CSX Corporation (NASDAQ: CSX) stock fell -1.96% on Friday to $28.57 against a previous-day closing price of $29.14. With 17.1 million shares changed hands, the volume of the stock remained heavier than its average volume of 15.54 million shares. During the session, the Railroads company that operates in wider Industrials sector, reached to the highest price of $29.05 whereas the lowest price it dropped to was $28.51. The 52-week range on CSX shows that it touched its highest point at $38.63 and its lowest point at $27.59 during that stretch. It currently has a 1-year price target of $35.71. With its current market cap of 62.59 billion, CSX has annualized dividend of $0.40 while the current yield stands at 1.40%. Beta for the stock currently stands at 1.21.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of CSX was down-trending over the past week, with a drop of -5.30%, but this was down by -15.05% over a month. Three-month performance dropped to -0.49% while six-month performance fell -21.49%. The stock lost -4.32% in the past year, while it has lost -24.02% so far this year. A look at the trailing 12-month EPS for CSX yields 1.79 with Next year EPS estimates of 1.97. For the next quarter, that number is 0.50. This implies an EPS growth rate of 39.70% for this year and 5.34% for next year. EPS is expected to grow by 13.72% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 22.70%.
Float and Shares Shorts:
At present, 2.16 billion CSX shares are outstanding with a float of 2.14 billion shares on hand for trading. On Jul 14, 2022, short shares totaled 22.99 million, which was 1.07% higher than short shares on Jun 14, 2022. In addition to Mr. James M. Foote as the firm’s Pres, CEO & Director, Mr. Sean R. Pelkey serves as its Exec. VP & CFO.
Through their ownership of 77.97% of CSX’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 41.51% of CSX, in contrast to 35.02% held by mutual funds. Shares owned by individuals account for 3.03%. As the largest shareholder in CSX with 8.20% of the stake, The Vanguard Group, Inc. holds 175,581,911 shares worth 175,581,911. A second-largest stockholder of CSX, Capital Research & Management Co, holds 109,617,271 shares, controlling over 5.12% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in CSX, holding 96,060,195 shares or 4.49% stake. With a 3.01% stake in CSX, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 64,344,932 shares are owned by the mutual fund manager. The Vanguard 500 Index Fund, which owns about 2.27% of CSX stock, is the second-largest Mutual Fund holder. It holds 48,523,546 shares valued at 1.54 billion. Washington Mutual Investors Fund holds 1.99% of the stake in CSX, owning 42,669,988 shares worth 1.35 billion.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for CSX since 28 analysts follow the stock currently. There are 15 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 8 believe that the stock is worth HOLDING, 4 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With CSX analysts setting a high price target of $41.00 and a low target of $25.00, the average target price over the next 12 months is $35.68. Based on these targets, CSX could surge 43.51% to reach the target high and fall by -12.5% to reach the target low. Reaching the average price target will result in a growth of 24.89% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. CSX will report FY 2022 earnings on 01/19/2023. Analysts have provided yearly estimates in a range of $1.96 being high and $1.78 being low. For CSX, this leads to a yearly average estimate of $1.88. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. CSX Corporation surprised analysts by $0.07 when it reported $0.54 EPS against a consensus estimate of $0.47. The surprise factor in the prior quarter was $0.02. Based on analyst estimates, the high estimate for the next quarter is $0.53 and the low estimate is $0.47. The average estimate for the next quarter is thus $0.50.
Dividends & Yield:
In terms of dividends, CSX has a current ratio of $0.4, which is $0.4 over the trailing 12-months, while a dividend of $0.32 is likely to be paid on average over the next five years. Dividend yield is another indicator that appeals to many investors, and CSX currently yields $1.38. In the past year, CSX’s dividend yield has been $1.38, but when looking at the stock over the past five years, its yield has been $1.26. Accordingly, CSX has a current buyback yield of $6.78. This was $6.78 for the TTM, and it was $4.75 for the past five years.
Summary of Insider Activity:
Insiders traded CSX stock several times over the past three months with 1 Buys and 0 Sells. In these transactions, 583 shares were bought while 0 shares were sold. The number of buy transactions has increased to 39 while that of sell transactions has risen to 24 over the past year. The total number of shares bought during that period was 1,023,585 while 619,300 shares were sold.