WallStSmart

CSX Corporation (CSX)vsFreightcar America Inc (RAIL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CSX Corporation generates 2713% more annual revenue ($14.09B vs $500.99M). CSX leads profitability with a 20.5% profit margin vs 7.6%. RAIL appears more attractively valued with a PEG of 0.64. RAIL earns a higher WallStSmart Score of 53/100 (C-).

CSX

Buy

53

out of 100

Grade: C-

Growth: 2.0Profit: 8.0Value: 4.7Quality: 5.0
Piotroski: 2/9Altman Z: 1.20

RAIL

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 5.0Value: 10.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CSXSignificantly Overvalued (-294.8%)

Margin of Safety

-294.8%

Fair Value

$10.47

Current Price

$39.57

$29.10 premium

UndervaluedFair: $10.47Overvalued
RAILUndervalued (+74.8%)

Margin of Safety

+74.8%

Fair Value

$51.01

Current Price

$8.16

$42.85 discount

UndervaluedFair: $51.01Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CSX4 strengths · Avg: 9.3/10
Operating MarginProfitability
32.7%10/10

Strong operational efficiency at 32.7%

Market CapQuality
$73.58B9/10

Large-cap with strong market position

Return on EquityProfitability
22.5%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
20.5%9/10

Keeps 21 of every $100 in revenue as profit

RAIL2 strengths · Avg: 9.0/10
P/E RatioValuation
7.4x10/10

Attractively priced relative to earnings

PEG RatioValuation
0.648/10

Growing faster than its price suggests

Areas to Watch

CSX4 concerns · Avg: 3.0/10
P/E RatioValuation
25.7x4/10

Moderate valuation

Debt/EquityHealth
1.433/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.242/10

Expensive relative to growth rate

RAIL4 concerns · Avg: 3.0/10
EPS GrowthGrowth
2.1%4/10

2.1% earnings growth

Market CapQuality
$153.78M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

Return on EquityProfitability
-8.8%2/10

ROE of -8.8% — below average capital efficiency

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 20.5% and operating margin at 32.7%.

Bull Case : RAIL

The strongest argument for RAIL centers on P/E Ratio, PEG Ratio. PEG of 0.64 suggests the stock is reasonably priced for its growth.

Bear Case : CSX

The primary concerns for CSX are P/E Ratio, Debt/Equity, Piotroski F-Score.

Bear Case : RAIL

The primary concerns for RAIL are EPS Growth, Market Cap, Profit Margin.

Key Dynamics to Monitor

CSX profiles as a declining stock while RAIL is a value play — different risk/reward profiles.

RAIL carries more volatility with a beta of 1.51 — expect wider price swings.

CSX is growing revenue faster at -0.9% — sustainability is the question.

CSX generates stronger free cash flow (709M), providing more financial flexibility.

Bottom Line

CSX scores higher overall (53/100 vs 53/100), backed by strong 20.5% margins. RAIL offers better value entry with a 74.8% margin of safety. 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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Freightcar America Inc

INDUSTRIALS · RAILROADS · USA

FreightCar America, Inc. designs, manufactures, and sells railroad cars and railroad components for the transportation of bulk goods and containerized cargo products primarily in North America. The company is headquartered in Chicago, Illinois.

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