CSX Shares Soar 5.46% on Labor Deal, BofA Price Target Hike

CSX Corporation (CSX) shares surged 5.46% today, reaching their highest level since March 2025 with an intraday gain of 6.33%.

The strategy of buying CSX shares after they reached a recent high and holding for 1 week resulted in a 39.63% total return over the past 5 years. This outperformed the market, demonstrating the effectiveness of this strategy in capturing significant gains following short-term peaks.

CSX has recently reached a tentative agreement with the Brotherhood of Locomotive Engineers and Trainmen (BLET), covering about 3,400 locomotive engineers. This development is significant as it addresses potential labor issues that could have impacted the company's operations and stock performance. The resolution of these labor disputes is expected to provide a more stable operational environment, which could positively influence investor sentiment and the stock's trajectory.

In addition to the labor agreement, Bank of America (BofA) has raised its price target for CSX from $30 to $31. This adjustment reflects a potentially favorable outlook for the company following the resolution of labor issues. The increased price target suggests that analysts are optimistic about CSX's future performance, which could further boost investor confidence and drive the stock price higher.