Analyzing Stadler Rail (OTC:SRAIF) and CSX (NASDAQ:CSX)

Stadler Rail (OTC:SRAIF) and CSX (NASDAQ:CSX) are both industrials companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, valuation, earnings, risk and dividends.

Analyst Recommendations

This is a summary of current ratings and price targets for Stadler Rail and CSX, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stadler Rail	0	0	0	0	N/A
CSX	0	6	12	0	2.67

CSX has a consensus price target of $38.61, indicating a potential upside of 14.95%. Given CSX’s higher possible upside, analysts clearly believe CSX is more favorable than Stadler Rail.

Earnings and Valuation

This table compares Stadler Rail and CSX”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stadler Rail	N/A	N/A	N/A	N/A	N/A
CSX	$14.68 billion	4.47	$3.72 billion	$1.82	18.46

CSX has higher revenue and earnings than Stadler Rail.

Institutional and Insider Ownership

73.6% of CSX shares are owned by institutional investors. 0.6% of CSX shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Stadler Rail and CSX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stadler Rail	N/A	N/A	N/A
CSX	24.52%	29.11%	8.48%

Summary

CSX beats Stadler Rail on 8 of the 8 factors compared between the two stocks.

About Stadler Rail

Stadler Rail AG, through its subsidiaries, engages in the manufacture and sale of trains in Switzerland, Germany, Austria, Western and Eastern Europe, the Americas, the CIS countries, and internationally. It operates through three segments: Rolling Stock; Service & Components; and Signalling. The Rolling Stock segment manufactures various rail vehicles comprising high-speed, intercity, city transport, locomotives, tailor-made, and regional trains, as well as passenger coaches, light rails, and trams. The Service and Component segment provides revision, spare parts, vehicle repair, modernization and overhauling, and maintenance services; and supplies vehicle components, such as car bodies or bogies. The Signalling segment develops and distributes various signalling solutions for vehicles and infrastructures. This segment offers various solutions in the areas of train protection, communication-based train control for driverless operation, automatic train operation, driving assistance systems, interlocking technologies, and other trackside components for automatic train protection system, as well as services for the planning and implementation of security systems. Stadler Rail AG was founded in 1942 and is headquartered in Bussnang, Switzerland.

About CSX

CSX Corporation, together with its subsidiaries, provides rail-based freight transportation services. The company offers rail services; and transportation of intermodal containers and trailers, as well as other transportation services, such as rail-to-truck transfers and bulk commodity operations. It also transports chemicals, agricultural and food products, minerals, automotive, forest products, fertilizers, and metals and equipment; and coal, coke, and iron ore to electricity-generating power plants, steel manufacturers, and industrial plants, as well as exports coal to deep-water port facilities. In addition, the company provides intermodal services through a network of approximately 30 terminals transporting manufactured consumer goods in containers; and drayage services, including the pickup and delivery of intermodal shipments. It serves the automotive industry with distribution centers and storage locations, as well as connects non-rail served customers through transferring products, such as plastics and ethanol from rail to trucks. The company operates approximately 20,000 route mile rail network, which serves various population centers in 26 states east of the Mississippi River, the District of Columbia, and the Canadian provinces of Ontario and Quebec, as well as owns and leases approximately 3,500 locomotives. It serves production and distribution facilities through track connections. CSX Corporation was incorporated in 1978 and is headquartered in Jacksonville, Florida.