September 26, 2018

CSX – Market expectations are for record-high Uniform ROA, and management is optimistic about their operations, top-line growth outlook, and real estate monetization


  • CSX Corporation (CSX:USA)¬†currently trades above recent averages relative to UAFRS-based (Uniform) Earnings, with a 22.8x Uniform P/E, implying bullish expectations for the firm. Moreover, management is confident about their outlook and monetization strategies
  • Specifically, management generated an excitement marker when discussing their ability to maintain status quo even assuming severe declines across their industry, and when talking about the potential for CSX to achieve mid-single-digit top line growth for the year. Additionally, they appear confident in their ability to sustain strong overall results seen in Q2, and in the progress they have made monetizing their surplus real estate portfolio
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