CSX CORP (CSX) Stock Fundamental Analysis
USA - NASDAQ:CSX - US1264081035 - Common Stock
33.99 USD
-0.02 (-0.06%)
33.9 USD
-0.09 (-0.26%)
CSX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 43 industry peers in the Ground Transportation industry. While CSX belongs to the best of the industry regarding profitability, there are concerns on its financial health. CSX is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year CSX was profitable.
CSX had a positive operating cash flow in the past year.
In the past 5 years CSX has always been profitable.
Each year in the past 5 years CSX had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 6.71%, CSX is doing good in the industry, outperforming 79.07% of the companies in the same industry.
Looking at the Return On Equity, with a value of 22.76%, CSX belongs to the top of the industry, outperforming 88.37% of the companies in the same industry.
The Return On Invested Capital of CSX (9.01%) is better than 83.72% of its industry peers.
CSX had an Average Return On Invested Capital over the past 3 years of 10.70%. This is above the industry average of 7.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.71% | ||
| ROE | 22.76% | ||
| ROIC | 9.01% |
ROA(3y)8.91%
ROA(5y)8.6%
ROE(3y)30.47%
ROE(5y)28.11%
ROIC(3y)10.7%
ROIC(5y)10.22%
1.3 Margins
CSX's Profit Margin of 20.55% is amongst the best of the industry. CSX outperforms 86.05% of its industry peers.
In the last couple of years the Profit Margin of CSX has declined.
Looking at the Operating Margin, with a value of 33.82%, CSX belongs to the top of the industry, outperforming 90.70% of the companies in the same industry.
In the last couple of years the Operating Margin of CSX has declined.
CSX has a Gross Margin of 71.17%. This is amongst the best in the industry. CSX outperforms 83.72% of its industry peers.
In the last couple of years the Gross Margin of CSX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.82% | ||
| PM (TTM) | 20.55% | ||
| GM | 71.17% |
OM growth 3Y-3.63%
OM growth 5Y-2.08%
PM growth 3Y-7.54%
PM growth 5Y-3.07%
GM growth 3Y-1.48%
GM growth 5Y-1.36%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CSX is destroying value.
CSX has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CSX has been reduced compared to 5 years ago.
Compared to 1 year ago, CSX has an improved debt to assets ratio.
2.2 Solvency
CSX has an Altman-Z score of 2.25. This is not the best score and indicates that CSX is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.25, CSX perfoms like the industry average, outperforming 51.16% of the companies in the same industry.
The Debt to FCF ratio of CSX is 12.35, which is on the high side as it means it would take CSX, 12.35 years of fcf income to pay off all of its debts.
CSX has a better Debt to FCF ratio (12.35) than 67.44% of its industry peers.
CSX has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
CSX's Debt to Equity ratio of 1.45 is on the low side compared to the rest of the industry. CSX is outperformed by 76.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 12.35 | ||
| Altman-Z | 2.25 |
ROIC/WACC0.83
WACC10.8%
2.3 Liquidity
A Current Ratio of 0.85 indicates that CSX may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.85, CSX is doing worse than 72.09% of the companies in the same industry.
CSX has a Quick Ratio of 0.85. This is a bad value and indicates that CSX is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CSX (0.71) is worse than 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The earnings per share for CSX have decreased strongly by -11.83% in the last year.
Measured over the past 5 years, CSX shows a small growth in Earnings Per Share. The EPS has been growing by 5.65% on average per year.
CSX shows a decrease in Revenue. In the last year, the revenue decreased by -3.80%.
CSX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.02% yearly.
EPS 1Y (TTM)-11.83%
EPS 3Y5.69%
EPS 5Y5.65%
EPS Q2Q%-4.35%
Revenue 1Y (TTM)-3.8%
Revenue growth 3Y5.11%
Revenue growth 5Y4.02%
Sales Q2Q%-0.88%
3.2 Future
CSX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.18% yearly.
The Revenue is expected to grow by 2.83% on average over the next years.
EPS Next Y-8.34%
EPS Next 2Y2.68%
EPS Next 3Y5.5%
EPS Next 5Y7.18%
Revenue Next Year-2.74%
Revenue Next 2Y0.65%
Revenue Next 3Y1.87%
Revenue Next 5Y2.83%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.73, which indicates a rather expensive current valuation of CSX.
Compared to the rest of the industry, the Price/Earnings ratio of CSX indicates a somewhat cheap valuation: CSX is cheaper than 74.42% of the companies listed in the same industry.
CSX's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.51.
The Price/Forward Earnings ratio is 17.62, which indicates a rather expensive current valuation of CSX.
Based on the Price/Forward Earnings ratio, CSX is valued a bit cheaper than 74.42% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CSX to the average of the S&P500 Index (34.98), we can say CSX is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.73 | ||
| Fwd PE | 17.62 |
4.2 Price Multiples
CSX's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, CSX is valued a bit cheaper than the industry average as 69.77% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.78 | ||
| EV/EBITDA | 12.64 |
4.3 Compensation for Growth
CSX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.67
EPS Next 2Y2.68%
EPS Next 3Y5.5%
5. Dividend
5.1 Amount
CSX has a Yearly Dividend Yield of 1.49%.
Compared to an average industry Dividend Yield of 1.74, CSX pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.44, CSX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
5.2 History
On average, the dividend of CSX grows each year by 8.56%, which is quite nice.
CSX has been paying a dividend for at least 10 years, so it has a reliable track record.
CSX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.56%
Div Incr Years20
Div Non Decr Years22
5.3 Sustainability
CSX pays out 33.08% of its income as dividend. This is a sustainable payout ratio.
