CSX vs CoreCivic Which Is Superior?

CSX Corporation and CoreCivic Inc. are two distinct companies operating in different industries. CSX is a transportation company specializing in railroads, while CoreCivic is a real estate investment trust focused on private corrections and detention management services. Both stocks have seen fluctuations in their share prices over the years due to various market conditions and industry-specific factors. Investors should carefully consider the financial performance and outlook of each company before making investment decisions in CSX vs CoreCivic stocks.

CSX or CoreCivic?

When comparing CSX and CoreCivic, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between CSX and CoreCivic.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. CSX has a dividend yield of 1.29%, while CoreCivic has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. CSX reports a 5-year dividend growth of -12.94% year and a payout ratio of 25.19%. On the other hand, CoreCivic reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.18%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with CSX P/E ratio at 19.45 and CoreCivic's P/E ratio at 34.71. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. CSX P/B ratio is 5.47 while CoreCivic's P/B ratio is 1.79.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, CSX has seen a 5-year revenue growth of 0.53%, while CoreCivic's is 0.08%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with CSX's ROE at 28.93% and CoreCivic's ROE at 5.20%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $36.29 for CSX and $23.80 for CoreCivic. Over the past year, CSX's prices ranged from $30.30 to $40.12, with a yearly change of 32.41%. CoreCivic's prices fluctuated between $10.74 and $24.99, with a yearly change of 132.68%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.