Traders Buy High Volume of Call Options on CSX (NASDAQ:CSX)

CSX Corporation (NASDAQ:CSX) saw some unusual options trading activity on Thursday. Investors purchased 22,656 call options on the company. This represents an increase of approximately 185% compared to the average daily volume of 7,960 call options.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on CSX. Vertical Research cut shares of CSX from a “buy” rating to a “hold” rating and set a $44.00 price objective for the company. in a research note on Thursday. Wells Fargo & Company increased their target price on shares of CSX from $40.00 to $50.00 and gave the stock an “overweight” rating in a research report on Thursday. Evercore increased their target price on shares of CSX from $41.00 to $44.00 in a research report on Thursday. Barclays reiterated an “overweight” rating and set a $47.00 target price (up from $40.00) on shares of CSX in a research report on Thursday. Finally, Robert W. Baird increased their target price on shares of CSX from $40.00 to $47.00 and gave the stock an “outperform” rating in a research report on Thursday. Sixteen analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $45.26.

Insider Activity

In other news, EVP Stephen Fortune sold 31,456 shares of the stock in a transaction on Tuesday, February 3rd. The shares were sold at an average price of $38.65, for a total value of $1,215,774.40. Following the completion of the transaction, the executive vice president owned 82,034 shares in the company, valued at approximately $3,170,614.10. This represents a 27.72% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CAO Diana B. Sorfleet sold 90,000 shares of the stock in a transaction on Thursday, February 19th. The shares were sold at an average price of $41.56, for a total transaction of $3,740,400.00. Following the completion of the transaction, the chief accounting officer owned 165,613 shares of the company’s stock, valued at approximately $6,882,876.28. This represents a 35.21% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 188,123 shares of company stock worth $7,454,854. 0.30% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of CSX. Syon Capital LLC increased its position in shares of CSX by 1.0% during the 4th quarter. Syon Capital LLC now owns 28,316 shares of the transportation company’s stock valued at $1,026,000 after purchasing an additional 287 shares during the last quarter. Root Financial Partners LLC increased its position in shares of CSX by 7.3% during the 4th quarter. Root Financial Partners LLC now owns 4,757 shares of the transportation company’s stock valued at $172,000 after purchasing an additional 323 shares during the last quarter. Kingswood Wealth Advisors LLC increased its position in shares of CSX by 4.1% during the 3rd quarter. Kingswood Wealth Advisors LLC now owns 8,324 shares of the transportation company’s stock valued at $296,000 after purchasing an additional 331 shares during the last quarter. Moloney Securities Asset Management LLC increased its position in shares of CSX by 2.7% during the 3rd quarter. Moloney Securities Asset Management LLC now owns 13,048 shares of the transportation company’s stock valued at $463,000 after purchasing an additional 339 shares during the last quarter. Finally, Walled Lake Planning & Wealth Management LLC increased its position in shares of CSX by 2.7% during the 4th quarter. Walled Lake Planning & Wealth Management LLC now owns 13,235 shares of the transportation company’s stock valued at $480,000 after purchasing an additional 346 shares during the last quarter. Institutional investors own 73.57% of the company’s stock.

Key Stories Impacting CSX

Here are the key news stories impacting CSX this week:

• Positive Sentiment: Q1 results beat on EPS and showed strong margin expansion and cash generation; management lifted the 2026 revenue outlook to mid‑single digits and flagged significant free‑cash‑flow upside — this underpins the rally. CSX Q1 Earnings Beat Estimates, Revenues Lag, 2026 View Raised
• Positive Sentiment: Operational improvements (efficiency initiatives, network expansion, record fuel efficiency) drove margin gains and lower operating expenses — a structural positive for future EPS and cash flow. CSX Q1 Deep Dive: Efficiency Initiatives and Network Expansion Drive Margin Growth
• Positive Sentiment: Multiple brokerages raised price targets and ratings (Jefferies, JPMorgan, Wells Fargo, Raymond James, BofA, RBC, etc.), reflecting the quarter and improved guidance — analyst support helped lift investor demand. These Analysts Increase Their Forecasts On CSX After Q1 Earnings
• Positive Sentiment: Unusually large bullish options activity (heavy call buying) and notable insider buying (CEO purchased shares) suggest short‑term speculative and management conviction support. Quiver Quant: CSX jumps as Q1 profit beats expectations and outlook improves
• Neutral Sentiment: The top‑line was roughly flat — revenue modestly missed estimates while volumes rose slightly; investors will watch whether revenue growth keeps pace with margin gains. CSX Q1 Earnings Beat Estimates, Revenues Lag, 2026 View Raised (Zacks)
• Neutral Sentiment: The stock traded near a 52‑week high after results — positive momentum but raises the bar for future beats. CSX rallies to a new 52-week high after showing operational improvement in Q1
• Negative Sentiment: Morgan Stanley downgraded CSX, saying the turnaround progress is largely priced in and valuation looks stretched (they set a much lower target) — this creates near‑term downside risk if future results disappoint. CSX Turnaround Largely Reflected in Stock Valuation, Morgan Stanley Says in Downgrade
• Negative Sentiment: Some commentators caution about price risk after the run‑up — elevated multiples mean the stock could be sensitive to any slowdown in volumes, pricing or margin recovery. CSX: Stellar Financial Report, But Price Risk Still Remains

CSX Trading Up 6.9%

CSX opened at $46.18 on Friday. The company has a current ratio of 0.81, a quick ratio of 0.69 and a debt-to-equity ratio of 1.38. The stock has a market capitalization of $85.93 billion, a PE ratio of 28.33, a PEG ratio of 2.41 and a beta of 1.25. CSX has a 1-year low of $27.18 and a 1-year high of $46.55. The firm has a 50-day moving average price of $41.34 and a two-hundred day moving average price of $38.08.

CSX (NASDAQ:CSX) last posted its quarterly earnings data on Wednesday, April 22nd. The transportation company reported $0.43 earnings per share for the quarter, beating the consensus estimate of $0.39 by $0.04. The firm had revenue of $3.48 billion during the quarter, compared to analysts’ expectations of $3.50 billion. CSX had a net margin of 21.55% and a return on equity of 24.86%. The company’s quarterly revenue was up 1.7% compared to the same quarter last year. During the same quarter last year, the company posted $0.34 EPS. As a group, equities analysts anticipate that CSX will post 1.84 earnings per share for the current fiscal year.

CSX Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 13th. Stockholders of record on Friday, February 27th were paid a $0.14 dividend. This is a boost from CSX’s previous quarterly dividend of $0.13. The ex-dividend date of this dividend was Friday, February 27th. This represents a $0.56 annualized dividend and a dividend yield of 1.2%. CSX’s payout ratio is 36.36%.

CSX Company Profile

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.