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UPDATE: BofA Securities Downgrades Canadian Pacific Railway Limited (CP) to Neutral

April 8, 2022 6:33 AM EDT
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Price: $81.25 +0.68%

Rating Summary:
    20 Buy, 14 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 8 | Down: 40 | New: 22
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(Updated - April 8, 2022 8:44 AM EDT)

BofA Securities analyst Ken Hoexter downgraded Canadian Pacific Railway Limited (NYSE: CP) from Buy to Neutral with a price target of $81.00 (from $76.00).

The analyst comments "We lower our rating to Neutral from Buy, and our PO to US$81 from US$85, as we lower our target multiple to 26.5x from 27.0x. We remain above its 13x-19x historical range as results remain depressed from its KSU acquisition, as it added debt/interest expense, but it cannot integrate operations and gain synergies yet (it owns the shares in a voting trust, but doesn’t take full control until it obtains full Surface Transportation Board (STB) merger approval, expected by year-end or early 2023)."

For an analyst ratings summary and ratings history on Canadian Pacific Railway Limited click here. For more ratings news on Canadian Pacific Railway Limited click here.

Shares of Canadian Pacific Railway Limited closed at $76.32 yesterday.


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