CSX CORP (CSX) Stock Fundamental Analysis
USA - NASDAQ:CSX - US1264081035 - Common Stock
35.39 USD
+0.41 (+1.17%)
35.164 USD
-0.23 (-0.64%)
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 has a great profitability rating, there are quite some 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.
In the past year CSX had a positive cash flow from operations.
Each year in the past 5 years CSX has been profitable.
In the past 5 years CSX always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.71%, CSX is in the better half of the industry, outperforming 79.07% of the companies in the same industry.
CSX has a Return On Equity of 22.76%. This is amongst the best in the industry. CSX outperforms 88.37% of its industry peers.
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 7.44%.
| 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 has a better Profit Margin (20.55%) than 86.05% of its industry peers.
In the last couple of years the Profit Margin of CSX has declined.
With an excellent Operating Margin value of 33.82%, CSX belongs to the best of the industry, outperforming 90.70% of the companies in the same industry.
CSX's Operating Margin has declined in the last couple of years.
CSX's Gross Margin of 71.17% is amongst the best of 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CSX is creating some 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.
The debt/assets ratio for CSX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.30 indicates that CSX is not a great score, but indicates only limited risk for bankruptcy at the moment.
CSX has a Altman-Z score (2.30) which is comparable to the rest of the industry.
CSX has a debt to FCF ratio of 12.35. This is a negative value and a sign of low solvency as CSX would need 12.35 years to pay back of all of its debts.
The Debt to FCF ratio of CSX (12.35) is better than 69.77% of its industry peers.
A Debt/Equity ratio of 1.45 is on the high side and indicates that CSX has dependencies on debt financing.
With a Debt to Equity ratio value of 1.45, CSX is not doing good in the industry: 74.42% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 12.35 | ||
| Altman-Z | 2.3 |
ROIC/WACC1.01
WACC8.9%
2.3 Liquidity
A Current Ratio of 0.85 indicates that CSX may have some problems paying its short term obligations.
CSX has a worse Current ratio (0.85) than 69.77% of its industry peers.
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.
Looking at the Quick ratio, with a value of 0.71, CSX is doing worse than 79.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
CSX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.83%.
The Earnings Per Share has been growing slightly by 5.65% on average over the past years.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.58, CSX is valued on the expensive side.
74.42% of the companies in the same industry are more expensive than CSX, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of CSX to the average of the S&P500 Index (26.34), we can say CSX is valued inline with the index average.
The Price/Forward Earnings ratio is 18.34, which indicates a rather expensive current valuation of CSX.
74.42% of the companies in the same industry are more expensive than CSX, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.43, CSX is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.58 | ||
| Fwd PE | 18.34 |
4.2 Price Multiples
CSX's Enterprise Value to EBITDA ratio is in line with the industry average.
CSX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CSX is cheaper than 69.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.46 | ||
| EV/EBITDA | 13.04 |
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)3.82
EPS Next 2Y2.68%
EPS Next 3Y5.5%
5. Dividend
5.1 Amount
CSX has a Yearly Dividend Yield of 1.48%. Purely for dividend investing, there may be better candidates out there.
CSX's Dividend Yield is a higher than the industry average which is at 1.71.
Compared to the average S&P500 Dividend Yield of 2.36, CSX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
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%
35.39
+0.41 (+1.17%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners80.87%
Inst Owner Change-3.69%
Ins Owners0.11%
Ins Owner Change0.11%
Market Cap65.90B
Revenue(TTM)14.12B
Net Income(TTM)2.90B
Analysts79.38
Price Target39.99 (13%)
Short Float %1.49%
Short Ratio1.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
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)-1.4%
EPS NQ rev (3m)-1.64%
EPS NY rev (1m)-0.53%
EPS NY rev (3m)0.5%
Revenue NQ rev (1m)-0.47%
Revenue NQ rev (3m)-0.71%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-0.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.58 | ||
| Fwd PE | 18.34 | ||
| P/S | 4.67 | ||
| P/FCF | 42.46 | ||
| P/OCF | 14.28 | ||
| P/B | 5.17 | ||
| P/tB | 5.28 | ||
| EV/EBITDA | 13.04 |
EPS(TTM)1.64
EY4.63%
EPS(NY)1.93
Fwd EY5.45%
FCF(TTM)0.83
FCFY2.36%
OCF(TTM)2.48
OCFY7%
SpS7.58
BVpS6.85
TBVpS6.7
PEG (NY)N/A
PEG (5Y)3.82
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 | 2.3 |
F-Score5
WACC8.9%
ROIC/WACC1.01
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 21.58 and the Price/Book (PB) ratio is 5.17.
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%.