CSX Corp Story

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CSX -- USA Stock  

USD 92.19  1.18  1.26%

It looks like Canadian Pacific will be up for a correction faster as its share price went up 0.42% today to CSX's 1.76%As many of us are excited about industrials space, we will review both, CSX and Canadian Pacific as a potential short-term opportunity. We are going to inspect some of the competitive aspects of both CSX and Canadian.
Published over a month ago
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Is Canadian more volatile than CSX Corporation (NASDAQ:CSX)?
By analyzing existing fundamental indicators between CSX and Canadian, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Canadian with a short position in CSX. Check out our pair correlation module for more information.

Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. CSX has an asset utilization ratio of 30.62 percent. This suggests that the company is making $0.31 for each dollar of assets. An increasing asset utilization means that CSX Corporation is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two companies, such as CSX Corp or Canadian is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING CSX Corp dividends

A dividend is the distribution of a portion of CSX Corp earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. CSX Corp dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. CSX Corp one year expected dividend income is about $0.58 per share.
Dividend Yield is likely to rise to 0.0132 in 2021, whereas Payment of Dividends and Other Cash Distributions is likely to drop (859.9 M) in 2021.
Last ReportedProjected for 2021
Payment of Dividends and Other Cash Distributions-797 M-859.9 M
Dividend Yield 0.011  0.0132 
Dividends per Basic Common Share 1.04  0.92 
Investing in dividend-paying stocks, such as CSX Corp is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in CSX Corp must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for CSX Corp. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is CSX Corp's Liquidity

CSX Corp financial leverage refers to using borrowed capital as a funding source to finance CSX Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. CSX Corp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between CSX Corp's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for CSX Corp, but it might be worth checking our own buy vs. sell analysis

Correlation Between CSX Corp and Canadian Pacific Railway

In general, stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding CSX Corp together with similar or unrelated positions with a negative correlation. For example, you can also add Canadian Pacific to your portfolio. If Canadian Pacific is not perfectly correlated to CSX Corp it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When CSX Corp for example, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Please check pair correlation details between CSX and CP for more information.

Sale by Mark Wallace of 26527 shares of CSX Corp

Legal trades by CSX Corp insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
CSX Corp insider trading alert for sale of common stock by Mark Wallace, EVP - Sales & Marketing, on 17th of February 2021. This event was filed by Csx Corp with SEC on 2021-02-17. Statement of changes in beneficial ownership - SEC Form 4. Mark Wallace currently serves as executive vice president of sales and marketing of CSX Corp [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Is CSX Corp valued reasonably by the market?

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Revenue Breakdown

Lets now take a look at CSX revenue. Based on the latest financial disclosure, CSX Corporation reported 10.64 B of revenue. This is 204.12% higher than that of the Industrials sector and 67.77% higher than that of the Railroads industry. The revenue for all United States stocks is 12.77% lower than that of the stock. As for Canadian Pacific we see revenue of 5.28 B, which is 16.75% lower than that of the Railroads

CSX10.64 Billion
Sector3.5 Billion
Canadian5.28 Billion
10.6 B
CSX
3.5 B
Sector
5.3 B
Canadian

Another setback for CSX investors

Current kurtosis is at -0.3. CSX Corporation has relatively low volatility with skewness of 0.3 and kurtosis of -0.3. However, we advise all investors to independently investigate CSX Corporation to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns.

Our Final Take On CSX

While some companies within the railroads industry are still a little expensive, even after the recent corrections, CSX may offer a potential longer-term growth to investors. While some investors may not share our view, we believe that right now is not a good time to increase your holdings in CSX. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to CSX.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of CSX Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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