TD Cowen analyst Jason Seidl has reiterated their bullish stance on CSX stock, giving a Buy rating today.
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Jason Seidl has given his Buy rating due to a combination of factors that highlight CSX’s strong performance and strategic positioning. The company reported a third-quarter adjusted EPS of $0.44, surpassing both his and the consensus estimate of $0.42, which was achieved despite facing labor and cost challenges. This performance was bolstered by improvements in service efficiency, following the completion of key infrastructure projects like the Howard St. Tunnel and Blue Ridge, which have significantly enhanced network operations.
Furthermore, CSX is positioned for long-term growth through strategic interline partnerships and the implementation of double-stacking capabilities in the Northeast corridor. These initiatives are expected to drive intermodal growth, particularly as the industry moves towards consolidation under new leadership. The company’s ability to manage costs effectively, maintain service improvements, and capitalize on market opportunities underpins Seidl’s confidence in CSX’s future prospects, justifying the Buy rating and the increased price target to $39.
In another report released today, UBS also maintained a Buy rating on the stock with a $45.00 price target.