CSX's "Operational Challenges"

Plus, Alcoa's $20 million tariff pain.

April 17, 2025

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Today is Thursday, April 17, 2025.

The Early Bird Index today is 63.57

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CSX's "Operational Challenges"

Rail transportation company CSX $CSX ( ▼ 0.77% ) ticked down 0.037% in after-hours trading on Wednesday after posting disappointing financial earnings results.

Financials: CSX reported earnings of 34 cents per share and revenue of $3.42 billion in the last quarter; both were lower than expected.

Powering the Story: CSX said it “faced operational challenges to start the year.” Total volume dropped 1%. There was also a decrease in coal revenue.

Early Bird’s Nest Egg Gains: CSX’s complaints provide insight into broader economic and industry trends, reflecting both sector-specific and macroeconomic pressures.

  • Operational disruptions can ripple through supply chains and challenge business planning across industries.

  • Persistent softness in manufacturing and coal—a trend for two years—continues to weigh on rail volumes.

Final Thoughts: Shares of CSX are down nearly 15% this year as the economy heads towards a potential recession.

Notables

Notable Earnings Today: UnitedHealth Group (NYSE: UNH), Netflix (Nasdaq: NFLX), American Express (NYSE: AXP), Huntington Banc (Nasdaq: HBAN), Regions Financial (NYSE: RF), KeyCorp (NYSE: KEY), Snap-On (NYSE: SNA), Texas Capital (Nasdaq: TCBI), D.R. Horton (NYSE: DHI), Ally Financial (NYSE: ALLY), Fifth Third (Nasdaq: FITB), Badger Meter (NYSE: BMI), Hooker Furnishings (Nasdaq: HOFT), Insteel Industries (NYSE: IIIN), Manpower (NYSE: MAN), State Street (NYSE: STT), Truist (NYSE: TFC).

Notable IPOs Today: AIRO Group Holdings, Inc. Common Stock (Nasdaq: AIRO), Everbright Digital Holding Limited Ordinary Shares (Nasdaq: EDHL), Fitness Champs Holdings Limited Common Stock (Nasdaq: FCHL), NewHold Investment Corp III Class A Ordinary shares (Nasdaq: NHIC).

Notable Equity Crowdfunding Campaigns Ending Today: Swizzle Market (Honeycomb), Sweet Tea's Beauty Supply (Honeycomb), Morari (Wefunder), Kinzua Canine (Honeycomb).

Notable Economic Events Today: Jobless Claims (8:30 a.m. ET), Philadelphia Fed Manufacturing Index (8:30 a.m. ET), Philly Fed Employment (8:30 a.m. ET), Housing Starts (8:30 a.m. ET), Building Permits (8:30 a.m. ET).

Alcoa's $20 Million Tariff Pain

Aluminum producer Alcoa $AA ( ▼ 2.62% ) fell 1.48% in after-hours trading on Wednesday after reporting mixed financial earnings results.

Financials: Alcoa reported earnings of $2.15 per share in the past quarter, which were better than expected. But revenue was just $3.3 billion, which was lower than expected.

Powering the Story: Investors were concerned when the company said on Wednesday it incurred about $20 million in tariff costs on the imports of aluminum from Canada. Ouch!

Final Thoughts: This isn’t the last time we’ll hear about tariffs taking a financial toll on companies.

Solana Jumps Amid Canada ETF Launch

The price of the cryptocurrency Solana $SOL.X ( ▲ 5.02% ) jumped about 3% on Wednesday as Purpose Investments launched the world’s first spot Solana ETF in Canada, which provides investors with direct physical exposure to Solana.

Final Thoughts: As bad as the crypto markets have been lately, Solana is up 2% in the last 30 days. 

Bad for Homebuyers: Zillow’s Nasty New War (Business Insider)

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The contents of Early Bird are intended for informational and entertainment purposes only. They do not constitute trade or investment recommendations and they are not financial or legal advice. Readers are encouraged to consult licensed professionals for personalized guidance regarding their financial or legal situations.