CP (Canadian Pacific Kansas City) Effective Interest Rate on Debt %: 3.82% (As of Mar. 2026)


CP Canadian Pacific Kansas City Ltd CP
80 GF Score
Price $87.79
GF Value $85.90
Valuation Fairly Valued
! 7 Warning Signs
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What is Canadian Pacific Kansas City Effective Interest Rate on Debt %?

Canadian Pacific Kansas City CP +2.18% 80 Effective Interest Rate on Debt % is 3.82% as of Mar. 2026. GuruFocus rates CP with a GF Score™ of 80/100 and a GF Value™ of $85.90 (Fairly Valued). The stock has 7 warning signs investors should review.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Canadian Pacific Kansas City's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was $665 Mil. Canadian Pacific Kansas City's average total debt for the quarter that ended in Mar. 2026 was $17,416 Mil. Therefore, Canadian Pacific Kansas City's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 3.82%.


Canadian Pacific Kansas City  (NYSE:CP) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


Canadian Pacific Kansas City Effective Interest Rate on Debt % Related Terms


Canadian Pacific Kansas City Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Canadian Pacific Kansas City's Effective Interest Rate on Debt % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Canadian Pacific Kansas City Effective Interest Rate on Debt % Chart

Canadian Pacific Kansas City Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.89 3.14 3.63 3.39 3.82

Canadian Pacific Kansas City Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Effective Interest Rate on Debt % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.77 3.80 3.83 3.88 3.82

CP vs UNP, CSX, NSC: Effective Interest Rate on Debt % Comparison

For the Railroads subindustry, Canadian Pacific Kansas City's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Canadian Pacific Kansas City Effective Interest Rate on Debt % vs Transportation Industry

For the Transportation industry and Industrials sector, Canadian Pacific Kansas City's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Canadian Pacific Kansas City's Effective Interest Rate on Debt % falls into.


CP
80GF Score
Canadian Pacific Kansas City Ltd CP
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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Canadian Pacific Kansas City Effective Interest Rate on Debt % Calculation

Canadian Pacific Kansas City's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -635.013/( (16136.028+17106.198)/ 2 )
=-1  *  -635.013/16621.113
=3.82 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=14078.753 + 2057.275
=16136.028

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=14677.057 + 2429.141
=17106.198

Canadian Pacific Kansas City's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Dec. 2025 )+Total Debt  (Q: Mar. 2026 ))/ count )
=-1  *  -664.724/( (17106.198+17725.947)/ 2 )
=-1  *  -664.724/17416.0725
=3.82 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=14677.057 + 2429.141
=17106.198

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=15949.708 + 1776.239
=17725.947

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Mar. 2026) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 3.82% mean?
Canadian Pacific Kansas City (CP) has a Effective Interest Rate on Debt % of 3.82% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Canadian Pacific Kansas City and its competitors.
Is Canadian Pacific Kansas City's Effective Interest Rate on Debt % too high?
Canadian Pacific Kansas City's current Effective Interest Rate on Debt % is 3.82%. Overall, Canadian Pacific Kansas City has a GF Score™ of 80/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Canadian Pacific Kansas City's Effective Interest Rate on Debt % compare to UNP and CSX?
Canadian Pacific Kansas City's Effective Interest Rate on Debt % of 3.82% can be compared against companies in the Transportation industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Transportation company?
A good Effective Interest Rate on Debt % depends on the Transportation industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Canadian Pacific Kansas City and its competitors. Canadian Pacific Kansas City's current Effective Interest Rate on Debt % is 3.82%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Canadian Pacific Kansas City stock overvalued right now?
Based on GuruFocus' analysis, Canadian Pacific Kansas City (CP) is currently considered Fairly Valued. The stock's GF Value™ is $85.90, compared to a current price of $87.79 — trading 2.2% above its estimated fair value. The current Effective Interest Rate on Debt % is 3.82%. Canadian Pacific Kansas City's overall GF Score™ is 80/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For Canadian Pacific Kansas City (CP), the current Effective Interest Rate on Debt % is 3.82% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Canadian Pacific Kansas City (CP) Overvalued in 2026?

Based on GuruFocus' analysis, Canadian Pacific Kansas City stock appears to be overvalued. The current stock price of $87.79 is trading 2.2% above its estimated GF Value™ of $85.90. GuruFocus considers Canadian Pacific Kansas City to be Fairly Valued.

Key valuation signals for CP:

  • Effective Interest Rate on Debt %: 3.82%
  • GF Value™: $85.90 vs. price of $87.79 (2.2% above fair value)
  • GF Score™: 80/100 with 7 warning signs

No single metric tells the full story. See the CP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Canadian Pacific Kansas City Business Description

Address 7550 Ogden Dale Road SE, Calgary, AB, CAN, T2C 4X9
Canadian Pacific Kansas City is a Class I railroad operating on tracks that span most of Canada and into parts of the Midwestern and Northeastern United States. Following the April 2023 Kansas City Southern merger, CPKC operates new single-linehaul services from Canada and the Upper Midwest down through Texas, the Gulf of Mexico, and into Mexico. It also hauls cross-border and intra-Mexico freight via operating concessions on more than 3,000 miles of rail in Mexico. CPKC hauls shipments of grain, intermodal containers, energy products (like crude and frac sand), chemicals, plastics, coal, fertilizer and potash, automotive products, and a diverse mix of other merchandise.
80GF Score

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Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$87.79
Price
$85.90
GF Value