Canadian Pacific Kansas City (CP) Q3 Earnings on the Horizon: Analysts' Insights on Key Performance Measures

Core Insights - Canadian Pacific Kansas City (CP) is expected to report quarterly earnings of $0.81 per share, reflecting an 11% year-over-year increase, with revenues projected at $2.68 billion, a 2.8% increase compared to the previous year [1] - The consensus EPS estimate has been revised upward by 0.6% over the past 30 days, indicating a reassessment by analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate revisions and short-term stock performance [3] Financial Metrics - Analysts predict an 'Adjusted Operating Ratio' of 60.4%, down from 62.9% in the same quarter last year [5] - 'Carloads - Total' are expected to reach 1.13 million, compared to 1.09 million in the same quarter last year [5] - The consensus estimate for 'Carloads - Automotive' is 63.13 thousand, slightly down from 63.70 thousand in the previous year [6] - 'Revenue ton miles (RTMs) - Total' is projected to be 54.58 billion, up from 51.52 billion in the same quarter last year [6] - 'Carloads - Grain' are expected to reach 133.62 thousand, compared to 127.00 thousand in the same quarter last year [7] - 'Carloads - Coal' are projected at 125.92 thousand, up from 121.70 thousand in the previous year [7] - 'Carloads - Potash' are expected to be 51.18 thousand, compared to 40.60 thousand last year [8] - 'Carloads - Fertilizers and Sulphur' are projected at 16.36 thousand, up from 15.60 thousand in the previous year [8] - 'Carloads - Forest Products' are expected to be 32.95 thousand, down from 33.90 thousand last year [9] - 'Carloads - Energy, Chemicals and Plastics' are projected at 138.95 thousand, down from 145.60 thousand in the previous year [9] - 'Carloads - Metals, Minerals and Consumer Products' are expected to reach 124.36 thousand, down from 127.90 thousand last year [10] - The expected 'Operating Ratio' is 59.7%, significantly improved from 66.1% in the previous year [10] Market Performance - Over the past month, Canadian Pacific Kansas City shares have returned +2.3%, outperforming the Zacks S&P 500 composite's +1.3% [11] - The company holds a Zacks Rank 4 (Sell), indicating a likely underperformance compared to the overall market in the upcoming period [11]