|Bid||166.45 x 800|
|Ask||166.99 x 900|
|Day's Range||163.45 - 166.89|
|52 Week Range||128.08 - 180.54|
|Beta (3Y Monthly)||1.14|
|PE Ratio (TTM)||19.73|
|Earnings Date||Oct 17, 2019|
|Forward Dividend & Yield||3.88 (2.39%)|
|1y Target Est||187.67|
While trade uncertainty is a dominant theme in the rail demand outlook for moving grain this fall, other factors such as global market competition come into play when considering how much grain volume could be moved by U.S. rail operations in the 2019-2020 season. You have to look at international demand and look backwards," said Jay O'Neil, a consultant and agricultural economist. Meanwhile, the ongoing trade war between the U.S. and China has dashed the hopes of U.S. soybean producers again for this upcoming fall because China has drastically cut its imports of U.S. soybeans.
Both railroad giants reported earnings last month, but their share-price trends since then have been markedly different.
The S&P 500 lost nearly 3% of its value yesterday, as an inversion of the yield curve convinced enough traders the risk of a recession is all too real. It remains to be seen if investors will continue to believe it, but the selloff to date still doesn't qualify as a full-blown "correction."Source: Shutterstock Macy's (NYSE:M) led the way with its 13% plunge in response to a big earnings miss, underscored by warnings that tariffs were becoming problematic. Advanced Micro Devices (NASDAQ:AMD) fell 6%, as it was pegged as one of the more vulnerable names of a global economic slowdown.Yet, there were some winners despite Wednesday's misery. FireEye (NASDAQ:FEYE), for instance, gained nearly 3% for reasons investors are still trying to ferret out. Rival cybersecurity stocks didn't fare any better than the broad market did on Wednesday.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 15 Growth Stocks to Buy for the Long Haul Headed into Thursday's action, keep a close eye on the stock charts of Salesforce (NYSE:CRM), Oracle (NYSE:ORCL) and Union Pacific (NYSE:UNP). These names may make for your best trading bets. Union Pacific (UNP)It ended up coming back from the brink of the start of a truly devastating breakdown thanks to yesterday's late-session rally. But, Union Pacific shares remain uncomfortably close to that last-ditch line in the sand. If one more bad day is allowed to take shape, it could mean a key floor snaps and opens the floodgates. And, for the record, UNP shares are likely already fighting a losing battle for two (semi-related) reasons.The good news is, the most plausible landing spots for any pullback are well defined. * Click to EnlargeThe last-ditch line in the sand is $163.50, plotted in red on both stock charts. That's where Union Pacific have found lows since June, and near where the white 200-day moving average line is now. * Zooming out to the weekly chart of UNP it becomes clear that the stock is being guided higher within the confines of bullish trend lines. The recent bump into the upper one sets the stage for a retreat back to the lower one, both marked in blue. (The red dashed line as an alternative floor.) * It's not evident on the chart, but railroad traffic has been tepid this year, with traffic falling back below 2017's and 2018's levels. Oracle (ORCL)It has more to do with the broad market's weakness than Oracle in particular. Nevertheless, the situation ORCL shares are in leaves them more vulnerable to major trouble than what most other stocks are facing at this time. And, the bears have already tipped what seems to be a pretty strong hand.There's also a great deal of similarity to the UNP stock chart. That is, Oracle shares are in a major, long-term uptrend but due for at least a small pullback to the lower edge of that trading channel. * 7 5G Stocks to Buy Now for the Future * Click to EnlargeAs was the case with Union Pacific, Oracle's long-term bullish trading range is marked with blue lines on the weekly chart. The other potential floor is plotted with a red dashed line. Both will be around $46 by the time they could be tested. * It's not likely to be a coincidence that Wednesday's selling was halted right at the 200-day moving average, plotted in white on both stock charts. * Although not decidedly bearish yet, notice there seems to be more bearish volume than not. The daily chart's falling accumulation-distribution line quantifies that mostly qualitative idea. Salesforce (CRM)Finally, as far as breakdowns go, the line Salesforce has dished out since the beginning of this month has been sloppy to the point of being untrustworthy. That is to say, this usually choppy stock could easily, seemingly, snap back to a bullish mode with just the smallest bit of help from the broad market.On the other hand, we're seeing a few more subtle red flags now that we hadn't seen in a long while. Things could get worse for owners before they get better. * Click to EnlargeThe chief concern is the break below the 200-day moving average line, marked in white on both stock charts. Underscoring that potential problem is the fact that all other moving average lines are en-route to falling below the 200-day line as well. * Although we've seen volume spikes on bearish days before, we've not yet seen persistently bearish days with this much sustained selling volume. * With no other technical framework to point to likely landing spots, the next most likely floor is around $123.35, where the 38.2% Fibonacci retracement line awaits.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about him at his website jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks Under $5 to Buy for Fall * 5 Stocks to Avoid Amid the Ongoing Trade War * 7 5G Stocks to Buy Now for the Future The post 3 Big Stock Charts for Thursday: Oracle, Salesforce and Union Pacific appeared first on InvestorPlace.
