CSX CORP (CSX) Stock Fundamental Analysis
USA - NASDAQ:CSX - US1264081035 - Common Stock
32.47 USD
-0.38 (-1.16%)
32.3 USD
-0.17 (-0.52%)
Taking everything into account, CSX scores 5 out of 10 in our fundamental rating. CSX was compared to 42 industry peers in the Ground Transportation industry. CSX scores excellent on profitability, but there are concerns on its financial health. CSX has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year CSX was profitable.
CSX had a positive operating cash flow in the past year.
CSX had positive earnings in each of the past 5 years.
In the past 5 years CSX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of CSX (7.23%) is better than 76.19% of its industry peers.
Looking at the Return On Equity, with a value of 25.07%, CSX belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
CSX's Return On Invested Capital of 9.31% is fine compared to the rest of the industry. CSX outperforms 76.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CSX is above the industry average of 7.92%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.23% | ||
| ROE | 25.07% | ||
| ROIC | 9.31% |
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 has a better Profit Margin (21.91%) than 85.71% 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 34.55%, CSX belongs to the top of the industry, outperforming 90.48% of the companies in the same industry.
CSX's Operating Margin has declined in the last couple of years.
CSX's Gross Margin of 71.73% is amongst the best of the industry. CSX outperforms 83.33% of its industry peers.
CSX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.55% | ||
| PM (TTM) | 21.91% | ||
| GM | 71.73% |
OM growth 3Y-3.63%
OM growth 5Y-2.09%
PM growth 3Y-7.54%
PM growth 5Y-3.08%
GM growth 3Y-1.48%
GM growth 5Y-1.36%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CSX is creating some value.
The number of shares outstanding for CSX has been reduced compared to 1 year ago.
CSX has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CSX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.20 indicates that CSX is not a great score, but indicates only limited risk for bankruptcy at the moment.
CSX has a Altman-Z score (2.20) which is comparable to the rest of the industry.
CSX has a debt to FCF ratio of 9.55. This is a negative value and a sign of low solvency as CSX would need 9.55 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 9.55, CSX is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
CSX has a Debt/Equity ratio of 1.50. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.50, CSX is not doing good in the industry: 76.19% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | 9.55 | ||
| Altman-Z | 2.2 |
ROIC/WACC1.04
WACC8.98%
2.3 Liquidity
A Current Ratio of 0.77 indicates that CSX may have some problems paying its short term obligations.
With a Current ratio value of 0.77, CSX is not doing good in the industry: 78.57% of the companies in the same industry are doing better.
CSX has a Quick Ratio of 0.77. This is a bad value and indicates that CSX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.63, CSX is doing worse than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
The earnings per share for CSX have decreased by -8.79% 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.
Looking at the last year, CSX shows a decrease in Revenue. The Revenue has decreased by -3.27% in the last year.
The Revenue has been growing slightly by 4.02% on average over the past years.
EPS 1Y (TTM)-8.79%
EPS 3Y5.69%
EPS 5Y5.65%
EPS Q2Q%-10.2%
Revenue 1Y (TTM)-3.27%
Revenue growth 3Y5.11%
Revenue growth 5Y4.02%
Sales Q2Q%-3.43%
3.2 Future
CSX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.52% yearly.
CSX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.94% yearly.
EPS Next Y-7.91%
EPS Next 2Y3.35%
EPS Next 3Y5.76%
EPS Next 5Y7.52%
Revenue Next Year-2.38%
Revenue Next 2Y0.96%
Revenue Next 3Y1.86%
Revenue Next 5Y2.94%
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
CSX is valuated rather expensively with a Price/Earnings ratio of 19.56.
Based on the Price/Earnings ratio, CSX is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of CSX to the average of the S&P500 Index (27.30), we can say CSX is valued slightly cheaper.
With a Price/Forward Earnings ratio of 16.61, CSX is valued correctly.
Based on the Price/Forward Earnings ratio, CSX is valued a bit cheaper than the industry average as 73.81% of the companies are valued more expensively.
CSX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.56 | ||
| Fwd PE | 16.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CSX is valued a bit cheaper than the industry average as 61.90% of the companies are valued more expensively.
76.19% of the companies in the same industry are more expensive than CSX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.18 | ||
| EV/EBITDA | 12.05 |
4.3 Compensation for Growth
The decent profitability rating of CSX may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.46
EPS Next 2Y3.35%
EPS Next 3Y5.76%
5. Dividend
5.1 Amount
CSX has a Yearly Dividend Yield of 1.58%.
Compared to an average industry Dividend Yield of 1.58, CSX pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.41, CSX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
On average, the dividend of CSX grows each year by 8.56%, which is quite nice.
