Canadian Pacific Kansas City Ltd. (CP) vs TransDigm Group Incorporated (TDG)

TDG leads on 8 of 15 compared metrics, though CP is the cheaper stock.

A side-by-side comparison of Canadian Pacific Kansas City Ltd. and TransDigm Group Incorporated across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 26, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Compare

Total return — CP vs TDG

growth of $100 · last 20y
CP +773.9%TDG +5407.8%TDG compounded faster
Log scale — wide-divergence pair
101001k10kStart $10020102014201820222026$874$5,508
CP TDG

CP vs TDG: by the numbers

  • CP is the larger company ($77.27B vs $74.27B market cap).
  • CP trades at the lower earnings multiple (24.74 vs 41.28 P/E).
  • CP converts more revenue to profit (26.86% vs 21.29% net margin).
  • CP grew revenue faster over the past five years (15.26% vs 14.19% CAGR).
  • TDG pays the higher dividend yield (6.80% vs 0.98%).

Which is better, CP or TDG?

Metric tally: CP 7 · TDG 8

It depends on what you're optimizing for:

ValueCP(lower P/E)
GrowthCP(faster 5Y revenue CAGR)
IncomeTDG(higher dividend yield)
QualityTDG(higher ROIC)

Metrics side by side

Valuation

MetricCPTDG
P/E ratio24.7441.28
Forward P/E14.7028.16
P/S ratio6.568.10
P/B ratio2.33
PEG ratio1.651.63
EV / EBITDA14.5321.97
FCF yield1.90%2.40%

Profitability

MetricCPTDG
Gross margin46.67%59.02%
Operating margin36.78%46.51%
Net margin26.86%21.29%
ROE9.56%-21.41%
ROIC5.09%15.22%

Dividends

MetricCPTDG
Dividend yield0.98%6.80%
Payout ratio25.83%280.55%

Growth (annualized)

MetricCPTDG
Revenue CAGR (5Y)15.26%14.19%
EPS CAGR (5Y)3.04%31.14%
FCF CAGR (5Y)8.84%13.70%
Total return CAGR (5Y)3.19%18.85%

Frequently asked

Which is better, CP or TDG?
It depends on your goal. value: CP (lower P/E); growth: CP (faster 5Y revenue CAGR); income: TDG (higher dividend yield); quality: TDG (higher ROIC). Across all compared metrics, TDG leads 8 to 7.
Is CP or TDG cheaper?
On trailing earnings, CP is cheaper: CP trades at a 24.74 P/E and TDG at 41.28.
Which has grown faster, CP or TDG?
Over the past five years, CP grew revenue faster — CP at a 15.26% CAGR versus TDG at 14.19%.
Does CP or TDG pay a bigger dividend?
CP yields 0.98% and TDG yields 6.80% based on trailing dividends and the latest price.
Is CP or TDG more profitable?
CP runs the higher net margin — CP at 26.86% versus TDG at 21.29%.
Which has been the better investment, CP or TDG?
Over the past 10-year, TDG delivered the higher annualized total return — CP at 14.38% versus TDG at 23.43%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 26, 2026.