CSX (CSX) AI Stock Analysis

• Market Cap: $61.03B
• Dividend Yield: 1.6%
• Average Volume (3M): 15.24M
• Price to Earnings (P/E): 19.4
• Beta (1Y): 0.77
• Revenue Growth: -2.39%
• EPS Growth: -7.80%
• Country: US
• Employees: 23,400
• Sector: Industrials
• Sector Strength: 84
• Industry: Railroads
• EPS (TTM): 0.34
• Shares Outstanding: 1,878,545,900
• 10 Day Avg. Volume: 13,545,847
• 30 Day Avg. Volume: 15,244,681
• PEG Ratio: -2.81
• Price to Book (P/B): 4.98
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.36
• Enterprise Value/Market Cap: 1.29
• Enterprise Value/Revenue: 1.35
• Enterprise Value/Gross Profit: 15.62
• Enterprise Value/Ebitda: 2.82
• 1Y Price Target: $32.84
• Price Target Upside: 0.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 20

• Rating: 73 Outperform
• Price Target: $34.00 ▲(4.39%Upside)

CSX demonstrates strong financial health and profitability, supported by efficient cash flow management. However, the company faces challenges with revenue growth and operational issues highlighted in the latest earnings call, which negatively impact sentiment. The stock shows mixed technical signals with some bullish momentum but overbought conditions, and its valuation appears fair with a moderate P/E ratio. Overall, CSX is a stable performer but needs to address growth and operational hurdles to enhance its stock potential.

Positive Factors

Labor Relations

CSX and the Brotherhood of Locomotive Engineers & Trainmen agreed to a new 5-year tentative agreement covering approximately 3,400 locomotive engineers.

Service Performance

CSX has shown service improvement with better car miles per day, velocity, and dwell time metrics, which is expected to lead to a decline in Purchased Services & Other expenses.

Strategic Initiatives

Longer-term initiatives with a strong industrial development pipeline should provide long-term benefits for CSX.

Negative Factors

Earnings Performance

CSX reported a headline 7% earnings miss as weather, mix, and service challenges from network outages negatively impacted the quarter.

Market Outlook

Estimates are running 10% below the street in 2026/2027, and further negative revisions are expected as CSX works through a transitional year.

Volume Performance

Volumes are trending below the target, with carload growth up only 1.1% year-on-year, which is below the previous target of 3.1%.

CSX Business Overview & Revenue Model

Company Description

CSX Corporation, together with its subsidiaries, provides rail-based freight transportation services. The company offers rail services; and transportation of intermodal containers and trailers, as well as other transportation services, such as rail-to-truck transfers and bulk commodity operations. It transports chemicals, agricultural and food products, automotive, minerals, forest products, fertilizers, and metals and equipment; and coal, coke, and iron ore to electricity-generating power plants, steel manufacturers, and industrial plants, as well as exports coal to deep-water port facilities. The company also offers intermodal transportation services through a network of approximately 30 terminals transporting manufactured consumer goods in containers; and drayage services, including the pickup and delivery of intermodal shipments. It serves the automotive industry with distribution centers and storage locations, as well as connects non-rail served customers through transferring products, such as plastics and ethanol from rail to trucks. The company operates approximately 19,500 route mile rail network, which serves various population centers in 23 states east of the Mississippi River, the District of Columbia, and the Canadian provinces of Ontario and Quebec, as well as owns and leases approximately 3,500 locomotives. It also serves production and distribution facilities through track connections. CSX Corporation was incorporated in 1978 and is headquartered in Jacksonville, Florida.

How the Company Makes Money

CSX Corporation generates revenue primarily through its rail transportation services, which account for the bulk of its income. The company charges customers for moving various types of freight over its rail network, with pricing influenced by factors such as distance, weight, and type of cargo. Key revenue streams include the transportation of merchandise, which covers diverse commodities like chemicals, agricultural products, and automotive parts, as well as the coal sector, which involves the shipment of coal from mining regions to power plants and ports. Additionally, CSX earns money through its intermodal segment by offering integrated truck and rail transportation solutions, providing customers with flexible and efficient shipping options. Strategic partnerships with logistics companies and port operators further enhance CSX's service offerings and market reach, contributing to its earnings.

