WallStSmart

CSX Corporation (CSX)vsFederal Signal Corporation (FSS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CSX Corporation generates 478% more annual revenue ($14.15B vs $2.45B). CSX leads profitability with a 21.5% profit margin vs 11.7%. FSS appears more attractively valued with a PEG of 1.92. CSX earns a higher WallStSmart Score of 65/100 (C+).

CSX

Buy

65

out of 100

Grade: C+

Growth: 4.7Profit: 8.0Value: 5.3Quality: 3.5
Piotroski: 2/9Altman Z: 1.25

FSS

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 5.0Quality: 7.5
Piotroski: 3/9Altman Z: 3.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CSXUndervalued (+27.8%)

Margin of Safety

+27.8%

Fair Value

$70.37

Current Price

$51.03

$19.34 discount

UndervaluedFair: $70.37Overvalued

Intrinsic value data unavailable for FSS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CSX5 strengths · Avg: 9.0/10
Operating MarginProfitability
36.2%10/10

Strong operational efficiency at 36.2%

Market CapQuality
$92.78B9/10

Large-cap with strong market position

Return on EquityProfitability
22.9%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
21.5%9/10

Keeps 22 of every $100 in revenue as profit

EPS GrowthGrowth
26.5%8/10

Earnings expanding 26.5% YoY

FSS3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
18.7%8/10

18.7% revenue growth

EPS GrowthGrowth
20.7%8/10

Earnings expanding 20.7% YoY

Areas to Watch

CSX4 concerns · Avg: 3.8/10
PEG RatioValuation
2.254/10

Expensive relative to growth rate

P/E RatioValuation
30.6x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

Debt/EquityHealth
1.373/10

Elevated debt levels

FSS3 concerns · Avg: 3.7/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

P/E RatioValuation
26.9x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : CSX

The strongest argument for CSX centers on Operating Margin, Market Cap, Return on Equity. Profitability is solid with margins at 21.5% and operating margin at 36.2%.

Bull Case : FSS

The strongest argument for FSS centers on Altman Z-Score, Revenue Growth, EPS Growth. Revenue growth of 18.7% demonstrates continued momentum.

Bear Case : CSX

The primary concerns for CSX are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : FSS

The primary concerns for FSS are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

CSX profiles as a value stock while FSS is a growth play — different risk/reward profiles.

FSS carries more volatility with a beta of 1.23 — expect wider price swings.

FSS is growing revenue faster at 18.7% — sustainability is the question.

CSX generates stronger free cash flow (751M), providing more financial flexibility.

Bottom Line

CSX scores higher overall (65/100 vs 64/100), backed by strong 21.5% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CSX Corporation

INDUSTRIALS · RAILROADS · USA

CSX Corporation is an American holding company focused on rail transportation and real estate in North America, among other industries. Based in Richmond, Virginia, USA after the merger, in 2003 the CSX Corporation headquarters moved to Jacksonville, Florida.

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Federal Signal Corporation

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

Federal Signal Corporation designs, manufactures, and supplies a suite of integrated products and solutions for municipal, government, industrial, and commercial customers in the United States, Canada, Europe, and internationally. The company is headquartered in Oak Brook, Illinois.

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