CSX Corporation (NASDAQ:CSX) is included among the 10 Best Blue Chip Stocks to Buy for Your Retirement Portfolio.
On May 19, BofA raised its price recommendation on CSX Corporation (NASDAQ:CSX) to $51 from $49. It reiterated a Buy rating on the shares after the company’s board approved a $5 billion share repurchase program. The authorization matches the largest buyback in CSX history and covers about 6.0% of outstanding shares. The firm said its estimates already included buyback assumptions, so it made no changes to its 2026, 2027, and 2028 EPS forecasts. Even so, the analyst noted that the repurchase program adds upside potential for the stock.
During the Q1 2026 earnings call, CEO Stephen Angel said the company raised its full-year revenue growth outlook and now expects growth in the mid-single-digit range instead of the previously forecast low single digits. Angel said the revision was driven mainly by stronger-than-expected energy prices, particularly diesel. According to him, those higher prices are expected to start contributing to fuel-related revenue growth in the second quarter.
He also reaffirmed CSX’s focus on profitability and cash generation. Angel stated that operating margin expansion is still expected to range between 200 and 300 basis points year over year, though results are now likely to come in near the upper end of that range. The CEO added that total capital spending for 2026 is expected to remain below $2.4 billion. He also said free cash flow is now projected to rise more than 60% compared to 2025.
Executive VP and CFO Kevin Boone said total revenue increased 2% during the quarter, helped by 3% volume growth. He noted that total expenses fell 6%, while operating income rose 20% and earnings per share increased 26%. Boone also said the company delivered more than $100 million in year-over-year efficiency savings, contributing to a broader $153 million decline in expenses from the prior year.
CSX Corporation (NASDAQ:CSX) is a transportation company that provides rail, intermodal, and rail-to-truck transload services. The company serves customers across several markets, including energy, industrial, construction, agricultural, and consumer products.
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