At the end of July FreightWaves asked a question that seemed almost counter-intuitive at the time – is the freight market starting to recover? From Los Angeles, specifically, volumes are up 39 percent year-over-year (OTVI.LAX). Current volumes are up against relatively easy, post pull-forward comparisons in 2018, but at this point a good set-up for peak season seems to be emerging from some noisy data.
It's fair to say that over the past month, CSX (NASDAQ:CSX) has come off the rails. During the past month, CSX stock sunk as the transportation giant reported miserable second-quarter numbers in mid-July.Source: Shutterstock Revenues missed expectations by a wide margin, the biggest miss since early 2016. Earnings also missed expectations by the widest margin in the past five years. More important, the full-year guide was cut sharply to well-below consensus levels.Ever since, CSX stock has dropped nearly 20%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsSome contrarian investors might see this big drop in CSX as an opportunity to buy into a company that ostensibly seems very stable. But, while I love to play the contrarian, I don't think buying the dip in CSX here is the right move. * 7 Safe Dividend Stocks for Investors to Buy Right Now The reality is that CSX stock has come off the rails, and there's no reason to step in the way of this "off the rails" train just yet. The fundamentals are weak and will likely get worse before they get better. The optics are ugly and won't improve anytime soon. Meanwhile, the analyst community is growing increasingly bearish and won't provide any support; neither will the technicals, since CSX has blown through pretty much all of its important technical and psychological levels.In sum, then, there's no reason to step in the way of this sell-off just yet. Instead, the smart move here is let this sell-off play out, and then buy the dip once the fundamentals, optics, and technicals become more supportive of a rebound rally. The Rail Industry Is off the RailsThe 20% plunge in CSX stock over the past month is not unique to this specific company. Instead, it is part of a more wide-sweeping sell-off across the entire rail industry.Alongside CSX, peer rail transport companies Norfolk Southern (NYSE:NSC), Union Pacific (NYSE:UNP), and Trinity (NYSE:TRN) all reported Q2 revenue misses with sluggish volume growth. All four stocks have fallen 8% or more over the past month.Under the hood, the trade war is having a materially negative impact on the U.S. manufacturing sector. When the manufacturing sector slows, demand for rail transport slows, too, since companies are responding by transporting less volume, less frequently.When volumes drop, margins take a hit because costs aren't coming out of the system as quickly as volumes are dropping. Further, this pain may just be beginning. The trade war has escalated over the past few weeks, and as it has, it's become increasingly clear that elevated trade tensions and slowing manufacturing activity are here to stay for the foreseeable future.As such, the outlook for CSX and the entire rail industry over the next several months is sluggish volume growth alongside potential margin compression. That's a losing combo. No Reason to Buy the Dip YetAt some point, this dip in CSX becomes a compelling buying opportunity, since CSX is a stable company with healthy long term growth prospects.But, that point isn't here yet. Instead, at the current moment, there's very little reason to step in the way of this CSX stock sell-off.First, as outlined above, rail industry fundamentals aren't good now, nor do they project to improve anytime soon given trade war escalation. Second, CSX isn't a standout in this industry. Instead, they've been hit like everyone else during this rail slowdown, reporting negative revenue growth last quarter.Third, the optics here are bad. Investors quite simply do not want trade war exposure at the current moment. CSX stock has a ton of trade war exposure. As such, it is unlikely that investors will be attracted to the stock anytime soon.Further, analysts are cutting estimates and the number of Buy recommendations on the stock has dropped from 11 at the beginning of the year, to five today, according to YCharts. Thus, there isn't much support from the analyst community, either, and without that support, investors likely aren't inclined to buy the dip in bulk.Fourth, the technicals are broken. During this most recent sell-off, CSX blew through its 20-day, 50-day, and 200-day moving averages without any regard for those technical support levels. The next psychological level of support comes in at $65, where the stock has shown resilience before. Until the stock does show support there, there's little reason to believe that there's much technical support in this stock anywhere.Overall, there's simply very little reason to step in the way of this sell-off today. It increasingly appears that there's more pain ahead for CSX. Investors should only buy the dip once it appears that the worst has passed. Bottom Line on CSX StockThings are bad at CSX right now. The unfortunate reality is that things will probably get worse before they get better. That means that the recent 20% plunge in CSX stock isn't an opportunity. Instead, the stock will likely sell-off more before it bottoms.As such, now isn't the time to buy the dip in CSX stock. Rather, it's time to steer clear.As of this writing, Luke Lango did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Real Estate Investments to Ride Out the Current Storm * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk * 7 Safe Dividend Stocks for Investors to Buy Right Now The post Run Away from CSX Stock as It Comes Way off the Rails appeared first on InvestorPlace.
Public railroad stocks can be especially attractive in a growth economy. Few industries are as closely tied to economic growth as those involved in moving goods and commodities. Railroad stocks have seen some volatility over the past few years, due in part to the falling fortune of coal, which accounts for nearly 40% of America's railroad tonnage.
The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). To keep it practical, we'll...
Moody's Investors Service has upgraded the Port of Beaumont Navigation District, TX's outstanding revenue bond debt totaling $16.4 million to A2 from A3. Port of Beaumont Nav Dist, TX's upgrade to A2 from A3 is based on the port's sustained increase in operating revenues and debt service coverage levels, which have grown due to the revenue stream provided by Jefferson Energy Companies since 2015.
Due to CSX's (NYSE:CSX) earnings and revenue miss, many analysts and pundits have begun to take a more bearish view of CSX stock. With its 2019 revenues set to fall 1%-2%, according to its own estimates, CSX could face a rough ride. Also, the trade war with China and signs of an economic slowdown have weighed on CSX's freight volumes and intermodal transport business.Source: Shutterstock The low cost of rail transport has and will continue to bolster CSX's business model in the long-term. However, falling revenues and economic headwinds look positioned to derail CSX stock for the foreseeable future. * 8 of the Most Shorted Stocks in the Markets Right Now CSX Stock Price TumbledOn July 16, CSX stock price fell by more than 10% following the company's earnings. The company's earnings and revenue fell short of analysts' average expectations. Moreover, the company's guidance also came in below the average estimate. CSX expects its revenues to come in 1%-2% lower than last year's revenue of $12.25 billion or between $12 billion and $12.13 billion. The average revenue estimate had previously stood at $12.47 billion.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe negative sentiment spread across the railroad industry. Union Pacific (NYSE:UNP), Kansas City Southern (NYSE:KSU), and Norfolk Southern (NYSE:NSC) also plunged on July 16. The sellers appear to have made the right call. Norfolk Southern's earnings subsequently came in below analysts' average estimates, while Union Pacific's top line missed the consensus outlook. The Economic Cycle Bodes Poorly for CSX StockIn a previous article,I predicted that guidance would likely determine the near-term performance of CSX stock. Since the company had already cut its revenue guidance in January, issuing lower guidance a second time destroyed the confidence many had in CSX stock.Additionally, CSX and its peers serve as a proxy for the overall economy. As InvestorPlace columnist James Brumley stated, there is now widespread concern that the economy is slowing.The Fed attempted to address this issue with a cut in interest rates recently. Before this cut, the Federal Reserve had not reduced rates since soon after the 2008 financial crisis. So far, the Fed's move has failed to rejuvenate CSX stock.CSX stock price traded above $71 per share before the cut. Since it occurred, the stock fell for the rest of the week. As of this writing, the CSX stock price now stands at about $66.50 per share.Moreover, InvestorPlace columnist Josh Enomoto points out that CSX stock dropped massively during the 2000 tech bubble and the 2008 financial crisis. During both downturns, CSX stock price lost more than two-thirds of its value. If rate cuts