Analysts Slam CSX With Bear Notes After Earnings

At least eight analysts issued price-target cuts

Digital Content Manager
Jul 17, 2019 at 10:03 AM
facebook X logo linkedin

Transportation concern CSX Corporation (NASDAQ:CSX) is on course for its worst day in nearly two years, down 8.7% at $72.60 after the company unveiled second-quarter earnings and revenue that fell lower than analyst estimates. The company cited trade headwinds that weighed on its intermodal business, and it had to cut its full-year forecast, too, with CEO James Foote mentioning "unusual" economic conditions in the conference call.

Analysts have been quick to chime in, with no less than eight price-target cuts issued since last night's report, including J.P. Morgan Securites, Credit Suisse, Stifel and RBC. The two latter cut their target price all the way to a Street low of $75 -- a discount to last night's close. Stephens also got in on the action, downgrading the stock to "equal-weight" from "overweight." There's room for even more bear notes from the brokerage bunch, though. Prior to today, eight of the 17 in coverage called CSX a "buy" or better. 

Looking at CSX's recent behavior on the charts, analysts' bullish sentiment isn't that surprising. Just yesterday, the security hit an intraday high of $80.23 -- just within striking distance of its early May record. Plus, at last night's close, the stock was up 28% year-to-date. Now, however, the equity is back below former support at its 80-day moving average, trading near its late-May dip. 

Short sellers might be kicking rocks today, seeing as short interest dropped 14.1% to 11.22 million shares in the last reporting period. This means there's plenty of room to jump back on the bearish band wagon, though. Now, short interest only represents 1.4% of CSX's available float, or 2.9 days at the security's average pace of trading. 




Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI