Is CSX Corporation (CSX) One of the Best Large Cap Stocks to Buy Under $50?

CSX Corporation (NASDAQ:CSX) is one of the best large cap stocks to buy under $50. On January 23, Evercore ISI reduced its price target for CSX to $40 from $41 while keeping an Outperform rating. Although Q4 2025 EPS fell short of expectations, the firm noted that 2026 margin prospects offer a silver lining and suggested that potential margin improvements may offset revenue and earnings misses.

On the same day, Bernstein reduced the price target for CSX from $37 to $36 with a Market Perform rating. The firm noted that CSX reported a headline EPS miss of 6% due to lower-than-expected revenue, though the miss narrowed to 2% when adjusting for one-time items. With the company’s guidance implying operating earnings 3% below Street forecasts, Bernstein lowered its projections while slightly increasing its valuation multiple, ultimately concluding that the stock appears fully valued.

Additionally, Citi also cut its price target for CSX Corporation (NASDAQ:CSX) to $41 from $42 with a Buy rating after the company’s Q4 2025 report. The firm noted that a cautious macroeconomic and demand environment constrained the 2026 outlook, but it anticipates share appreciation once demand begins to recover.

CSX Corporation (NASDAQ:CSX), together with its subsidiaries, provides rail-based freight transportation services in the US and Canada. It operates through two segments: rail and trucking.

While we acknowledge the potential of CSX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.