Canadian Pacific Railway Ltd (CP)vsWest Pharmaceutical Services Inc (WST)
CP
Canadian Pacific Railway Ltd
$79.24
-0.28%
INDUSTRIALS · Cap: $70.26B
WST
West Pharmaceutical Services Inc
$247.02
+0.71%
HEALTHCARE · Cap: $17.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian Pacific Railway Ltd generates 390% more annual revenue ($15.08B vs $3.07B). CP leads profitability with a 27.5% profit margin vs 16.1%. CP appears more attractively valued with a PEG of 2.22. CP earns a higher WallStSmart Score of 56/100 (C).
CP
Buy56
out of 100
Grade: C
WST
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-274.7%
Fair Value
$22.37
Current Price
$79.24
$56.87 premium
Margin of Safety
-256.8%
Fair Value
$68.99
Current Price
$247.02
$178.03 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 44.0%
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Strong operational efficiency at 21.6%
Areas to Watch
Expensive relative to growth rate
1.3% revenue growth
Earnings declined 7.4%
Premium valuation, high expectations priced in
2.1% earnings growth
Expensive relative to growth rate
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 27.5% and operating margin at 44.0%.
Bull Case : WST
The strongest argument for WST centers on Altman Z-Score, Operating Margin. Profitability is solid with margins at 16.1% and operating margin at 21.6%.
Bear Case : CP
The primary concerns for CP are PEG Ratio, Revenue Growth, EPS Growth.
Bear Case : WST
The primary concerns for WST are P/E Ratio, EPS Growth, PEG Ratio.
Key Dynamics to Monitor
CP profiles as a value stock while WST is a mature play — different risk/reward profiles.
WST carries more volatility with a beta of 1.18 — expect wider price swings.
WST is growing revenue faster at 7.5% — sustainability is the question.
CP generates stronger free cash flow (729M), providing more financial flexibility.
Bottom Line
CP scores higher overall (56/100 vs 55/100), backed by strong 27.5% margins. 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.
West Pharmaceutical Services Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
West Pharmaceutical Services, Inc. is a designer and manufacturer of injectable pharmaceutical packaging and delivery systems. The company is headquartered in Exton, Pennsylvania.
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