Ahead of the Bell: CSX Corp.

NEW YORK (AP) -- CSX slid 5 percent in trading before the opening bell Thursday after posting a 5 percent drop in quarterly profit.

Weak demand for coal continues to weigh on the railroad, but an improving economy has begun to boost overall demand for shipping goods.

Stifel Nicolaus stripped the company of 'buy' rating, seeing little in the way potential returns over the next 12 months.

"It is our hope that, sometime during the remainder of 2014, we will see a more attractive entry point for those wishing to establish positions or add to current positions in the company's common shares," wrote analyst John Larkin.

Citi's Christian Wetherbee backed his 'neutral' rating for the stock. He pointed to fourth-quarter growth rates that were basically in line with expectations and attributed the lighter net income to higher expenses.

In premarket trading, CSX shares fell $1.33 to $27.90.