CSX traffic growth flat; Treasuries favored over CSX dividends for better risk-adjusted returns

CSX Corporation has shown solid financial results but its traffic growth has been nearly flat at 0.3% CAGR over eight years. Despite recent stock outperformance, CSX's dividend growth would need to accelerate significantly to match the cash flow returns of a 10-year Treasury Note. Given the current yield and potential capital gains if rates fall, Treasuries are seen as a more attractive and predictable investment compared to CSX. The analyst prefers Treasuries over CSX until the stock price drops and dividend yield rises to offer better risk-adjusted returns.

As of Oct 07, 2026 04:42 WIB, CSX Corporation shares trade at USD 47.43 on Pluang, showing a 1.91% gain in the last day. The stock's dividend yield stands at 1.18%, while the market capitalization is $87.88 billion. Notably, all Pluang order activity for CSX is on the buy side, reflecting investor interest despite the cautious analyst view.