
TSE:CP
This summary was created by AI, based on 25 opinions in the last 12 months.
Canadian Pacific Rail (CP) has emerged as a topic of interest among analysts, primarily due to its recent performance and strategic positioning. While some experts believe that it has strong growth potential stemming from the KSU acquisition, others express concerns about the ongoing freight recession impacting demand. The company's valuation is seen as higher compared to competitors, and its performance is tied to broader economic conditions, particularly the Canadian economy. Experts are split on whether now is a good time to buy, with several suggesting waiting for a pullback before entering. Tariff uncertainties and the effects of trade agreements like CUSMA are recurring themes in the reviews, indicating that while CP has a strong operational network, external factors could influence its short-term outlook.
(A Top Pick Feb 04/19, Up 16%) He swapped out to CNR-T. He is still in the space. The fact that rails have not 'come off the rails' is an endorsement that as long as we have economic headwinds, things are cooking along. You'll do well in either name a year from now.
CP-T earnings have improved with revenues up in all their businesses. He holds CNR-T instead. He would not buy more at these valuations. If you are playing the oil by rail strategy, he would prefer CNR-T as it has more incremental market opportunity as it ships south into the US. He is not adding adding to his position.
CN vs CP The major difference is CN-R goes more North-South into the US. CP-T goes more across Canada. Both trade with similar yields. He does not own either. Both are good for a long term investment. It is splitting hairs deciding on which one to have.
It could come under pressure with a commodities downturn. He would be more enthusiastic about jumping in if it was 15% lower. He feels the same about CNR-T