Canadian Pacific Railway Ltd (CP)vsWestinghouse Air Brake Technologies Corp (WAB)
CP
Canadian Pacific Railway Ltd
$78.24
-0.28%
INDUSTRIALS · Cap: $71.78B
WAB
Westinghouse Air Brake Technologies Corp
$236.06
-0.46%
INDUSTRIALS · Cap: $40.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian Pacific Railway Ltd generates 35% more annual revenue ($15.08B vs $11.17B). CP leads profitability with a 27.5% profit margin vs 10.5%. WAB appears more attractively valued with a PEG of 1.37. WAB earns a higher WallStSmart Score of 58/100 (C).
CP
Buy56
out of 100
Grade: C
WAB
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-274.7%
Fair Value
$22.37
Current Price
$78.24
$55.87 premium
Margin of Safety
-448.6%
Fair Value
$46.38
Current Price
$236.06
$189.68 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 44.0%
Revenue surging 130.0% year-over-year
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Reasonable price relative to book value
No standout strengths identified
Areas to Watch
Expensive relative to growth rate
Earnings declined 7.4%
Premium valuation, high expectations priced in
Distress zone — elevated risk
Weak financial health signals
Earnings declined 3.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : CP
The strongest argument for CP centers on Operating Margin, Revenue Growth, Market Cap. Profitability is solid with margins at 27.5% and operating margin at 44.0%. Revenue growth of 130.0% demonstrates continued momentum.
Bull Case : WAB
Revenue growth of 14.8% demonstrates continued momentum. PEG of 1.37 suggests the stock is reasonably priced for its growth.
Bear Case : CP
The primary concerns for CP are PEG Ratio, EPS Growth.
Bear Case : WAB
The primary concerns for WAB are P/E Ratio, Altman Z-Score, Piotroski F-Score.
Key Dynamics to Monitor
CP profiles as a growth stock while WAB is a value play — different risk/reward profiles.
CP carries more volatility with a beta of 1.17 — expect wider price swings.
CP is growing revenue faster at 130.0% — sustainability is the question.
WAB generates stronger free cash flow (870M), providing more financial flexibility.
Bottom Line
WAB scores higher overall (58/100 vs 56/100) and 14.8% 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 Railway Ltd
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.
Westinghouse Air Brake Technologies Corp
INDUSTRIALS · RAILROADS · USA
Wabtec Corporation (derived from Westinghouse Air Brake Technologies Corporation) is an American company formed by the merger of the Westinghouse Air Brake Company (WABCO) and MotivePower Industries Corporation in 1999. It is headquartered in Pittsburgh, Pennsylvania.
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