Canadian Pacific Railway Stock Debt To Equity

CP Stock

USD 76.69 1.50 1.99%

Canadian Pacific Railway fundamentals help investors to digest information that contributes to Canadian Pacific's financial success or failures. It also enables traders to predict the movement of Canadian Stock. The fundamental analysis module provides a way to measure Canadian Pacific's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Canadian Pacific stock.

		Last Reported	Projected for Next Year
	Debt To Equity	0.54	0.74

As of 11/24/2024, Debt To Equity is likely to grow to 0.74.

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Canadian Pacific Railway Company Debt To Equity Analysis

Canadian Pacific's Debt to Equity is calculated by dividing the Total Debt of a company by its Equity. If the debt exceeds equity of a company, then the creditors have more stakes in a firm than the stockholders. In other words, Debt to Equity ratio provides analysts with insights about composition of both equity and debt, and its influence on the valuation of the company.

D/E

Total Debt

Total Equity

More About Debt To Equity | All Equity Analysis

Current Canadian Pacific Debt To Equity

0.54 %

Most of Canadian Pacific's fundamental indicators, such as Debt To Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Canadian Pacific Railway is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Canadian Debt To Equity Driver Correlations

Understanding the fundamental principles of building solid financial models for Canadian Pacific is extremely important. It helps to project a fair market value of Canadian Stock properly, considering its historical fundamentals such as Debt To Equity. Since Canadian Pacific's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Canadian Pacific's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Canadian Pacific's interrelated accounts and indicators.

