Canadian Pacific Railway Limited (NYSE:CP) (TSE:CP) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a note issued to investors on Wednesday, July 12th. The brokerage presently has a $181.00 price target on the transportation company’s stock. Zacks Investment Research‘s price objective indicates a potential upside of 16.41% from the company’s current price.

According to Zacks, “Shares of Canadian Pacific have outperformed the Zacks-categorized Transportation-Rail industry in the last one month. The company's efforts to reward investors through share buybacks and increased dividend payments is impressive. In May 2017, the company raised its quarterly dividend per share by 12.5%. The board also cleared a new share buyback program. The improvement in the coal scenario should aid second quarter results, scheduled to be released on Jul 19. The positive sentiment regarding the stock can be gauged from the 5.12% increase in the Zacks Consensus Estimate for the second quarter to $2.05 per share over the last month. The company still expects earnings per share to grow in high-single digits in 2017, led by an expected increase in volumes and cost-control efforts. Operating ratio is also expected to improve in 2017. Its high debt levels, however, raise concerns. “

A number of other equities analysts also recently weighed in on the stock. Stifel Nicolaus boosted their target price on shares of Canadian Pacific Railway Limited from $167.00 to $184.00 and gave the stock a “buy” rating in a research note on Tuesday, July 11th. BidaskClub raised shares of Canadian Pacific Railway Limited from a “hold” rating to a “buy” rating in a research note on Saturday, July 1st. Credit Suisse Group reaffirmed an “outperform” rating and issued a $178.00 target price (up from $171.00) on shares of Canadian Pacific Railway Limited in a research note on Sunday, May 28th. Citigroup Inc. reaffirmed a “buy” rating and issued a $180.00 target price (up from $165.00) on shares of Canadian Pacific Railway Limited in a research note on Sunday, May 14th. Finally, Loop Capital dropped their target price on shares of Canadian Pacific Railway Limited from $157.00 to $119.00 in a research note on Monday, April 24th. One analyst has rated the stock with a sell rating, three have given a hold rating and twenty have given a buy rating to the company. Canadian Pacific Railway Limited presently has a consensus rating of “Buy” and a consensus target price of $187.37.

Canadian Pacific Railway Limited (NYSE CP) traded down 0.24% during mid-day trading on Wednesday, hitting $155.49. The stock had a trading volume of 547,363 shares. The company has a 50 day moving average price of $159.73 and a 200 day moving average price of $153.60. The stock has a market cap of $22.71 billion, a P/E ratio of 17.58 and a beta of 1.09. Canadian Pacific Railway Limited has a one year low of $139.29 and a one year high of $167.52.

Canadian Pacific Railway Limited declared that its board has authorized a stock buyback plan on Wednesday, May 10th that authorizes the company to repurchase 4,380,000 shares. This repurchase authorization authorizes the transportation company to buy shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

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Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Whittier Trust Co. boosted its position in Canadian Pacific Railway Limited by 0.5% in the first quarter. Whittier Trust Co. now owns 2,855 shares of the transportation company’s stock valued at $419,000 after buying an additional 14 shares during the period. Edmond DE Rothschild Holding S.A. boosted its position in Canadian Pacific Railway Limited by 3.2% in the first quarter. Edmond DE Rothschild Holding S.A. now owns 1,135 shares of the transportation company’s stock valued at $166,000 after buying an additional 35 shares during the period. Wetherby Asset Management Inc. boosted its position in Canadian Pacific Railway Limited by 2.2% in the first quarter. Wetherby Asset Management Inc. now owns 2,142 shares of the transportation company’s stock valued at $315,000 after buying an additional 47 shares during the period. Park National Corp OH boosted its position in Canadian Pacific Railway Limited by 3.4% in the second quarter. Park National Corp OH now owns 1,897 shares of the transportation company’s stock valued at $305,000 after buying an additional 63 shares during the period. Finally, HL Financial Services LLC boosted its position in Canadian Pacific Railway Limited by 4.7% in the first quarter. HL Financial Services LLC now owns 1,571 shares of the transportation company’s stock valued at $231,000 after buying an additional 70 shares during the period. Institutional investors own 70.55% of the company’s stock.

Canadian Pacific Railway Limited Company Profile

Canadian Pacific Railway Limited, together with its subsidiaries, owns and operates a transcontinental freight railway in Canada and the United States. The Company operates through rail transportation segment. The Company’s transports bulk commodities, merchandise freight, and intermodal traffic over a network of approximately 12,400 miles.

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