fail to head off an economic slowdown, I wouldn't be surprised if history repeats itself.I do not necessarily believe that the CSX stock price will fall by two-thirds again. However, it may be vulnerable enough to justify selling the equity. Traders have few reasons to ride out such a downturn. The Bottom Line on CSX StockRail remains the lowest-cost means of transporting freight. For this reason, I like the railroad industry in general, and I think CSX stock will deliver returns over the long-term.But at this stage, I see more to lose than gain by holding CSX stock at these levels. When investors sour on CSX stock, history has shown that they turn on it hard. The recent rate cut did not boost CSX stock price, and the stock began a new downward move following the news.That does not mean traders should stop paying attention to this company. I think CSX stock will be a great buy during the depths of a recession. However, in the late stages of an economic expansion, traders should stay off the tracks, since for now, CSX is much more likely to report negative news than positive metrics.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Small-Cap Stocks to Buy Before They Grow Up * 7 Stocks to Buy With Over 20% Upside From Current Levels * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk The post CSX Stock Will Likely Continue to Fall Amid Economic Uncertainty appeared first on InvestorPlace.
EVP & CHIEF FINANCIAL OFFICER of Union Pacific Corp (30-Year Financial, Insider Trades) Robert M Jr Knight (insider trades) sold 8,620 shares of UNP on 07/31/2019 at an average price of $180.04 a share. Continue reading...
Going on 16 hours here in Cumberland. Overnight these guys got a megaphone, about 10 pizzas, and some "big boy juice". The #blackjewel coal train still hasn't left. pic.twitter.com/cZ9hsV1RDH ...
The release of earnings results of four major players in the industrial sector makes us study the impact on certain ETFs with high exposure to these in-focus companies.
OMAHA, Neb., Aug. 1, 2019 /PRNewswire/ -- The story of George H.W. Bush's funeral train "Uniting America: The President's Final Journey" will have its first airing Sunday, Aug. 11 at 8:30 a.m. ET/PT on Discovery. Led by Union Pacific's special George Bush 4141 locomotive, it was America's first presidential funeral train in nearly 50 years. "When you are an American company that was created by Abraham Lincoln's pen, well, patriotism and presidents run deep," said Scott Moore, Union Pacific senior vice president and chief administrative officer.
State Teachers Retirement System of Ohio, which has been digging itself out of a hole in terms of funding, made some big changes in its stock investments last quarter.
It was the shot heard 'round the railroading world, so to speak. When CSX Corporation (NASDAQ:CSX) posted its disappointing second-quarter numbers a week-and-a-half ago, not only did CSX stock crash, it pulled some other -- though not all -- rail stocks like Union Pacific (NYSE:UNP) and Norfolk Southern (NYSE:NSC) down with it.Source: Shutterstock And for good reason. The company's culling of its revenue outlook for the full year voiced what some in and outside of the industry have been quietly thinking for a while. That is, the economy is slowing down. Several reports confirm this.There's still one last bastion of hope for CSX and its peers. However, if we don't see signs of a recovery soon, in August at the latest, here's the painful reality: CSX stock and most other railroading names could become even more difficult to own.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Red Flags for CSX Stock OwnersWhen CSX CEO James Foote commented, "The present economic backdrop is one of the most puzzling I have experienced in my career," it wasn't excuse-making. The economy, seemingly healthy on the surface, is showing several cracks under the hood. * 7 Stocks to Sell This Summer Earnings Season Railroads have fallen into those cracks, since they are more vulnerable than most sectors to the weak points. As Union Pacific CEO Lance Fritz explained as part of his company's post-earnings discussion, "There [are] some unique impacts that are happening to the railroad that aren't reflective of the U.S. or global economy." Click to EnlargeThe Q2 numbers from CSX confirm it. Earnings of $1.08 per share of CSX stock were up 7% year-over-year. However, they fell short of the $1.11 analysts were modeling. Revenue of $3.08 billion missed analysts' forecasts as well. Total freight volumes fell 4%. Additionally, intermodal volumes -- accounting for 40% of the company's total volume -- dropped 10% YOY.The American Association of