CSX Q2 revenue beats on volume growth, fuel surcharges and higher pricing

Overview

• U.S. rail operator's Q2 revenue rose 10% yr/yr, beating analyst expectations

• Diluted EPS for Q2 rose 23% yr/yr to $0.54

• Q2 volume increased 6%, led by 9% intermodal growth

Outlook

• CSX says it will focus on strengthening service execution in the second half of 2026

Result Drivers

• VOLUME GROWTH - Total Q2 volume rose 6%, with intermodal shipments up 9%

• FUEL SURCHARGES AND PRICING - Revenue growth driven by increased fuel surcharge revenue and higher pricing across merchandise, intermodal, and coal

• OPERATIONAL EXECUTION - Management cited focus on safety and productivity as supporting improved financial performance

Company press release: ID:nGNX1z3LqX

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the ground freight logistics peer group is "buy"

• Wall Street's median 12-month price target for CSX Corp is $53.00, about 6.2% above its July 21 closing price of $49.89

• The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 22 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)