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CSX Stock Up 45.5% Y/Y: Can the Momentum Last Throughout 2026?
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Key Takeaways
CSX shares gained 45.5% in a year, outperforming the rail industry's 18.2% growth.
CSX could benefit from the upgraded SMX service through stronger cross-border freight connectivity.
CSX expanded rail-served facilities, raised its dividend 8% and saw higher 2026 and 2027 estimates.
CSX (CSX - Free Report) shares have performed impressively on the bourse of late. Shares of this Jacksonville, FL-based company have surged 45.5% over the past year, outperforming the Zacks Transportation - Rail industry’s 22.5% growth.
Image Source: Zacks Investment Research
Given the impressive price performance, let's take a deeper look at the factors driving growth at this leading rail-based freight transportation service provider, which currently carries a Zacks Rank #2 (Buy), and assess its potential for continued gains. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CSX and Canadian Pacific Kansas City (CP - Free Report) are expected to benefit from the upgraded Southeast Mexico Express (“SMX”) service, as faster transit times, expanded market access and improved network efficiency are introduced. Backed by infrastructure investments, cross-border connectivity between the U.S. Southeast, Texas and Mexico is expected to be strengthened, potentially driving additional freight volumes and supporting long-term growth.
Similarly, Schneider National (SNDR - Free Report) , a premier provider of transportation, intermodal and logistics services, has already benefited from the SMX corridor. The enhanced service offers more reliable, truck-like transit times between Texas, Mexico and the U.S. Southeast, strengthening rail's competitiveness against trucking while providing greater capacity and efficiency for shippers.
CSX continued to broaden its growth opportunities by adding 85 new or expanded rail-served facilities and maintaining a robust pipeline of customer development projects across its network. At the end of 2025, the company also broadened its market reach through new intermodal and interchange agreements while returning $2.4 billion to shareholders through dividends and share repurchases. An 8% dividend increase, combined with ongoing investments in artificial intelligence and predictive analytics, highlights management's confidence in the company's long-term growth, productivity and cash-generation potential.
The company also delivered notable improvements in safety and service performance at the end of 2025. Its FRA personal injury frequency index improved to 0.94, while its train accident rate improved to 3.08, reflecting a strong focus on employee safety and operational discipline. Network performance metrics, including train velocity, terminal dwell and trip-plan performance, also improved throughout the second half of 2025, providing a stronger foundation for service reliability, customer satisfaction and future commercial growth.
Estimate Revisions to Head North
Driven by the positives discussed above, the Zacks Consensus Estimate for the full-year 2026 and 2027 has been revised upward by 3.26% and 3.37%, respectively, over the past 60 days.
View the Zacks #1 Rank List
Image: Bigstock
CSX Stock Up 45.5% Y/Y: Can the Momentum Last Throughout 2026?
Key Takeaways
CSX (CSX - Free Report) shares have performed impressively on the bourse of late. Shares of this Jacksonville, FL-based company have surged 45.5% over the past year, outperforming the Zacks Transportation - Rail industry’s 22.5% growth.
Image Source: Zacks Investment Research
Given the impressive price performance, let's take a deeper look at the factors driving growth at this leading rail-based freight transportation service provider, which currently carries a Zacks Rank #2 (Buy), and assess its potential for continued gains. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CSX and Canadian Pacific Kansas City (CP - Free Report) are expected to benefit from the upgraded Southeast Mexico Express (“SMX”) service, as faster transit times, expanded market access and improved network efficiency are introduced. Backed by infrastructure investments, cross-border connectivity between the U.S. Southeast, Texas and Mexico is expected to be strengthened, potentially driving additional freight volumes and supporting long-term growth.
Similarly, Schneider National (SNDR - Free Report) , a premier provider of transportation, intermodal and logistics services, has already benefited from the SMX corridor. The enhanced service offers more reliable, truck-like transit times between Texas, Mexico and the U.S. Southeast, strengthening rail's competitiveness against trucking while providing greater capacity and efficiency for shippers.
CSX continued to broaden its growth opportunities by adding 85 new or expanded rail-served facilities and maintaining a robust pipeline of customer development projects across its network. At the end of 2025, the company also broadened its market reach through new intermodal and interchange agreements while returning $2.4 billion to shareholders through dividends and share repurchases. An 8% dividend increase, combined with ongoing investments in artificial intelligence and predictive analytics, highlights management's confidence in the company's long-term growth, productivity and cash-generation potential.
The company also delivered notable improvements in safety and service performance at the end of 2025. Its FRA personal injury frequency index improved to 0.94, while its train accident rate improved to 3.08, reflecting a strong focus on employee safety and operational discipline. Network performance metrics, including train velocity, terminal dwell and trip-plan performance, also improved throughout the second half of 2025, providing a stronger foundation for service reliability, customer satisfaction and future commercial growth.
Estimate Revisions to Head North
Driven by the positives discussed above, the Zacks Consensus Estimate for the full-year 2026 and 2027 has been revised upward by 3.26% and 3.37%, respectively, over the past 60 days.