CSX Corporation

Railroads are economic toll bridges but volumes remain tied to industrial production and commodity cycles.

CSX benefits from a balanced mix of merchandise, intermodal and coal, with intermodal providing secular conversion from highway and new cross-border lanes (SMX) adding a multiyear pipeline. 2025 revenue declined 3 percent and coal revenue fell 15 percent, but recurring demand across chemicals, ag, autos and intermodal, plus improving network velocity and dwell, supports medium-term stability.

Regulatory and weather shocks can dent near-term predictability, yet the franchise exhibits resilient cash conversion through cycles.