Canadian Pacific Kansas City Limited (CP)vsVisa Inc. Class A (V)
CP
Canadian Pacific Kansas City Limited
$86.04
+0.96%
INDUSTRIALS · Cap: $75.65B
V
Visa Inc. Class A
$318.79
-0.78%
FINANCIAL SERVICES · Cap: $610.99B
Smart Verdict
WallStSmart Research — data-driven comparison
Visa Inc. Class A generates 187% more annual revenue ($43.03B vs $14.98B). V leads profitability with a 51.7% profit margin vs 27.2%. V appears more attractively valued with a PEG of 1.71. V earns a higher WallStSmart Score of 72/100 (B).
CP
Buy54
out of 100
Grade: C-
V
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+61.4%
Fair Value
$217.19
Current Price
$86.04
$131.15 discount
Intrinsic value data unavailable for V.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 37.6%
Large-cap with strong market position
Keeps 27 of every $100 in revenue as profit
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 60 in profit
Keeps 52 of every $100 in revenue as profit
Strong operational efficiency at 67.3%
17.1% revenue growth
Earnings expanding 35.5% YoY
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Revenue declined 2.5%
Earnings declined 3.1%
Expensive relative to growth rate
Moderate valuation
Trading at 15.9x book value
Grey zone — moderate risk
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 27.2% and operating margin at 37.6%.
Bull Case : V
The strongest argument for V centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 51.7% and operating margin at 67.3%. Revenue growth of 17.1% demonstrates continued momentum.
Bear Case : CP
The primary concerns for CP are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : V
The primary concerns for V are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
CP profiles as a declining stock while V is a growth play — different risk/reward profiles.
CP carries more volatility with a beta of 1.22 — expect wider price swings.
V is growing revenue faster at 17.1% — sustainability is the question.
V generates stronger free cash flow (2.6B), providing more financial flexibility.
Bottom Line
V scores higher overall (72/100 vs 54/100), backed by strong 51.7% margins and 17.1% revenue growth. CP offers better value entry with a 61.4% 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.
Visa Inc. Class A
FINANCIAL SERVICES · CREDIT SERVICES · USA
Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.
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