CSX (CSX) AI Stock Analysis

• Market Cap: $67.60B
• Dividend Yield: 1.43%
• Average Volume (3M): 12.36M
• Price to Earnings (P/E): 23.6
• Beta (1Y): 0.77
• Revenue Growth: -3.80%
• EPS Growth: -17.32%
• Country: US
• Employees: 23,400
• Sector: Industrials
• Sector Strength: 72
• Industry: Railroads
• EPS (TTM): 0.44
• Shares Outstanding: 1,862,137,000
• 10 Day Avg. Volume: 11,535,203
• 30 Day Avg. Volume: 12,359,143
• PEG Ratio: -5.55
• Price to Book (P/B): 5.00
• Price to Sales (P/S): 4.30
• P/FCF Ratio: 22.99
• Enterprise Value/Market Cap: 1.26
• Enterprise Value/Revenue: 5.69
• Enterprise Value/Gross Profit: 15.53
• Enterprise Value/Ebitda: 13.54
• 1Y Price Target: $39.25
• Price Target Upside: 8.13% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 16
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: $41.00 ▲(12.95% Upside)

CSX's overall stock score reflects strong technical indicators and positive corporate events, which are slightly offset by valuation concerns and financial performance pressures. The company's operational improvements and strategic initiatives position it well for future growth, despite current challenges in certain revenue segments.

Positive Factors

Leadership Changes

New leadership appointments aim to enhance strategic focus and drive long-term growth, potentially improving operational success and market position.

Infrastructure Projects

Completion of major projects enhances capacity and resiliency, positioning CSX for improved operational efficiency and future growth.

Cash Flow Performance

Strong cash generation capabilities indicate effective cash management, providing financial flexibility for strategic investments and debt management.

Negative Factors

Coal Revenue Decline

Declining coal revenue impacts a significant revenue stream, potentially affecting overall financial performance and requiring strategic adaptation.

High Leverage

High leverage can pose financial risks, limiting flexibility and increasing vulnerability to economic downturns, necessitating careful debt management.

Profit Margin Pressure

Decreasing profit margins suggest rising costs or inefficiencies, which could impact long-term profitability if not addressed through operational improvements.

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 generates revenue primarily through its freight transportation services. The company charges customers for the transportation of goods via rail, with rates varying based on the type of cargo, distance, and service level. Key revenue streams include coal transport, which remains a significant portion of its business, intermodal freight services that involve transporting shipping containers, and bulk commodities like agricultural products. Additionally, CSX has developed partnerships with various logistics companies and industries that enhance its service offerings, allowing for more integrated solutions. The company also benefits from economies of scale due to its extensive rail network, which helps in reducing operational costs and improving profitability.

CSX Financial Statement Overview

Summary

CSX demonstrates strong cash flow performance and revenue growth, although profitability margins have faced some pressure. The balance sheet reflects high leverage, which could be a risk factor. Overall, the company is financially stable with room for improvement in profitability and leverage management.

Income Statement

CSX has shown a solid revenue growth rate of 5.94% in the TTM, reversing the previous year's slight decline. The gross profit margin stands at 36.64%, indicating efficient cost management. However, the net profit margin has decreased to 19.21% from 23.87% in the previous year, suggesting increased expenses or other financial pressures. The EBIT and EBITDA margins have also declined, reflecting a potential decrease in operational efficiency.

Balance Sheet

The debt-to-equity ratio is relatively high at 1.54, indicating significant leverage, which could pose risks if not managed properly. Return on equity has decreased to 23.14% from 27.76%, showing a decline in profitability relative to shareholder equity. The equity ratio is stable, suggesting a balanced asset structure.

Cash Flow

CSX has achieved an impressive free cash flow growth rate of 88.29% in the TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is healthy at 1.56, showing efficient cash conversion. The free cash flow to net income ratio is robust at 81.84%, highlighting effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.00B	14.54B	14.66B	14.85B	12.52B	10.58B
Gross Profit	5.50B	5.51B	5.60B	5.93B	5.29B	4.44B
EBITDA	6.30B	7.07B	7.27B	7.66B	7.09B	5.76B
Net Income	2.88B	3.47B	3.67B	4.17B	3.78B	2.77B
Balance Sheet
Total Assets	43.28B	42.76B	42.21B	41.91B	40.53B	39.79B
Cash, Cash Equivalents and Short-Term Investments	618.00M	1.00B	1.44B	2.09B	2.32B	3.13B
Total Debt	19.64B	18.99B	19.02B	18.54B	16.84B	17.16B
Total Liabilities	30.52B	30.26B	30.23B	29.29B	27.03B	26.68B
Stockholders Equity	12.76B	12.50B	11.98B	12.63B	13.50B	13.10B
Cash Flow
Free Cash Flow	3.78B	2.72B	3.27B	3.49B	3.31B	2.64B
Operating Cash Flow	4.62B	5.25B	5.55B	5.62B	5.10B	4.26B
Investing Cash Flow	-3.03B	-2.60B	-2.29B	-2.13B	-1.88B	-649.00M
Financing Cash Flow	-2.62B	-3.06B	-3.87B	-3.77B	-4.11B	-1.44B

CSX Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 36.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 36.3 is above the 20-day moving average (MA) of 34.85, above the 50-day MA of 35.32, and above the 200-day MA of 32.47, indicating a bullish trend. The MACD of 0.20 indicates Negative momentum. The RSI at 63.74 is Neutral, neither overbought nor oversold. The STOCH value of 94.71 is Negative, 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
CSX	78 Outperform	$67.60B	23.60	22.60%	1.43%	-3.80%	-17.32%
NSC	75 Outperform	$71.99B	22.44	20.46%	1.84%	0.48%	22.88%
CP	74 Outperform	$91.84B	22.15	9.32%	0.82%	4.02%	21.39%
CNR	71 Outperform	$83.57B	18.44	22.24%	2.58%	0.23%	-13.22%
ODFL	71 Outperform	$32.44B	31.21	25.06%	0.72%	-5.90%	-13.16%
UNP	69 Neutral	$139.58B	19.97	41.62%	2.31%	1.06%	8.21%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

CSX Corporate Events

CSX Announces Key Leadership Changes for Growth

On October 29, 2025, CSX Corporation announced key leadership changes with Kevin S. Boone appointed as Executive Vice President and Chief Financial Officer, succeeding Sean R. Pelkey, and Maryclare T. Kenney promoted to Senior Vice President and Chief Commercial Officer. These appointments aim to strengthen CSX’s strategic focus and advance its long-term growth objectives, with Boone and Kenney bringing extensive expertise and proven track records to their new roles. The changes are expected to enhance CSX’s operational success and position it as a leading railroad company in the nation.

CSX Completes $300 Million Notes Offering

On October 23, 2025, CSX Corporation successfully completed a public offering of $300 million in 5.050% Notes due 2035, expanding upon a previous issuance from March 2025. This strategic financial move is expected to enhance CSX’s capital structure and potentially strengthen its position in the market, providing additional resources for future growth and operational stability.

CSX Appoints Stephen Angel as New CEO

On September 28, 2025, CSX Corporation appointed Stephen Angel as the new President and CEO, succeeding Joseph R. Hinrichs. Angel, a seasoned executive with over 45 years of experience, is expected to drive CSX’s strategic priorities and enhance shareholder value. The company remains optimistic about its operational performance and anticipates full-year volume growth. Angel’s leadership is anticipated to build on the strong foundation laid by Hinrichs, focusing on safety, service reliability, and shareholder value.