First-Quarter Operating Cash Flows of Major US Railroads

After examining major US railroads’ EPS, let’s look now at their operating cash flows in the first quarter. The level of operating cash flow reflects a railroad’s immediate health. Cash flow is a vital factor that enables a company to pay its current expenses. Major components of these expenses include employee costs and servicing of debts. So a railroad’s cash flow statement is an important financial statement for lenders and investors who want to invest in railroad stocks.