CSX's Q2 Results Get Mixed Reaction From Analysts - Read More For Details

CSX's Q2 Results Get Mixed Reaction From Analysts - Read More For Details
  • Analysts react to CSX Corp's CSX Q2 results.
  • Cowen analyst Jason Seidl lowered the price target on CSX to $37 (an upside of 20%) from $39 while maintaining the Market Perform rating on the shares.
  • The analyst decreased his target, citing a more conservative view of its multiple.
  • RelatedCSX Stock Gains After Reporting Q2 Results Above Expectation, Clocks Revenue Growth Of 28%
  • Raymond James analyst Patrick Tyler Brown raised the price target on CSX to $36 (an upside of 17%) from $35 while maintaining the Outperform rating on the shares.
  • CSX continues executing the PSR initiatives, which the analyst expects will drive operational improvement, translating to stronger revenues, margin, EPS, & FCF gains in coming years.
  • The analyst is encouraged by CSX's commitment to adding key resources (T&E employees) to drive service levels higher.
  • Credit Suisse analyst Ariel Rosa raised the price target on CSX to $37 from $35 while maintaining the Outperform rating on the shares.
  • The analyst says service challenges are not enough to hold back CSX as strong yields boost results. CSX expects service issues to ease in 2H22, clearing the way for more volume growth and lower costs as network fluidity improves, added the analyst.
  • Rosa mentions that CSX noted on its earnings call that demand continues to outpace the railroad's ability to move freight. Management emphasized that it does not expect this condition to change, even if the macro environment softens.
  • Stephens analyst Justin Long raised the price target on CSX to $35 (an upside of 14%) from $34 while maintaining the Overweight rating on the shares.
  • The analyst believes sentiment on CSX had moderated, with the primary focus being on the company's weak service metrics and challenges in improving headcount.
  • The company beat EPS expectations maintained full-year guidance, and pointed towards expected improvements in service/headcount into year-end. At the current valuation, that is likely enough for near-term pop in the stock, noted Long.
  • Loop Capital analyst Rick Paterson upgraded CSX to Buy from Hold with a price target of $38 (an upside of 24%).
  • Price Action: CSX shares are trading higher by 3.45% at $30.75 on the last check Thursday.

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