Railroads' data says it wasn't just CSX either. Intermodal traffic snapped back for the past couple of weeks, but somehow remains below 2018's impressive year-to-date levels. Conflicting Data a Source of ConfusionMuch of that weakness became evident by other measures in the meantime. Industrial production stagnated in June. GDP fell during the second quarter rather dramatically. Import prices fell in June by the most they've fallen in six months. New tariffs grinded away at purchases of foreign-made goods.Worse yet, many of those goods which would arrive and be transported in intermodal containers. Union Pacific CEO Lance Fritz argued the same, commenting, "We definitely see a trade impact on our grain exports."Still, not all is harrowing. The United States' unemployment rate remains near multi-year record lows, while wages continue to make their way to record highs. The average consumer appears to be doing just fine despite the impact of tariffs.It's a nuance that wasn't lost on Foote. He added to his assessment, "We are seeing a range of conflicting data points and economic indicators and regularly speak with customers who despite the recent downtime and slowdown, remain cautiously optimistic about the second half." Seasonal, Cyclical Lull Should Rebound SoonFoote's addendum may have been even more insightful than it initially appeared.Rail-shipping prices have been in decline since March, jibing with the notion that demand is slipping. Intermodal shipping rates have been particularly troubling. They slid from a peak of $151.90 (per mile) in March to June's level of $142. Based on rail transportation standards, that's a significant decline.There's a footnote that must be added to the discussion though…two of them actually.One is that intermodal prices reliably slump through June, but just as reliably recover beginning in August. Cass Information Systems plots the annual path of price changes. The company verified that shipping rates for intermodal containers have rebounded from pullbacks early in the year in each of the prior three years. Click to EnlargeSecond, intermodal shipping prices are falling, but they're falling back from an unusually strong surge in 2017 and 2018. President Trump drove this dynamic using raw willpower to create economic growth. Further price pullbacks would merely pull prices back to more sustainable levels.Though it's a backdrop that should soothe investors fearing the worst lies ahead, the scenario still poses problems. Namely, it suggests that any seasonal recovery might not start promptly in June. And even if it does, it may feel like a half-hearted rebound. Click to EnlargeIt matters simply because investors are comparing CSX to year-ago results that weren't likely to be sustained no matter how robust the economy was or is. Trade impasses aren't abating either.There's nothing in the mix that spells outright doom for the CSX stock price though; just a lot of turbulence ahead. CSX Stock Price OutlookThat turbulence of late has leaned bearishly. However, it's possible that the performance of the CSX stock price could dramatically worsen before it improves.The post-earnings pullback dragged CSX stock to a long-established support line, but no further. The bulls are trying to stage a rebound effort here. If they fail though, there's not a meaningful support level again until the late-2018 low of $58. Even then, there's no assurance any selling will abate there. The optics, if nothing else, look bad. Click to EnlargeThe chart and some important news have synced up time-wise. Investors appear content to keep the CSX stock price where it is while they wait and see.Check the American Association of Railroads and the Cass Information Systems data often between now and the next earnings report. If there's no meaningful proof of life by the end of August, it's going to be tough to stick with any long CSX positions.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 5G Stocks to Connect Your Portfolio To * 7 Stocks to Sell This Summer Earnings Season * 6 Upcoming IPOs for July The post This Month Could Make or Break CSX Stock, in More Ways Than One appeared first on InvestorPlace.
OMAHA, Neb., July 25, 2019 /PRNewswire/ -- Union Pacific Corporation (UNP) announced that its Board of Directors today voted to increase the quarterly dividend on the Company's common shares by 10 percent to 97 cents per share. Union Pacific has paid dividends on its common stock for 120 consecutive years. "The dividend increase demonstrates our continued confidence in Union Pacific's ability to grow cash returns for our shareholders," said Rob Knight, Union Pacific chief financial officer.