CP (Canadian Pacific Kansas City) Net Margin %: 22.86% (As of Mar. 2026) — 27% Below Median


CP Canadian Pacific Kansas City Ltd CP
80 GF Score
Price $84.78
GF Value $86.98
Valuation Fairly Valued
! 7 Warning Signs
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What is Canadian Pacific Kansas City Net Margin %?

Canadian Pacific Kansas City CP -0.60% 80 Net Margin % is 22.86% as of Mar. 2026, which is 27% below its 10-year median of 31.30. GuruFocus rates CP with a GF Score™ of 80/100 and a GF Value™ of $86.98 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,008 Transportation companies, Canadian Pacific Kansas City ranks better than 90.08% on this metric.

Net margin is calculated as Net Income divided by its Revenue. Canadian Pacific Kansas City's Net Income for the three months ended in Mar. 2026 was $617 Mil. Canadian Pacific Kansas City's Revenue for the three months ended in Mar. 2026 was $2,698 Mil. Therefore, Canadian Pacific Kansas City's net margin for the quarter that ended in Mar. 2026 was 22.86%.

The historical rank and industry rank for Canadian Pacific Kansas City's Net Margin % or its related term are showing as below:

CP' s Net Margin % Range Over the Past 10 Years
Min: 25.56   Med: 31.3   Max: 39.9
Current: 27.21


CP's Net Margin % is ranked better than
90.08% of 1008 companies
in the Transportation industry
Industry Median: 4.99 vs CP: 27.21

Canadian Pacific Kansas City  (NYSE:CP) Net Margin % Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Canadian Pacific Kansas City Net Margin % Related Terms


Canadian Pacific Kansas City Net Margin % Historical Data

* Premium members only.

The historical data trend for Canadian Pacific Kansas City's Net Margin % 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 Net Margin % Chart

Canadian Pacific Kansas City Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.67 39.90 31.28 25.56 27.46

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
Net Margin % 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 23.98 33.36 25.13 27.45 22.86

CP vs UNP, CSX, NSC: Net Margin % Comparison

For the Railroads subindustry, Canadian Pacific Kansas City's Net Margin %, along with its competitors' market caps and Net Margin % 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 Net Margin % vs Transportation Industry

For the Transportation industry and Industrials sector, Canadian Pacific Kansas City's Net Margin % distribution charts can be found below:

* The bar in red indicates where Canadian Pacific Kansas City's Net Margin % falls into.


CP
80GF Score
Canadian Pacific Kansas City Ltd CP
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Canadian Pacific Kansas City Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Canadian Pacific Kansas City's Net Margin for the fiscal year that ended in Dec. 2025 is calculated as

Net Margin=Net Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=3001.812/10930.047
=27.46 %

Canadian Pacific Kansas City's Net Margin for the quarter that ended in Mar. 2026 is calculated as

Net Margin=Net Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=616.618/2697.522
=22.86 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of 22.86% mean?
Canadian Pacific Kansas City (CP) has a Net Margin % of 22.86% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Canadian Pacific Kansas City and its competitors. This is 27% below median its historical median of 31.30. Over the past decade, Canadian Pacific Kansas City's Net Margin % has ranged from 25.56 to 39.90. According to the industry distribution chart, Canadian Pacific Kansas City ranks #100 out of 1008 companies in the Transportation industry, placing it in the top 9.9%.
Is Canadian Pacific Kansas City's Net Margin % too high?
Canadian Pacific Kansas City's current Net Margin % of 22.86% is 27% below median its 10-year median of 31.30. Over the past 10 years, this metric has ranged from a low of 25.56 to a high of 39.90. The Transportation industry median Net Margin % is 4.99. Canadian Pacific Kansas City's value of 22.86% is 358.1% above this industry median. Based on the distribution chart, Canadian Pacific Kansas City ranks #100 out of 1008 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. 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 Net Margin % compare to UNP and CSX?
According to the Transportation industry distribution chart, Canadian Pacific Kansas City ranks #100 out of 1008 companies for Net Margin %. This places Canadian Pacific Kansas City in the top 10% of its industry — outperforming the majority of peers. The industry median Net Margin % is 4.99. Canadian Pacific Kansas City's value of 22.86% is 358.1% above this benchmark. Historically, Canadian Pacific Kansas City's own Net Margin % has ranged from 25.56 to 39.90 over the past decade. While the company's 10-year median is 31.30 vs. the industry median of 4.99, Canadian Pacific Kansas City has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Transportation company?
The median Net Margin % among Transportation companies is 4.99, based on 1,008 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Canadian Pacific Kansas City's current Net Margin % of 22.86% is 358.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Canadian Pacific Kansas City and its competitors. For the Transportation industry, the median Net Margin % is 4.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Canadian Pacific Kansas City's current Net Margin % is 22.86%, which is 27% below median its own 10-year median of 31.30. 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 $86.98, compared to a current price of $84.78 — trading 2.5% below its estimated fair value. The current Net Margin % is 22.86%, which is 27% below median its 10-year median of 31.30 and 358.1% above the Transportation industry median of 4.99. 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 Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Canadian Pacific Kansas City (CP), the current Net Margin % is 22.86% 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 undervalued. The current stock price of $84.78 is trading 2.5% below its estimated GF Value™ of $86.98. GuruFocus considers Canadian Pacific Kansas City to be Fairly Valued.

Key valuation signals for CP:

  • Net Margin %: 22.86% (27% below median its 10-year median of 31.30)
  • GF Value™: $86.98 vs. price of $84.78 (2.5% below fair value)
  • GF Score™: 80/100 with 7 warning signs
  • Industry Position: 358.1% above the Transportation median (#100 of 1008)

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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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$84.78
Price
$86.98
GF Value