Canadian Pacific Kansas City Limited (CP)vsCSX Corporation (CSX)
CP
Canadian Pacific Kansas City Limited
$85.07
-1.66%
INDUSTRIALS · Cap: $77.61B
CSX
CSX Corporation
$46.51
-0.89%
INDUSTRIALS · Cap: $86.97B
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian Pacific Kansas City Limited generates 6% more annual revenue ($15.45B vs $14.51B). CP leads profitability with a 25.0% profit margin vs 22.2%. CSX appears more attractively valued with a PEG of 1.72. CSX earns a higher WallStSmart Score of 71/100 (B).
CP
Buy60
out of 100
Grade: C
CSX
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+60.4%
Fair Value
$211.78
Current Price
$85.07
$126.71 discount
Margin of Safety
+34.5%
Fair Value
$71.63
Current Price
$46.51
$25.12 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 39.0%
Large-cap with strong market position
Keeps 25 of every $100 in revenue as profit
Reasonable price relative to book value
Strong operational efficiency at 38.4%
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Keeps 22 of every $100 in revenue as profit
Earnings expanding 22.7% YoY
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Earnings declined 13.5%
Distress zone — elevated risk
Expensive relative to growth rate
Moderate valuation
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CP
The strongest argument for CP centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 25.0% and operating margin at 39.0%. Revenue growth of 12.6% demonstrates continued momentum.
Bull Case : CSX
The strongest argument for CSX centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 22.2% and operating margin at 38.4%. Revenue growth of 10.1% demonstrates continued momentum.
Bear Case : CP
The primary concerns for CP are PEG Ratio, P/E Ratio, EPS Growth.
Bear Case : CSX
The primary concerns for CSX are PEG Ratio, P/E Ratio, Debt/Equity.
Key Dynamics to Monitor
CP carries more volatility with a beta of 1.22 — expect wider price swings.
CP is growing revenue faster at 12.6% — sustainability is the question.
CP generates stronger free cash flow (960M), providing more financial flexibility.
Monitor RAILROADS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
CSX scores higher overall (71/100 vs 60/100), backed by strong 22.2% margins and 10.1% revenue growth. CP offers better value entry with a 60.4% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Canadian Pacific Kansas City Limited
INDUSTRIALS · RAILROADS · USA
Canadian Pacific Railway Limited, owns and operates a transcontinental freight railway in Canada and the United States. The company is headquartered in Calgary, Canada.
CSX Corporation
INDUSTRIALS · RAILROADS · USA
CSX Corporation is an American holding company focused on rail transportation and real estate in North America, among other industries. Based in Richmond, Virginia, USA after the merger, in 2003 the CSX Corporation headquarters moved to Jacksonville, Florida.
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