Canadian Pacific Railway Limited’s CP third-quarter 2020 earnings (excluding 22 cents from non-recurring items) of $3.09 (C$4.12) per share missed the Zacks Consensus Estimate of $3.22. Quarterly earnings also declined year over year.Quarterly revenues of $1,398.3 million (C$1,863 million) also lagged the Zacks Consensus Estimate of $1421.8 million. The top line decreased year over year due to drop in freight revenues amid coronavirus-related woes.Freight revenues, contributing 97.7% to the top line, fell 5.7% on a year-over-year basis. The company’s freight segment consists of Grain (up 11.7%), Coal (down 29%), Potash (up 12.8%), Fertilizers and sulphur (down 1.5%), Forest products (up 9%), Energy, chemicals and plastics (down 16%), Metals, minerals and consumer products (down 24.4%), Automotive (up 8%), and Intermodal (down 5.9%). In the reported quarter, total freight revenues per revenue ton-miles (RTMs) were up 1% year over year. Also, total freight revenues per carload climbed 2% from the year-ago quarter’s reported figure.Canadian Pacific Railway Limited Price, Consensus and EPS Surprise Canadian Pacific Railway Limited price-consensus-eps-surprise-chart | Canadian Pacific Railway Limited Quote Operating income declined 10.3% in the quarter under review. Operating expenses decreased 2.3% year over year. However, operating ratio (operating expenses as a percentage of revenues on an adjusted basis) deteriorated to 58.2% in the third quarter from 56.1% in the year-ago quarter. Notably, lower value of this key metric bodes well.LiquidityThe Zacks Rank #3 (Hold) company exited the third quarter with cash and cash equivalents of C$183 million compared with C$133 million at the end of December 2019. Long-term debt amounted to C$8,945 million compared with C$8,158 million at the end of December 2019. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Dividend UpdateCanadian Pacific’s board approved a quarterly cash dividend of C$0.95 per share, payable to shareholders on Jan 25, 2021, of record as of Dec 31, 2020.2020 Outlook RevisedWith volumes gradually improving, Canadian Pacific anticipates revenue ton-miles to decline in low-single digit in 2020 compared to the year-ago period. Previously, the company expected the same to decrease in mid-single digit. Additionally, adjusted earnings per share are estimated to increase at least in mid-single digits from C$16.44 reported in 2019. The company maintains its expectation for 2020 capital expenditures at C$1.6 billion. Effective tax rate is estimated to be approximately 24.8% in the current year.Sectorial SnapshotLet’s take a look at some of the other recently released earnings reports from companies within the Zacks Transportation sector.Kansas City Southern KSU, carrying a Zacks Rank #3, reported third-quarter 2020 earnings (excluding 5 cents from non-recurring items) of $1.96 per share, beating the Zacks Consensus Estimate of $1.88. Meanwhile, quarterly revenues of $659.6 million lagged the Zacks Consensus Estimate of $662.4 million.JB Hunt Transport Services Inc JBHT, carrying a Zacks Rank of 3, reported third-quarter 2020 earnings of $1.18 per share, falling short of the Zacks Consensus Estimate of $1.26. Total operating revenues of $2,472.5 million beat the consensus mark of $2,345.2 million.United Airlines Holdings Inc UAL, carrying a Zacks Rank of 3, incurred a loss (excluding $1.83 from non-recurring items) of $8.16 per share in the third quarter of 2020, narrower than the Zacks Consensus Estimate of a loss of $7.63. Moreover, operating revenues of $2,489 million lagged the Zacks Consensus Estimate of $2,570.1 million.5 Stocks Set to DoubleEach was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Kansas City Southern (KSU): Free Stock Analysis Report United Airlines Holdings Inc (UAL): Free Stock Analysis Report J.B. Hunt Transport Services, Inc. (JBHT): Free Stock Analysis Report Canadian Pacific Railway Limited (CP): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research