CSX Corp (CSX) stock analysis

P/E above its 5-year median

CSX's P/E of 26.9 is above its own 5-year median of 18.9.

P/E above the industry

CSX's P/E of 26.9 is above the Industrials median of 23.5.

EV/EBITDA above its 5-year median

CSX's EV/EBITDA of 15.9 is above its 5-year median of 12.1.

P/S above the industry

CSX's price-to-sales of 6.40 is above the Industrials median of 1.27 (book value is negative, so we use sales).

Trading above fair value

The share price of $51.90 is above our fair value estimate of $37.48.

Margin of safety under 20%

The price is 38.5% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew -1.7% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew -7.1% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 23.4% over the last twelve months, against a 5-year average of 0.9% a year.

Growing slower than the industry

Revenue grew 5.8% over the last twelve months; the Industrials median is 7.9%.

Company guidance

No outlook found in earnings releases from the last twelve months.

Gross margin trend

This company does not report gross profit.

Return on equity

Needs positive equity and five years of results.

Return on invested capital

Needs operating income and invested capital.

Return on equity against the industry

Needs positive equity.

Earnings grew over 5 years

Net income grew 0.9% a year on average over the last five fiscal years.

Net margin below its 5-year average

Net margin was 24.0% over the last twelve months, against a 5-year average of 25.5%.

Net margin above the industry

CSX's net margin of 24.0% is above the Industrials median of 2.5%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 29.8% of total debt.

Interest well covered

Operating income covers interest expense 6.4 times.

Short-term assets don't cover short-term debts

Current assets are 0.84 times current liabilities.

Bankruptcy risk in the grey zone

The Altman Z-score is 2.94; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

CSX paid dividends worth 1.1% of the share price over the last twelve months.

Yield below Treasuries

The 1.1% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; CSX yields 1.1%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Covered by earnings

Dividends take 28.5% of net income.

Covered by free cash flow

Dividends take 31.8% of free cash flow.