Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, railroad operator CSX (CSX 0.86%) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at CSX and see what CAPS investors are saying about the stock right now.
CSX facts
|
Headquarters (founded) |
Jacksonville, Fla. (1978) |
|
Market Cap |
$24.9 billion |
|
Industry |
Railroads |
|
Trailing-12-Month Revenue |
$11.8 billion |
|
Management |
Chairman/CEO Michael Ward CFO Fredrik Eliasson |
|
Return on Equity (average, past 3 years) |
20.4% |
|
Cash/Debt |
$1.1 billion / $9.4 billion |
|
Dividend Yield |
2.5% |
|
Competitors |
Norfolk Southern Union Pacific |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 97% of the 2,121 members who have rated CSX believe the stock will outperform the S&P 500 going forward.
Just last week, one of those Fools, All-Star BoiseKen, tapped CSX as a particularly solid opportunity:
CSX is depressed vs. Canadian National Railway & [Union Pacific] (two other companies I gave the green thumb to). ... I think the problem is that CSX is being sold because of a SHORT-TERM issue related to the price between coal & natural gas. This problem is likely to resolve in the long-run because 1) NG prices may rise and demand continues to rise. 2) Not all utilities can switch to NG -- coal demand will flatten. 3) Crude oil by rail could fill in some of the softness from coal.
In the long run, CSX is a winner -- the P/E will rise toward to peers and get a little extra dividend yield while I wait.
