Stephens Raises PT on Canadian Pacific Kansas City Limited (CP); Maintains 'Overweight' Rating

Canadian Pacific Kansas City Limited (NYSE:CP) is included in our list of the Bill Ackman Stock Portfolio: Top 10 Stock Picks.

On July 31, 2025, Stephens increased its price target on Canadian Pacific Kansas City Limited (NYSE:CP) from $95 to $97, maintaining an ‘Overweight’ rating. This follows the company’s second-quarter results, where it reported earnings of $0.81 per share, one cent below expectations, attributed to softer revenue per carload and higher operating costs.

Yet, the analyst highlighted Canadian Pacific Kansas City Limited (NYSE:CP)’s strong fundamentals, marked by gross margins of 52.36% and 12-month revenue growth of 7.33%. As such, Stephens remains optimistic about the company’s FY25 EPS growth of 10%-14% due to its role as the only rail network linking Canada, the U.S., and Mexico.

The analyst remains bullish on Canadian Pacific Kansas City Limited (NYSE:CP), citing its strong and consistent dividend history spanning over 25 years and robust long-term outlook.

Canadian Pacific Kansas City Limited (NYSE:CP) operates a transcontinental freight railway network across Canada, the U.S., and Mexico. Bill Ackman has bought 14.80 million shares of Canadian Pacific Kansas City Limited as of Q1 2025.

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