Traders Purchase Large Volume of CSX Put Options (NASDAQ:CSX)

CSX Corporation (NASDAQ:CSX) was the recipient of unusually large options trading on Thursday. Traders acquired 14,920 put options on the stock. This represents an increase of approximately 111% compared to the typical volume of 7,060 put options.

CSX News Roundup

Here are the key news stories impacting CSX this week:

• Positive Sentiment: Broker bullishness — Wolfe Research raised its price target to $46 and other firms (JPMorgan, Stephens) publicly flagged upside potential, supporting the stock’s move higher. Wolfe Research Increases CSX Price Target to $46.00 JPMorgan Says Stock Expected to Rise Stephens Analyst Bullish on CSX
• Positive Sentiment: Operational/expansion news — CSX’s expansion of the Lordstown automotive yard is reportedly back on track, which could boost carload volumes and revenue from automotive customers over time. CSX’s Expansion of Lordstown Automotive Yard Back on Track
• Positive Sentiment: Insider buying — reported large insider accumulation (one insider increased holdings materially), which investors often view as a confidence signal in the company’s outlook. This CSX Insider Increased Their Holding By 1,701% Last Year
• Neutral Sentiment: Market context — commentary noted CSX stock rose but still has underperformed the broader market recently, suggesting room for catch-up but also signaling investor caution. MarketWatch: CSX Rises but Underperforms Market
• Neutral Sentiment: Unrelated publicity — a high-profile auction story involves a Carroll Shelby–owned 1989 “CSX-VNT” prototype (automotive nomenclature overlaps the ticker), but this is unrelated to CSX the railroad and unlikely to affect the stock. Carroll Shelby-owned 1989 CSX-VNT Prototype Leads Auction
• Negative Sentiment: Analyst downgrade — Citigroup lowered CSX’s rating, which can pressure sentiment and limit upside even amid other bullish analyst moves. Citigroup Downgrades CSX CSX Stock Rating Lowered by Citigroup
• Negative Sentiment: Options activity — an unusual surge in put buying (about 14,920 puts, ~111% above average) signals some traders are hedging or speculating on downside, which can increase short-term volatility and weigh on price momentum. (No article link available)

CSX Trading Up 0.8%

CSX opened at $42.49 on Friday. The firm has a market cap of $79.06 billion, a price-to-earnings ratio of 27.59, a price-to-earnings-growth ratio of 2.35 and a beta of 1.25. CSX has a 52 week low of $27.00 and a 52 week high of $43.35. The business’s 50 day moving average is $40.69 and its two-hundred day moving average is $37.49. The company has a quick ratio of 0.69, a current ratio of 0.81 and a debt-to-equity ratio of 1.38.

CSX (NASDAQ:CSX) last released its quarterly earnings results on Thursday, January 22nd. The transportation company reported $0.39 EPS for the quarter, missing the consensus estimate of $0.41 by ($0.02). The firm had revenue of $3.51 billion for the quarter, compared to analyst estimates of $3.59 billion. CSX had a return on equity of 23.88% and a net margin of 20.50%.The company’s quarterly revenue was down .9% on a year-over-year basis. During the same period last year, the firm earned $0.42 EPS. On average, research analysts predict that CSX will post 1.83 EPS for the current year.

CSX Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, March 13th. Stockholders of record on Friday, February 27th were issued a $0.14 dividend. The ex-dividend date of this dividend was Friday, February 27th. This is an increase from CSX’s previous quarterly dividend of $0.13. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.3%. CSX’s dividend payout ratio is presently 36.36%.

Insider Buying and Selling

In other CSX news, CEO Stephen F. Angel bought 25,000 shares of the firm’s stock in a transaction that occurred on Friday, March 6th. The stock was purchased at an average price of $40.27 per share, for a total transaction of $1,006,750.00. Following the completion of the purchase, the chief executive officer directly owned 146,540 shares in the company, valued at $5,901,165.80. This trade represents a 20.57% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Stephen Fortune sold 31,456 shares of the business’s stock in a transaction that occurred on Tuesday, February 3rd. The stock was sold at an average price of $38.65, for a total value of $1,215,774.40. Following the sale, the executive vice president owned 82,034 shares of the company’s stock, valued at approximately $3,170,614.10. The trade was a 27.72% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 188,123 shares of company stock worth $7,454,854 over the last 90 days. 0.55% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Brighton Jones LLC boosted its stake in shares of CSX by 5.5% in the fourth quarter. Brighton Jones LLC now owns 16,254 shares of the transportation company’s stock valued at $525,000 after buying an additional 849 shares in the last quarter. SVB Wealth LLC purchased a new stake in shares of CSX in the second quarter valued at approximately $807,000. BI Asset Management Fondsmaeglerselskab A S boosted its stake in shares of CSX by 3.2% in the second quarter. BI Asset Management Fondsmaeglerselskab A S now owns 74,410 shares of the transportation company’s stock valued at $2,428,000 after buying an additional 2,281 shares in the last quarter. WFA of San Diego LLC purchased a new stake in shares of CSX in the second quarter valued at approximately $28,000. Finally, Captrust Financial Advisors boosted its stake in shares of CSX by 0.8% in the second quarter. Captrust Financial Advisors now owns 405,828 shares of the transportation company’s stock valued at $13,242,000 after buying an additional 3,162 shares in the last quarter. Institutional investors and hedge funds own 73.57% of the company’s stock.

Analysts Set New Price Targets

Several research firms recently weighed in on CSX. BMO Capital Markets decreased their target price on CSX from $41.00 to $40.00 and set a “market perform” rating for the company in a research note on Thursday, April 2nd. Bank of America decreased their target price on CSX from $48.00 to $46.00 and set a “buy” rating for the company in a research note on Thursday, March 12th. Royal Bank Of Canada lifted their price target on CSX from $39.00 to $43.00 and gave the stock an “outperform” rating in a research report on Thursday, March 26th. Argus lifted their price target on CSX from $40.00 to $42.00 and gave the stock a “buy” rating in a research report on Tuesday, January 27th. Finally, Raymond James Financial lifted their price target on CSX from $40.00 to $41.00 and gave the stock an “outperform” rating in a research report on Friday, January 23rd. Seventeen equities research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company’s stock. According to data from MarketBeat, CSX currently has a consensus rating of “Moderate Buy” and a consensus price target of $41.44.

About CSX

CSX Corporation is a leading North American transportation company that provides rail-based freight services and supply-chain solutions. Its operating subsidiary, CSX Transportation, moves a wide range of goods for customers across multiple industries, using a combination of long-haul rail service, intermodal operations and terminal and yard services. The company focuses on delivering efficient, reliable freight transportation between major production centers, consumption markets and port gateways.

CSX’s freight portfolio includes intermodal containers and trailers, bulk commodities, industrial products and specialized unit trains.