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Canadian Pacific Kansas City downgraded to Neutral at Susquehanna

As previously reported, Susquehanna downgraded Canadian Pacific Kansas City to Neutral from Positive with a price target of $90, up from $87. The firm believes the stock’s valuation “should compress back to a Canadian rail baseline” as the Kansas City merger story becomes “steady-state,” the analyst tells investors. The firm doesn’t believe rails are “spring-loaded into January,” but does finally see 2024 consensus as “rational” and expects rail sentiment to improve through 2024, the analyst tells investors.

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