Is CSX Corp. overvalued or undervalued?

As of 17 October 2025, the valuation grade for CSX Corp. has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, with a P/E ratio of 18, a Price to Book Value of 4.97, and an EV to EBITDA of 11.70. In comparison, Union Pacific Corp. has a P/E ratio of 34.67 and Norfolk Southern Corp. has a P/E of 20.78, both highlighting the elevated valuation of CSX relative to its peers.
Despite a recent strong performance, with a 1-week return of 3.13% compared to the S&P 500's 1.70%, CSX's long-term returns have lagged significantly, particularly over the past 5 years where it has declined by 54.31% versus the S&P 500's 91.29% gain. This discrepancy further supports the conclusion that CSX Corp. is currently overvalued.