Wall Street analysts forecast that Canadian Pacific Kansas City (CP) will report quarterly earnings of $0.81 per share in its upcoming release, pointing to a year-over-year increase of 11%. It is anticipated that revenues will amount to $2.68 billion, exhibiting an increase of 2.8% compared to the year-ago quarter.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 0.6% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
Given this perspective, it's time to examine the average forecasts of specific Canadian Pacific Kansas City metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts predict that the 'Adjusted Operating Ratio' will reach 60.4%. Compared to the current estimate, the company reported 62.9% in the same quarter of the previous year.
It is projected by analysts that the 'Carloads - Total' will reach 1.13 million. Compared to the present estimate, the company reported 1.09 million in the same quarter last year.
The consensus estimate for 'Carloads - Automotive' stands at 63.13 thousand. Compared to the current estimate, the company reported 63.70 thousand in the same quarter of the previous year.
Analysts' assessment points toward 'Revenue ton miles (RTMs) - Total' reaching 54.58 billion. Compared to the current estimate, the company reported 51.52 billion in the same quarter of the previous year.
Analysts forecast 'Carloads - Grain' to reach 133.62 thousand. Compared to the current estimate, the company reported 127.00 thousand in the same quarter of the previous year.
According to the collective judgment of analysts, 'Carloads - Coal' should come in at 125.92 thousand. The estimate is in contrast to the year-ago figure of 121.70 thousand.
The combined assessment of analysts suggests that 'Carloads - Potash' will likely reach 51.18 thousand. Compared to the present estimate, the company reported 40.60 thousand in the same quarter last year.
The collective assessment of analysts points to an estimated 'Carloads - Fertilizers and Sulphur' of 16.36 thousand. Compared to the current estimate, the company reported 15.60 thousand in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Carloads - Forest Products' should arrive at 32.95 thousand. Compared to the current estimate, the company reported 33.90 thousand in the same quarter of the previous year.
The average prediction of analysts places 'Carloads - Energy, Chemicals and Plastics' at 138.95 thousand. The estimate compares to the year-ago value of 145.60 thousand.
The consensus among analysts is that 'Carloads - Metals, Minerals and Consumer Products' will reach 124.36 thousand. Compared to the present estimate, the company reported 127.90 thousand in the same quarter last year.
Analysts expect 'Operating Ratio' to come in at 59.7%. The estimate is in contrast to the year-ago figure of 66.1%.
View all Key Company Metrics for Canadian Pacific Kansas City here>>>
Over the past month, Canadian Pacific Kansas City shares have recorded returns of +2.3% versus the Zacks S&P 500 composite's +1.3% change. Based on its Zacks Rank #4 (Sell), CP will likely underperform the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Canadian Pacific Kansas City Limited (CP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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