CSX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP33.08%
EPS Next 2Y2.68%
EPS Next 3Y5.5%
33.99
-0.02 (-0.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners80.87%
Inst Owner Change1.53%
Ins Owners0.11%
Ins Owner Change0.19%
Market Cap63.29B
Revenue(TTM)14.12B
Net Income(TTM)2.90B
Analysts79.38
Price Target39.99 (17.65%)
Short Float %1.34%
Short Ratio1.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
Yearly Dividend0.48
Dividend Growth(5Y)8.56%
DP33.08%
Div Incr Years20
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.61%
Min EPS beat(2)2.68%
Max EPS beat(2)4.53%
EPS beat(4)2
Avg EPS beat(4)-0.85%
Min EPS beat(4)-8.88%
Max EPS beat(4)4.53%
EPS beat(8)5
Avg EPS beat(8)-0.59%
EPS beat(12)7
Avg EPS beat(12)0.23%
EPS beat(16)11
Avg EPS beat(16)1.42%
Revenue beat(2)0
Avg Revenue beat(2)-0.95%
Min Revenue beat(2)-1.24%
Max Revenue beat(2)-0.66%
Revenue beat(4)0
Avg Revenue beat(4)-1.54%
Min Revenue beat(4)-2.23%
Max Revenue beat(4)-0.66%
Revenue beat(8)1
Avg Revenue beat(8)-1.22%
Revenue beat(12)2
Avg Revenue beat(12)-0.87%
Revenue beat(16)6
Avg Revenue beat(16)0.02%
PT rev (1m)3.04%
PT rev (3m)2.04%
EPS NQ rev (1m)-0.73%
EPS NQ rev (3m)-1.64%
EPS NY rev (1m)-0.53%
EPS NY rev (3m)0.5%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)-0.71%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-0.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.73 | ||
| Fwd PE | 17.62 | ||
| P/S | 4.48 | ||
| P/FCF | 40.78 | ||
| P/OCF | 13.71 | ||
| P/B | 4.96 | ||
| P/tB | 5.07 | ||
| EV/EBITDA | 12.64 |
EPS(TTM)1.64
EY4.82%
EPS(NY)1.93
Fwd EY5.68%
FCF(TTM)0.83
FCFY2.45%
OCF(TTM)2.48
OCFY7.29%
SpS7.58
BVpS6.85
TBVpS6.7
PEG (NY)N/A
PEG (5Y)3.67
Graham Number15.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.71% | ||
| ROE | 22.76% | ||
| ROCE | 11.85% | ||
| ROIC | 9.01% | ||
| ROICexc | 9.15% | ||
| ROICexgc | 9.22% | ||
| OM | 33.82% | ||
| PM (TTM) | 20.55% | ||
| GM | 71.17% | ||
| FCFM | 10.99% |
ROA(3y)8.91%
ROA(5y)8.6%
ROE(3y)30.47%
ROE(5y)28.11%
ROIC(3y)10.7%
ROIC(5y)10.22%
ROICexc(3y)11.14%
ROICexc(5y)10.77%
ROICexgc(3y)11.31%
ROICexgc(5y)10.9%
ROCE(3y)14.07%
ROCE(5y)13.44%
ROICexgc growth 3Y-0.99%
ROICexgc growth 5Y-0.33%
ROICexc growth 3Y-0.95%
ROICexc growth 5Y-0.55%
OM growth 3Y-3.63%
OM growth 5Y-2.08%
PM growth 3Y-7.54%
PM growth 5Y-3.07%
GM growth 3Y-1.48%
GM growth 5Y-1.36%
F-Score5
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 12.35 | ||
| Debt/EBITDA | 2.87 | ||
| Cap/Depr | 180.39% | ||
| Cap/Sales | 21.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.29% | ||
| Profit Quality | 53.48% | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 2.25 |
F-Score5
WACC10.8%
ROIC/WACC0.83
Cap/Depr(3y)145.06%
Cap/Depr(5y)135.78%
Cap/Sales(3y)15.72%
Cap/Sales(5y)15.36%
Profit Quality(3y)83.6%
Profit Quality(5y)86.73%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.83%
EPS 3Y5.69%
EPS 5Y5.65%
EPS Q2Q%-4.35%
EPS Next Y-8.34%
EPS Next 2Y2.68%
EPS Next 3Y5.5%
EPS Next 5Y7.18%
Revenue 1Y (TTM)-3.8%
Revenue growth 3Y5.11%
Revenue growth 5Y4.02%
Sales Q2Q%-0.88%
Revenue Next Year-2.74%
Revenue Next 2Y0.65%
Revenue Next 3Y1.87%
Revenue Next 5Y2.83%
EBIT growth 1Y-12.17%
EBIT growth 3Y1.29%
EBIT growth 5Y1.85%
EBIT Next Year21.82%
EBIT Next 3Y11.73%
EBIT Next 5Y8.89%
FCF growth 1Y-50.29%
FCF growth 3Y-6.34%
FCF growth 5Y-3.17%
OCF growth 1Y-14.36%
OCF growth 3Y0.96%
OCF growth 5Y1.59%
CSX CORP / CSX FAQ
Can you provide the ChartMill fundamental rating for CSX CORP?
ChartMill assigns a fundamental rating of 5 / 10 to CSX.
What is the valuation status for CSX stock?
ChartMill assigns a valuation rating of 4 / 10 to CSX CORP (CSX). This can be considered as Fairly Valued.
Can you provide the profitability details for CSX CORP?
CSX CORP (CSX) has a profitability rating of 7 / 10.
What are the PE and PB ratios of CSX CORP (CSX) stock?
The Price/Earnings (PE) ratio for CSX CORP (CSX) is 20.73 and the Price/Book (PB) ratio is 4.96.
How sustainable is the dividend of CSX CORP (CSX) stock?
The dividend rating of CSX CORP (CSX) is 6 / 10 and the dividend payout ratio is 33.08%.