Canadian Pacific Kansas City Limited (CP)vsLB Foster Company (FSTR)
CP
Canadian Pacific Kansas City Limited
$89.23
+0.46%
INDUSTRIALS · Cap: $78.44B
FSTR
LB Foster Company
$37.59
+0.53%
INDUSTRIALS · Cap: $387.97M
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian Pacific Kansas City Limited generates 2667% more annual revenue ($15.45B vs $558.35M). CP leads profitability with a 25.0% profit margin vs 2.0%. FSTR appears more attractively valued with a PEG of 0.80. CP earns a higher WallStSmart Score of 60/100 (C).
CP
Buy60
out of 100
Grade: C
FSTR
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+60.5%
Fair Value
$212.47
Current Price
$89.23
$123.24 discount
Margin of Safety
-16.0%
Fair Value
$27.20
Current Price
$37.59
$10.39 premium
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
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Earnings declined 13.5%
Distress zone — elevated risk
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of 6.4% — below average capital efficiency
2.0% margin — thin
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 : FSTR
The strongest argument for FSTR centers on Altman Z-Score, PEG Ratio, Price/Book. PEG of 0.80 suggests the stock is reasonably priced for its growth.
Bear Case : CP
The primary concerns for CP are PEG Ratio, P/E Ratio, EPS Growth.
Bear Case : FSTR
The primary concerns for FSTR are P/E Ratio, Market Cap, Return on Equity. Thin 2.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
CP profiles as a mature stock while FSTR is a value play — different risk/reward profiles.
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.
Bottom Line
CP scores higher overall (60/100 vs 52/100), backed by strong 25.0% margins and 12.6% revenue growth. Both earn "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.
LB Foster Company
INDUSTRIALS · RAILROADS · USA
LB Foster Company provides products and services for the rail industry and solutions to support critical infrastructure projects globally. The company is headquartered in Pittsburgh, Pennsylvania.
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