Traders Buy High Volume of Put Options on CSX (NASDAQ:CSX)

CSX Co. (NASDAQ:CSX) was the target of unusually large options trading on Tuesday. Traders bought 6,478 put options on the stock. This represents an increase of approximately 114% compared to the average daily volume of 3,024 put options.

CSX Stock Performance

Shares of CSX stock opened at $34.84 on Wednesday. CSX has a 12 month low of $29.03 and a 12 month high of $40.12. The company has a current ratio of 1.05, a quick ratio of 0.91 and a debt-to-equity ratio of 1.48. The company’s fifty day moving average price is $37.04 and its 200-day moving average price is $34.32. The stock has a market cap of $68.20 billion, a PE ratio of 18.93, a price-to-earnings-growth ratio of 2.04 and a beta of 1.18.

CSX (NASDAQ:CSX) last released its quarterly earnings data on Tuesday, January 23rd. The transportation company reported $0.45 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.44 by $0.01. CSX had a return on equity of 30.52% and a net margin of 25.35%. The business had revenue of $3.68 billion for the quarter, compared to analysts’ expectations of $3.63 billion. During the same period in the prior year, the firm posted $0.49 EPS. The firm’s quarterly revenue was down 1.3% on a year-over-year basis. On average, equities analysts expect that CSX will post 1.97 EPS for the current fiscal year.

CSX Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, March 15th. Shareholders of record on Thursday, February 29th were given a $0.12 dividend. This is a boost from CSX’s previous quarterly dividend of $0.11. The ex-dividend date of this dividend was Wednesday, February 28th. This represents a $0.48 dividend on an annualized basis and a yield of 1.38%. CSX’s dividend payout ratio is presently 26.09%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on the stock. StockNews.com lowered shares of CSX from a “buy” rating to a “hold” rating in a research report on Wednesday, January 31st. Benchmark increased their price objective on shares of CSX from $38.00 to $40.00 and gave the stock a “buy” rating in a research report on Wednesday, April 10th. BMO Capital Markets upped their price target on CSX from $37.00 to $38.00 and gave the stock an “outperform” rating in a research report on Thursday, January 25th. Stifel Nicolaus increased their target price on shares of CSX from $37.00 to $39.00 and gave the stock a “buy” rating in a report on Friday, April 12th. Finally, JPMorgan Chase & Co. reduced their price objective on shares of CSX from $40.00 to $39.00 and set an “overweight” rating for the company in a research note on Thursday, December 21st. Five investment analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $37.28.

Institutional Trading of CSX

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Moneta Group Investment Advisors LLC raised its position in CSX by 101,926.4% during the fourth quarter. Moneta Group Investment Advisors LLC now owns 23,323,241 shares of the transportation company’s stock valued at $722,554,000 after purchasing an additional 23,300,381 shares during the period. Norges Bank bought a new stake in CSX during the 4th quarter valued at about $757,276,000. Price T Rowe Associates Inc. MD raised its stake in shares of CSX by 18.1% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 64,807,961 shares of the transportation company’s stock valued at $2,246,893,000 after acquiring an additional 9,914,656 shares in the last quarter. First Trust Advisors LP lifted its holdings in shares of CSX by 558.0% in the 1st quarter. First Trust Advisors LP now owns 6,800,925 shares of the transportation company’s stock worth $203,620,000 after buying an additional 5,767,302 shares during the period. Finally, Capital International Investors grew its holdings in CSX by 14.3% during the 4th quarter. Capital International Investors now owns 40,353,078 shares of the transportation company’s stock worth $1,399,104,000 after acquiring an additional 5,041,679 shares in the last quarter. 73.57% of the stock is owned by hedge funds and other institutional investors.

About CSX

CSX Corporation, together with its subsidiaries, provides rail-based freight transportation services. The company offers rail services; and transportation of intermodal containers and trailers, as well as other transportation services, such as rail-to-truck transfers and bulk commodity operations. It also transports chemicals, agricultural and food products, minerals, automotive, forest products, fertilizers, and metals and equipment; and coal, coke, and iron ore to electricity-generating power plants, steel manufacturers, and industrial plants, as well as exports coal to deep-water port facilities.