	Total Assets	Total Stockholder Equity	Current Deferred Revenue	Net Debt	Retained Earnings	Accounts Payable	Net Receivables	Total Liab	Total Current Assets	Short Term Debt	Common Stock	Net Tangible Assets	Long Term Debt	Good Will	Short Term Investments	Long Term Investments	Short Long Term Debt	Intangible Assets	Property Plant Equipment	Long Term Debt Total	Capital Surpluse	Net Invested Capital	Net Working Capital	Capital Stock
Total Assets		1.0	0.33	0.98	0.94	0.09	0.88	0.99	0.77	0.92	0.99	0.99	0.98	0.72	-0.97	0.57	0.57	0.68	0.63	0.83	0.86	0.93	-0.91	0.93
Total Stockholder Equity	1.0		0.32	0.96	0.93	0.14	0.86	0.98	0.79	0.91	0.99	0.99	0.96	0.73	-0.98	0.57	0.59	0.69	0.59	0.84	0.85	0.94	-0.9	0.94
Current Deferred Revenue	0.33	0.32		0.35	0.34	-0.05	0.35	0.34	0.26	0.34	0.29	0.35	0.35	0.41	-0.27	-0.03	0.06	0.39	0.17	0.17	0.27	0.25	-0.26	0.23
Net Debt	0.98	0.96	0.35		0.93	0.0	0.89	1.0	0.72	0.92	0.95	0.97	1.0	0.71	-0.93	0.53	0.52	0.65	0.69	0.78	0.86	0.89	-0.91	0.89
Retained Earnings	0.94	0.93	0.34	0.93		-0.05	0.95	0.93	0.82	0.95	0.88	0.94	0.9	0.79	-0.85	0.36	0.65	0.72	0.6	0.7	0.78	0.82	-0.92	0.8
Accounts Payable	0.09	0.14	-0.05	0.0	-0.05		0.07	0.02	0.18	0.17	0.16	0.16	0.02	0.27	-0.16	-0.03	0.01	0.4	-0.04	0.17	0.12	0.17	-0.2	0.15
Net Receivables	0.88	0.86	0.35	0.89	0.95	0.07		0.88	0.86	0.96	0.8	0.89	0.86	0.89	-0.75	0.15	0.59	0.83	0.57	0.59	0.7	0.72	-0.93	0.69
Total Liab	0.99	0.98	0.34	1.0	0.93	0.02	0.88		0.73	0.91	0.96	0.98	1.0	0.7	-0.95	0.56	0.54	0.64	0.68	0.81	0.87	0.91	-0.9	0.91
Total Current Assets	0.77	0.79	0.26	0.72	0.82	0.18	0.86	0.73		0.85	0.73	0.77	0.7	0.9	-0.66	0.04	0.8	0.87	0.31	0.53	0.57	0.63	-0.83	0.6
Short Term Debt	0.92	0.91	0.34	0.92	0.95	0.17	0.96	0.91	0.85		0.87	0.93	0.89	0.87	-0.83	0.26	0.63	0.84	0.59	0.67	0.78	0.79	-0.98	0.77
Common Stock	0.99	0.99	0.29	0.95	0.88	0.16	0.8	0.96	0.73	0.87		0.98	0.95	0.67	-0.99	0.64	0.54	0.64	0.57	0.87	0.85	0.95	-0.87	0.96
Net Tangible Assets	0.99	0.99	0.35	0.97	0.94	0.16	0.89	0.98	0.77	0.93	0.98		0.97	0.75	-0.96	0.54	0.55	0.71	0.62	0.82	0.86	0.92	-0.92	0.92
Long Term Debt	0.98	0.96	0.35	1.0	0.9	0.02	0.86	1.0	0.7	0.89	0.95	0.97		0.67	-0.94	0.58	0.49	0.61	0.7	0.8	0.86	0.9	-0.88	0.91
Good Will	0.72	0.73	0.41	0.71	0.79	0.27	0.89	0.7	0.9	0.87	0.67	0.75	0.67		-0.59	-0.14	0.58	0.99	0.28	0.45	0.54	0.56	-0.88	0.52
Short Term Investments	-0.97	-0.98	-0.27	-0.93	-0.85	-0.16	-0.75	-0.95	-0.66	-0.83	-0.99	-0.96	-0.94	-0.59		-0.71	-0.49	-0.57	-0.61	-0.9	-0.87	-0.97	0.83	-0.98
Long Term Investments	0.57	0.57	-0.03	0.53	0.36	-0.03	0.15	0.56	0.04	0.26	0.64	0.54	0.58	-0.14	-0.71		0.11	-0.16	0.48	0.69	0.58	0.69	-0.25	0.74
Short Long Term Debt	0.57	0.59	0.06	0.52	0.65	0.01	0.59	0.54	0.8	0.63	0.54	0.55	0.49	0.58	-0.49	0.11		0.54	0.23	0.41	0.44	0.48	-0.61	0.47
Intangible Assets	0.68	0.69	0.39	0.65	0.72	0.4	0.83	0.64	0.87	0.84	0.64	0.71	0.61	0.99	-0.57	-0.16	0.54		0.22	0.43	0.51	0.53	-0.85	0.5
Property Plant Equipment	0.63	0.59	0.17	0.69	0.6	-0.04	0.57	0.68	0.31	0.59	0.57	0.62	0.7	0.28	-0.61	0.48	0.23	0.22		0.73	0.83	0.73	-0.59	0.69
Long Term Debt Total	0.83	0.84	0.17	0.78	0.7	0.17	0.59	0.81	0.53	0.67	0.87	0.82	0.8	0.45	-0.9	0.69	0.41	0.43	0.73		0.92	0.97	-0.71	0.96
Capital Surpluse	0.86	0.85	0.27	0.86	0.78	0.12	0.7	0.87	0.57	0.78	0.85	0.86	0.86	0.54	-0.87	0.58	0.44	0.51	0.83	0.92		0.94	-0.81	0.91
Net Invested Capital	0.93	0.94	0.25	0.89	0.82	0.17	0.72	0.91	0.63	0.79	0.95	0.92	0.9	0.56	-0.97	0.69	0.48	0.53	0.73	0.97	0.94		-0.8	0.99
Net Working Capital	-0.91	-0.9	-0.26	-0.91	-0.92	-0.2	-0.93	-0.9	-0.83	-0.98	-0.87	-0.92	-0.88	-0.88	0.83	-0.25	-0.61	-0.85	-0.59	-0.71	-0.81	-0.8		-0.78
Capital Stock	0.93	0.94	0.23	0.89	0.8	0.15	0.69	0.91	0.6	0.77	0.96	0.92	0.91	0.52	-0.98	0.74	0.47	0.5	0.69	0.96	0.91	0.99	-0.78

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Canadian Debt To Equity Historical Pattern

Today, most investors in Canadian Pacific Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Canadian Pacific's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's debt to equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Canadian Pacific debt to equity as a starting point in their analysis.

Canadian Pacific Debt To Equity

Timeline

High Debt to Equity ratio typically indicates that a firm has been borrowing aggressively to finance its growth and as a result may experience a burden of additional interest expense. This may reduce earnings or future growth. On the other hand a small D/E ratio may indicate that a company is not taking enough advantage from financial leverage. Debt to Equity ratio measures how the company is leveraging borrowing against the capital invested by the owners.

Competition

Predict Canadian Pacific

Debt To Equity Over Time

Canadian Total Stockholder Equity

Total Stockholder Equity

43.57 Billion

At this time, Canadian Pacific's Total Stockholder Equity is relatively stable compared to the past year.

According to the company disclosure, Canadian Pacific Railway has a Debt To Equity of 0.544%. This is 99.28% lower than that of the Ground Transportation sector and 99.3% lower than that of the Industrials industry. The debt to equity for all United States stocks is 98.88% higher than that of the company.

Canadian Debt To Equity Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Canadian Pacific's direct or indirect competition against its Debt To Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Canadian Pacific could also be used in its relative valuation, which is a method of valuing Canadian Pacific by comparing valuation metrics of similar companies.

Canadian Pacific is currently under evaluation in debt to equity category among its peers.

Canadian Pacific ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Canadian Pacific's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Canadian Pacific's managers, analysts, and investors.

Environmental

Governance

Social

Canadian Fundamentals

	Return On Equity	0.0809
	Return On Asset	0.044
	Profit Margin	0.24 %
	Operating Margin	0.37 %
	Current Valuation	86.91 B
	Shares Outstanding	933.35 M
	Shares Owned By Insiders	0.02 %
	Shares Owned By Institutions	75.84 %
	Number Of Shares Shorted	8.63 M
	Price To Earning	5.08 X
	Price To Book	2.27 X
	Price To Sales	4.95 X
	Revenue	12.55 B
	Gross Profit	4.8 B
	EBITDA	(739 M)
	Net Income	3.93 B
	Cash And Equivalents	138 M
	Cash Per Share	0.15 X
	Total Debt	22.84 B
	Debt To Equity	0.54 %
	Current Ratio	0.58 X
	Book Value Per Share	47.30 X
	Cash Flow From Operations	4.14 B
	Short Ratio	4.04 X
	Earnings Per Share	2.71 X
	Price To Earnings To Growth	2.37 X
	Target Price	124.5
	Number Of Employees	20.22 K
	Beta	0.79
	Market Capitalization	71.58 B
	Total Asset	79.9 B
	Retained Earnings	16.42 B
	Working Capital	(2.71 B)
	Current Asset	1.54 B
	Current Liabilities	1.45 B
	Annual Yield	0.01 %
	Five Year Return	0.89 %
	Net Asset	79.9 B
	Last Dividend Paid	0.76

About Canadian Pacific Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Canadian Pacific Railway's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Canadian Pacific using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Canadian Pacific Railway based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.

Please read more on our fundamental analysis page.

Pair Trading with Canadian Pacific

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Canadian Pacific position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Canadian Pacific will appreciate offsetting losses from the drop in the long position's value.

Moving together with Canadian Stock

0.65

FLYX

flyExclusive,

Pair Corr

Moving against Canadian Stock

0.89	AZ	A2Z Smart Technologies	Pair Corr
0.86	AAL	American Airlines Fiscal Year End 23rd of January 2025	Pair Corr
0.8	B	Barnes Group	Pair Corr
0.76	VLRS	Volaris	Pair Corr
0.75	ALK	Alaska Air Group Fiscal Year End 23rd of January 2025	Pair Corr

The ability to find closely correlated positions to Canadian Pacific could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Canadian Pacific when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Canadian Pacific - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Canadian Pacific Railway to buy it.

The correlation of Canadian Pacific is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Canadian Pacific moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Canadian Pacific Railway moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Correlation analysis and pair trading evaluation for Canadian Pacific can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.

Pair Correlation Correlation Matching

Additional Tools for Canadian Stock Analysis

When running Canadian Pacific's price analysis, check to measure Canadian Pacific's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Canadian Pacific is operating at the current time. Most of Canadian Pacific's value examination focuses on studying past and present price action to predict the probability of Canadian Pacific's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Canadian Pacific's price. Additionally, you may evaluate how the addition of Canadian Pacific to your portfolios can decrease your overall portfolio volatility.

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