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UPDATE: National Bank Financial Downgrades Canadian Pacific Railway Limited to Underperform on Valuation

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Benzinga's Top Upgrades, Downgrades For September 13, 2017
The Worst Performing Rail Stock Of 2017: Canadian Pacific

National Bank Financial lowered its rating on Canadian Pacific Railway Limited (NYSE: CP) from Sector Perform to Underperform with an unchanged $84 price target.

National Bank Financial commented, "While we have confidence in CP's ability to significantly improve profitability in the coming years, we believe that with the 6% move higher by the stock yesterday that it is running ahead of itself. … The economic outlook remains cloudy, particularly as it relates to key commodities. For instance, Teck, which is CP's primary customer for coal, guided yesterday for coal production volumes at the low end of its range. Other coal producers have also noted weakness in metallurgical coal demand. Potash is also a key uncertainty for CP, which will also face the negative y/y comparables of the loss of a portion of Canpotex volumes in the next few quarters."

Canadian Pacific Railway Limited closed at $93.53 on Wednesday.

Latest Ratings for CP

DateFirmActionFromTo
Sep 2017National Bank FinancialDowngradesOutperformSector Perform
Aug 2017Loop CapitalUpgradesHoldBuy
Jul 2017ArgusMaintainsBuy

View More Analyst Ratings for CP
View the Latest Analyst Ratings

Posted-In: National Bank FinancialAnalyst Color Downgrades Intraday Update Analyst Ratings

 

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