Fintel reports that on July 31, 2023, RBC Capital downgraded their outlook for CSX (NASDAQ:CSX) from Outperform to Sector Perform.

Analyst Price Forecast Suggests 6.76% Upside

As of July 6, 2023, the average one-year price target for CSX is 36.08. The forecasts range from a low of 26.26 to a high of $42.00. The average price target represents an increase of 6.76% from its latest reported closing price of 33.80.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for CSX is 14,874MM, a decrease of 1.04%. The projected annual non-GAAP EPS is 1.92.

CSX Declares $0.11 Dividend

On May 10, 2023 the company declared a regular quarterly dividend of $0.11 per share ($0.44 annualized). Shareholders of record as of May 31, 2023 received the payment on June 15, 2023. Previously, the company paid $0.11 per share.

At the current share price of $33.80 / share, the stock’s dividend yield is 1.30%.

Looking back five years and taking a sample every week, the average dividend yield has been 1.28%, the lowest has been 0.37%, and the highest has been 2.18%. The standard deviation of yields is 0.18 (n=236).

The current dividend yield is 0.10 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 0.21. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.27%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 2454 funds or institutions reporting positions in CSX. This is an increase of 35 owner(s) or 1.45% in the last quarter. Average portfolio weight of all funds dedicated to CSX is 0.33%, an increase of 0.41%. Total shares owned by institutions decreased in the last three months by 1.63% to 1,700,254K shares. The put/call ratio of CSX is 0.70, indicating a bullish outlook.

What are Other Shareholders Doing?

Capital World Investors holds 86,398K shares representing 4.31% ownership of the company. In it’s prior filing, the firm reported owning 87,145K shares, representing a decrease of 0.86%. The firm decreased its portfolio allocation in CSX by 7.10% over the last quarter.

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 63,855K shares representing 3.18% ownership of the company. In it’s prior filing, the firm reported owning 63,907K shares, representing a decrease of 0.08%. The firm decreased its portfolio allocation in CSX by 10.84% over the last quarter.

Soroban Capital Partners holds 52,593K shares representing 2.62% ownership of the company. In it’s prior filing, the firm reported owning 58,101K shares, representing a decrease of 10.47%. The firm decreased its portfolio allocation in CSX by 0.08% over the last quarter.

Price T Rowe Associates holds 51,566K shares representing 2.57% ownership of the company. In it’s prior filing, the firm reported owning 42,768K shares, representing an increase of 17.06%. The firm increased its portfolio allocation in CSX by 8.44% over the last quarter.

VFINX – Vanguard 500 Index Fund Investor Shares holds 49,058K shares representing 2.45% ownership of the company. In it’s prior filing, the firm reported owning 48,602K shares, representing an increase of 0.93%. The firm decreased its portfolio allocation in CSX by 9.53% over the last quarter.

CSX Background Information
(This description is provided by the company.)

CSX Corporation, based in Jacksonville, Florida, is a premier transportation company. It provides rail, intermodal and rail-to-truck transload services and solutions to customers across a broad array of markets, including energy, industrial, construction, agricultural and consumer products. For nearly 200 years, CSX has played a critical role in the nation’s economic expansion and industrial development. Its network connects every major metropolitan area in the eastern United States, where nearly two-thirds of the nation’s population resides. It also links more than 230 short-line railroads and more than 70 ocean, river and lake ports with major population centers and farming towns alike.

This article originally appeared on Fintel

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