Canadian Pacific Kansas City Limited (CP)vsLB Foster Company (FSTR)
CP
Canadian Pacific Kansas City Limited
$89.93
+0.48%
INDUSTRIALS · Cap: $80.03B
FSTR
LB Foster Company
$41.42
-2.54%
INDUSTRIALS · Cap: $434.14M
Smart Verdict
WallStSmart Research — data-driven comparison
Canadian Pacific Kansas City Limited generates 2560% more annual revenue ($14.98B vs $563.36M). CP leads profitability with a 27.2% profit margin vs 2.0%. FSTR appears more attractively valued with a PEG of 0.35. FSTR earns a higher WallStSmart Score of 55/100 (C).
CP
Buy54
out of 100
Grade: C-
FSTR
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+60.1%
Fair Value
$210.24
Current Price
$89.93
$120.31 discount
Margin of Safety
-15.5%
Fair Value
$27.31
Current Price
$41.42
$14.11 premium
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
Growing faster than its price suggests
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Revenue surging 23.9% year-over-year
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Revenue declined 2.5%
Earnings declined 3.1%
Smaller company, higher risk/reward
ROE of 6.4% — below average capital efficiency
2.0% margin — thin
Operating margin of 1.7%
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 : FSTR
The strongest argument for FSTR centers on PEG Ratio, Altman Z-Score, Price/Book. Revenue growth of 23.9% demonstrates continued momentum. PEG of 0.35 suggests the stock is reasonably priced for its growth.
Bear Case : CP
The primary concerns for CP are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : FSTR
The primary concerns for FSTR are Market Cap, Return on Equity, Profit Margin. A P/E of 40.3x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
CP profiles as a declining stock while FSTR is a growth play — different risk/reward profiles.
CP carries more volatility with a beta of 1.22 — expect wider price swings.
FSTR is growing revenue faster at 23.9% — sustainability is the question.
CP generates stronger free cash flow (307M), providing more financial flexibility.
Bottom Line
FSTR scores higher overall (55/100 vs 54/100) and 23.9% revenue growth. CP offers better value entry with a 60.1% margin of safety. 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.
Visit Website →Compare with Other RAILROADS Stocks
Want to dig deeper into these stocks?