CSX has paid a dividend for at least 10 years, which is a reliable track record.
CSX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.56%
Div Incr Years20
Div Non Decr Years22
5.3 Sustainability
30.63% of the earnings are spent on dividend by CSX. This is a low number and sustainable payout ratio.
CSX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP30.63%
EPS Next 2Y3.35%
EPS Next 3Y5.76%
32.47
-0.38 (-1.16%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners80.52%
Inst Owner Change-2.76%
Ins Owners0.11%
Ins Owner Change-0.03%
Market Cap60.53B
Analysts78.13
Price Target38.94 (19.93%)
Short Float %1.48%
Short Ratio1.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
Yearly Dividend0.48
Dividend Growth(5Y)8.56%
DP30.63%
Div Incr Years20
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.17%
Min EPS beat(2)-8.88%
Max EPS beat(2)4.53%
EPS beat(4)1
Avg EPS beat(4)-2.64%
Min EPS beat(4)-8.88%
Max EPS beat(4)4.53%
EPS beat(8)4
Avg EPS beat(8)-1.21%
EPS beat(12)7
Avg EPS beat(12)0.2%
EPS beat(16)11
Avg EPS beat(16)2.07%
Revenue beat(2)0
Avg Revenue beat(2)-1.74%
Min Revenue beat(2)-2.23%
Max Revenue beat(2)-1.24%
Revenue beat(4)0
Avg Revenue beat(4)-1.99%
Min Revenue beat(4)-2.45%
Max Revenue beat(4)-1.24%
Revenue beat(8)1
Avg Revenue beat(8)-1.2%
Revenue beat(12)3
Avg Revenue beat(12)-0.57%
Revenue beat(16)7
Avg Revenue beat(16)0.47%
PT rev (1m)-0.65%
PT rev (3m)16.45%
EPS NQ rev (1m)0.22%
EPS NQ rev (3m)-0.39%
EPS NY rev (1m)0.97%
EPS NY rev (3m)0.72%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-0.19%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.56 | ||
| Fwd PE | 16.61 | ||
| P/S | 4.28 | ||
| P/FCF | 30.18 | ||
| P/OCF | 12.19 | ||
| P/B | 4.89 | ||
| P/tB | 5.07 | ||
| EV/EBITDA | 12.05 |
EPS(TTM)1.66
EY5.11%
EPS(NY)1.95
Fwd EY6.02%
FCF(TTM)1.08
FCFY3.31%
OCF(TTM)2.66
OCFY8.2%
SpS7.59
BVpS6.64
TBVpS6.4
PEG (NY)N/A
PEG (5Y)3.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.23% | ||
| ROE | 25.07% | ||
| ROCE | 12.24% | ||
| ROIC | 9.31% | ||
| ROICexc | 9.4% | ||
| ROICexgc | 9.51% | ||
| OM | 34.55% | ||
| PM (TTM) | 21.91% | ||
| GM | 71.73% | ||
| FCFM | 14.17% |
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%
ROICexcg growth 3Y-0.99%
ROICexcg growth 5Y-0.33%
ROICexc growth 3Y-0.95%
ROICexc growth 5Y-0.55%
OM growth 3Y-3.63%
OM growth 5Y-2.09%
PM growth 3Y-7.54%
PM growth 5Y-3.08%
GM growth 3Y-1.48%
GM growth 5Y-1.36%
F-Score5
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | 9.55 | ||
| Debt/EBITDA | 2.82 | ||
| Cap/Depr | 175.03% | ||
| Cap/Sales | 20.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75.44% | ||
| Profit Quality | 64.67% | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 2.2 |
F-Score5
WACC8.98%
ROIC/WACC1.04
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)-8.79%
EPS 3Y5.69%
EPS 5Y5.65%
EPS Q2Q%-10.2%
EPS Next Y-7.91%
EPS Next 2Y3.35%
EPS Next 3Y5.76%
EPS Next 5Y7.52%
Revenue 1Y (TTM)-3.27%
Revenue growth 3Y5.11%
Revenue growth 5Y4.02%
Sales Q2Q%-3.43%
Revenue Next Year-2.38%
Revenue Next 2Y0.96%
Revenue Next 3Y1.86%
Revenue Next 5Y2.94%
EBIT growth 1Y-9.06%
EBIT growth 3Y1.29%
EBIT growth 5Y1.85%
EBIT Next Year21.69%
EBIT Next 3Y11.79%
EBIT Next 5Y9.19%
FCF growth 1Y-37.99%
FCF growth 3Y-6.34%
FCF growth 5Y-3.17%
OCF growth 1Y-10.91%
OCF growth 3Y0.96%
OCF growth 5Y1.59%