5-Star Stocks Poised to Pop: CSX

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, railroad operator CSX (NYS: CSX) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at CSX's business and see what CAPS investors are saying about the stock right now.

CSX facts

Headquarters (founded)Jacksonville, Fla. (1978)
Market Cap$22.4 billion
IndustryRailroads
Trailing-12-Month Revenue$11.7 billion
ManagementCEO Oscar Munoz
CFO Fredrik Eliasson
Return on Equity (average, past 3 years)17.5%
Cash/Debt$1.3 billion / $9.2 billion
Dividend Yield2.2%
CompetitorsBurlington Northern Santa Fe
Norfolk Southern
Union Pacific

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 2,018 members who have rated CSX believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those Fools, chicagoadvisor, succinctly summed up the bull case for our community:

A healthy railroad that will ride in the continued North American rail consolidation and economic expansion. Coal story is oversold, about 11% of earnings are driven by electricity generation in US, these same plants will continue to operate. CSX will continue to diversify its business and maybe hookup with [Norfolk Southern]. I like it. I own it.   

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong five-star rating, CSX may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2012." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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