CSX Financial Statement Overview

Summary

CSX displays solid financial health with strong profitability and efficient cash flow management. While the company has maintained a stable balance sheet and high returns on equity, addressing revenue growth could enhance future performance.

Income Statement

CSX has maintained strong profitability with a Gross Profit Margin of 35.3% and EBIT Margin of 34.5% in TTM. The Net Profit Margin is also robust at 22.7%. However, there's a slight decline in revenue over the past year, indicating a need to address top-line growth.

Balance Sheet

The company exhibits a solid balance sheet with a low Debt-to-Equity Ratio of 0.09, reflecting prudent financial leverage. The Return on Equity is impressive at 26.6%, indicating efficient equity utilization. However, the Equity Ratio of 28.2% shows limited asset funding through equity, which could be a concern if liabilities rise.

Cash Flow

CSX demonstrates strong cash flow management with a high Operating Cash Flow to Net Income Ratio of 1.67 and a positive Free Cash Flow of $2.69 billion in TTM. The company's ability to convert net income into cash effectively supports its financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.28B	14.54B	14.66B	14.85B	12.52B	10.58B
Gross Profit	5.04B	5.34B	5.67B	5.79B	5.14B	4.36B
EBITDA	6.72B	7.07B	7.34B	7.39B	6.65B	5.76B
Net Income	3.24B	3.47B	3.71B	4.17B	3.78B	2.77B
Balance Sheet
Total Assets	43.20B	42.76B	42.41B	41.91B	40.53B	39.79B
Cash, Cash Equivalents and Short-Term Investments	1.15B	1.00B	1.44B	2.09B	2.32B	3.13B
Total Debt	19.61B	18.99B	19.09B	18.05B	16.37B	16.70B
Total Liabilities	31.02B	30.26B	30.27B	29.29B	27.03B	26.68B
Stockholders Equity	12.17B	12.50B	12.13B	12.63B	13.50B	13.11B
Cash Flow
Free Cash Flow	2.69B	2.72B	3.27B	3.49B	3.31B	2.64B
Operating Cash Flow	5.42B	5.25B	5.55B	5.62B	5.10B	4.26B
Investing Cash Flow	-2.75B	-2.60B	-2.29B	-2.13B	-1.88B	-649.00M
Financing Cash Flow	-3.01B	-3.06B	-3.87B	-3.77B	-4.11B	-1.44B

CSX Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 32.57
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CSX, the sentiment is Positive. The current price of 32.57 is above the 20-day moving average (MA) of 32.11, above the 50-day MA of 30.31, and above the 200-day MA of 31.99, indicating a bullish trend. The MACD of 0.54 indicates Positive momentum. The RSI at 63.01 is Neutral, neither overbought nor oversold. The STOCH value of 79.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CSX.

CSX Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NSC	78 Outperform	$57.54B	17.43	24.52%	2.12%	0.70%	135.08%
UPS	74 Outperform	$85.19B	14.49	35.96%	6.60%	1.30%	-0.76%
CSX	73 Outperform	$61.03B	19.36	26.13%	1.60%	-2.39%	-7.80%
FDX	73 Outperform	$53.19B	13.18	14.69%	2.61%	0.27%	―
ODFL	72 Outperform	$33.89B	30.06	26.59%	0.70%	-2.63%	-6.12%
JBHT	69 Neutral	$14.16B	25.92	13.97%	1.23%	-3.82%	-12.80%
Sector *	58 Neutral	$1.34B	4.08	-2.93%	10.79%	3.41%	-51.76%

CSX Corporate Events

CSX Elects Board and Approves Executive Compensation

On May 7, 2025, CSX Corporation held its Annual Meeting of Shareholders where twelve directors were elected to the board. Additionally, shareholders ratified the appointment of Ernst & Young LLP as the independent registered public accounting firm for 2025 and approved, on a non-binding basis, the compensation of CSX’s named executive officers.

The most recent analyst rating on (CSX) stock is a Buy with a $39.00 price target. To see the full list of analyst forecasts on CSX stock, see the CSX Stock Forecast page.