Canadian Pacific says mid-50s operating ratio within reach

A photograph of a Canadian Pacific train traveling across a field.

An operating ratio in the mid-50s percentage range is still possible for Canadian Pacific (NYSE: CP) for as early as next year, even as the coronavirus pandemic continues to play out in North America, company executives said during Wednesday’s second-quarter earnings call.

Operating ratio, a company’s expenses as a percentage of its revenue, is a metric that some investors use to gauge the financial health of a company. A lower operating ratio can imply improved financial performance.

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