Observational Notes on CSX Corp.

Journal Entry: 19 Aug 2013

CSX Corp. Capitalization Rate
in millions except shares outstanding

Closing price: $24.89

Shares Outstanding: 1,018,837,313
Market value of equity: $25,358.86
Debt, fair value: $10,417.00
Cash & Equivalents: $1,017.00
Enterprise Value: $34,758.86

TTM EBITDA less CapEx: $2,378.00

Pre-tax Cap Rate: 6.84%

• CSX provides rail, intermodal and rail-to-truck transload services and solutions to customers
• solid growth in many of its markets and sustained track record of operating performance
• company expects annual earnings-per-share growth of 10 to 15 percent through 2015 off 2013 base
• Will require capital investments over time though scalable w/volume increases in goods transported
• New share buyback program of $1.0 billion shares over two years funded through excess cash and free cash flow

I have no positions in the above company mentioned, but may initiate a long position over the next 72 hours.

What Observations have you found on CSX?
Click on comments to Leave your opinion.