CSX EPS Tops, Warns On Coal

CSX (CSX -1.8%) expects rail volumes to continue to fall through the end of the year, so CEO Michael Ward says in this morning’s earnings conference call that the company will focus on productivity and raising prices over the coming year. 10,292,682 shares of the stock traded hands. CSX has a one year low of $24.47 and a one year high of $37.99. The company has a market cap of $27,909 million and the number of outstanding shares have been calculated to be 983,737,000 shares. The company’s 50-day moving average price is $27.52 and its 200 day moving average price is $31.88. The company has now received regulatory approval and the transaction is predictable to close in HD Supply’s third quarter of fiscal 2015. The Ground Freight & Logistics – NEC Company on October 13, 2015 declared net earnings of $507 million for the third quarter of 2015, as compared to $509 million for the same period in 2014, which translates to a third quarter record $0.52 per share, contrast to $0.51 in the preceding year.

The railroad’s profit exceeded the 50 cents per share analysts surveyed by Zacks Investment Research, but its $2.94 billion revenue fell short of the $3.04 billion revenue Wall Street expected. The standard deviation reading, which is a measure by which the stock price is expected to swing away from the mean estimate, is at $3.38. This represents a $0.72 annualized dividend and a dividend yield of 2.60%.

Looking more closely at CSX’s numbers, you can see several crosscurrents that the railroad experienced.

After balancing the upsides and downsides, Mr. Salmon reiterated a Hold rating on CSX stock. Finally, Credit Suisse restated an outperform rating and issued a $36.00 price objective (down from $37.00) on shares of CSX in a report on Thursday, July 2nd. The stock has a consensus rating of Buy and a consensus price target of $35.73.

CSX Corporation operates as a transportation supplier. Intermodal shipments – containers full of consumer goods that can be moved by ship, train or truck – have been a growth engine for rail companies over the past decade.

A few bad news on the railroad’s coal business threw a few cold water on CSX’s results. The Company’s merchandise company transportation aggregates (which contain crushed stone, sand and gravel), metal, phosphate, fertilizer, food, consumer (manufactured goods and appliances), agricultural, automotive, paper and chemical products. Its coal business transports domestic coke, coal and iron ore to electricity-producing power plants, steel makers and industrial plants, together with export coal to deep-water port facilities.