Stock Analysis on Net

CSX Corp. (NASDAQ:CSX)

This company has been moved to the archive! The financial data has not been updated since April 20, 2023.

Debt to Equity 
since 2005

Microsoft Excel

Calculation

CSX Corp., debt to equity, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-30), 10-K (reporting date: 2015-12-25), 10-K (reporting date: 2014-12-26), 10-K (reporting date: 2013-12-27), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-25), 10-K (reporting date: 2008-12-26), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).

1 US$ in millions


Total Debt
The total debt exhibited a generally upward trend over the analyzed period, increasing from US$6,030 million in 2005 to US$18,047 million in 2022. Minor fluctuations occurred, such as a slight dip in 2013, but the overall trajectory indicates a significant growth in debt levels. Notably, a pronounced acceleration in debt levels is observable from 2017 onward, with the debt increasing from approximately US$11,809 million in 2017 to US$18,047 million by 2022.
Shareholders’ Equity
Shareholders’ equity attributable to the company showed variability throughout the years. Starting at US$7,954 million in 2005, it increased to a peak of US$14,705 million in 2017 before declining to US$12,615 million by 2022. The equity figures reveal periods of growth, particularly from 2011 to 2017, followed by a downward trend post-2017, indicating potential impacts on retained earnings or changes due to other comprehensive income or share repurchases. This drop in equity towards the later years contrasts with the continued rise in total debt.
Debt to Equity Ratio
The debt to equity ratio reflects increasing leverage. Initially, it was moderately low at 0.76 in 2005, indicating that the company had relatively balanced debt and equity. This ratio fluctuated over the years, reaching values above 1.0 during multiple periods, which signifies instances when debt exceeded equity. In particular, from 2017 onwards, the ratio increased markedly from 0.80 to 1.43 by 2022, evidencing a rising dependence on debt financing relative to equity. This rising leverage indicates higher financial risk, possibly linked to the growing total debt and declining equity in recent years.
Overall Insights
The analysis reveals a firm progressively increasing its debt levels, especially after 2017, while shareholder equity, after reaching a peak in 2017, subsequently declined. Consequently, the financial leverage as measured by the debt to equity ratio has increased significantly, surpassing 1.0 over several periods and reaching 1.43 in 2022. This pattern suggests a strategic shift or necessity towards greater reliance on debt financing, which could impact the company’s financial stability and risk profile. Careful attention should be given to managing this higher leverage to maintain financial flexibility and mitigate potential risks.

Comparison to Competitors

CSX Corp., debt to equity, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-30), 10-K (reporting date: 2015-12-25), 10-K (reporting date: 2014-12-26), 10-K (reporting date: 2013-12-27), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-25), 10-K (reporting date: 2008-12-26), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).


Comparison to Sector (Transportation)

CSX Corp., debt to equity, long-term trends, comparison to sector (transportation)

Microsoft Excel

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-30), 10-K (reporting date: 2015-12-25), 10-K (reporting date: 2014-12-26), 10-K (reporting date: 2013-12-27), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-25), 10-K (reporting date: 2008-12-26), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).


Comparison to Industry (Industrials)

CSX Corp., debt to equity, long-term trends, comparison to industry (industrials)

Microsoft Excel

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-30), 10-K (reporting date: 2015-12-25), 10-K (reporting date: 2014-12-26), 10-K (reporting date: 2013-12-27), 10-K (reporting date: 2012-12-28), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-25), 10-K (reporting date: 2008-12-26), 10-K (reporting date: 2007-12-28), 10-K (reporting date: 2006-12-29), 10-K (reporting date: 2005-12-30).