Canadian Pacific Kansas City Limited (NYSE:CP) to Issue Dividend Increase - $0.14 Per Share

Canadian Pacific Kansas City Limited (NYSE:CP - Get Free Report) TSE: CP declared a quarterly dividend on Wednesday, October 23rd, Zacks reports. Stockholders of record on Friday, December 27th will be paid a dividend of 0.14 per share by the transportation company on Monday, January 27th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.71%. The ex-dividend date of this dividend is Friday, December 27th. This is a positive change from Canadian Pacific Kansas City's previous quarterly dividend of $0.14.

Canadian Pacific Kansas City has a payout ratio of 17.2% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Canadian Pacific Kansas City to earn $3.81 per share next year, which means the company should continue to be able to cover its $0.56 annual dividend with an expected future payout ratio of 14.7%.

Canadian Pacific Kansas City Price Performance

Shares of CP traded down $0.33 during trading hours on Thursday, reaching $78.50. 3,616,073 shares of the company traded hands, compared to its average volume of 2,110,251. The company has a quick ratio of 0.44, a current ratio of 0.51 and a debt-to-equity ratio of 0.42. The stock has a market capitalization of $73.24 billion, a PE ratio of 25.16, a price-to-earnings-growth ratio of 2.21 and a beta of 0.96. Canadian Pacific Kansas City has a fifty-two week low of $68.92 and a fifty-two week high of $91.58. The stock has a fifty day simple moving average of $82.92 and a 200 day simple moving average of $81.50.

Canadian Pacific Kansas City (NYSE:CP - Get Free Report) TSE: CP last posted its quarterly earnings data on Wednesday, October 23rd. The transportation company reported $0.99 EPS for the quarter, missing analysts' consensus estimates of $1.01 by ($0.02). The company had revenue of $3.55 billion for the quarter, compared to analyst estimates of $3.59 billion. Canadian Pacific Kansas City had a net margin of 24.45% and a return on equity of 8.77%. The firm's revenue was up 6.3% on a year-over-year basis. During the same period in the previous year, the business earned $0.69 EPS. As a group, research analysts predict that Canadian Pacific Kansas City will post 3.2 EPS for the current fiscal year.

Analyst Ratings Changes

A number of brokerages have issued reports on CP. Benchmark reissued a "hold" rating on shares of Canadian Pacific Kansas City in a research note on Thursday. Evercore ISI raised their price objective on Canadian Pacific Kansas City from $89.00 to $91.00 and gave the stock an "outperform" rating in a report on Wednesday, September 25th. Citigroup raised their price objective on Canadian Pacific Kansas City from $97.00 to $98.00 and gave the stock a "buy" rating in a report on Thursday. Sanford C. Bernstein dropped their target price on Canadian Pacific Kansas City from $91.98 to $91.25 and set a "market perform" rating on the stock in a report on Wednesday, October 9th. Finally, Jefferies Financial Group dropped their target price on Canadian Pacific Kansas City from $105.00 to $100.00 and set a "buy" rating on the stock in a report on Wednesday, July 17th. Eight equities research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company's stock. Based on data from MarketBeat.com, Canadian Pacific Kansas City has an average rating of "Moderate Buy" and an average price target of $97.78.

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.