski F7/9

Options Flow

P/C0.88neutral
IV61%elevated
Max Pain$93+2.2% vs spot

Concentration Risks(10-K Item 1A)

  • LOWCommodityGrain22%
    10-K Item 1: 'The Company's Grain business represented approximately 61% of bulk revenues and 22% of total Freight revenues in 2025'
  • MEDIUMregulatoryCanada Transportation Act
    10-K Item 1: 'The majority of Canadian grain shipments are regulated by the Canadian government through the Canada Transportation Act'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.

Conflicts and positions. The TrendMatrix editorial team frequently holds personal long-term positions in securities discussed. We disclose positions held at the time of publication on each piece. We maintain a trading-window policy: we do not initiate or close positions in the same direction as a TrendMatrix publication within 24 hours before or 72 hours after publication.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 floor-breakers

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
2.5
Value Rank
3.1
Quality Rank
3.1

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Volume
0.9
Obv
1.0
Macd
1.5
Rsi
5.0
Ma Position
9.0
Volume distribution (falling OBV)Above 200-day MA

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Surprise Avg
1.8
Erm
5.0
Earnings Timing
5.0
News Activity
5.0
Dividend Safety
6.0
Earnings concerns: 0B/3MDividend: 77.0%
GatesMomentum 3.5<4.5A.R:R -2.1=NEGATIVEInsider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 45d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Moderate
RSI
65 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $84.78Resistance $91.50

Price Targets

$86
$90
A.Upside-0.9%
A.R:R-2.1:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-12.2% upside)
! momentum at 3.5 (below the engine's 4.5 threshold)
! Negative risk/reward — downside exceeds upside

Earnings

M
M
M
M
0/4 beats
Next Earnings2026-07-29 (45d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is CP stock a buy right now?

Sell if holding. Analyst target reached at $90.50 — A.R:R is negative (-2.1) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Near 52-week high (1.6% away). Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $85.70. Score 5.0/10, moderate confidence.

What is the CP stock price target?

Take-profit target: $89.67 (-0.5% upside). Prior stop was $85.70. Stop-loss: $85.70.

What are the risks of investing in CP?

Analyst target reached - limited upside remaining; Near 52-week high (1.6% away); Consecutive earnings misses (3).

Is CP overvalued or undervalued?

Canadian Pacific Kansas City Li trades at a P/E of 28.0 (forward 21.4). TrendMatrix value score: 5.6/10. Verdict: Sell.

What do analysts say about CP?

33 analysts cover CP with a consensus score of 4.1/5. Average price target: $91.

What does Canadian Pacific Kansas City Li do?Canadian Pacific Kansas City owns and operates the only freight railway spanning Canada, the United States, and Mexico,...

Canadian Pacific Kansas City owns and operates the only freight railway spanning Canada, the United States, and Mexico, covering approximately 20,000 route miles. The company generated $14,776 million in freight revenues in 2025 from Bulk (36%), Merchandise (46%), and Intermodal (18%) traffic, serving grain, energy, chemicals, and automotive shippers across North America.

Related stocks: UNP (Union Pacific Corporation) · CSX (CSX Corporation) · WAB (Westinghouse Air Brake Technolo) · CNI (Canadian National Railway Compa) · NSC (Norfolk Southern Corporation)
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