CSX Corporation, together with its subsidiaries, provides rail-based freight transportation services in the United States and Canada. It operates through two segments: rail and trucking.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS. Shaded region = analyst consensus for the current and next fiscal year (23 analysts).
| Parameter | BaseValue |
|---|---|
Initial Cash Flow | |
| Growth Rate (Yr 1-5) | % |
| Growth Rate (Yr 6-10) | % |
| Terminal Growth Rate | % |
| Discount Rate | % |
Base Case $36.78 Implied EV: $86.66B |
What growth rate is the market pricing in at $46?
The market implies +15.6% Owner Earnings growth, above historical trends.
Standard FCF implies a demanding +22.8%, reflecting heavy growth investment.
Narrow moat with roic consistency as the key competitive advantage. Improving reinvestment efficiency would strengthen the moat.
"Market is optimistic — be cautious and ensure you have a margin of safety"
Price appears to exceed estimated intrinsic value — limited margin of safety at current levels
