In this study, a rail dynamic vibration absorber with negative stiffness is developed to reduce the vibration transmission and radiated noise from the rail components of a ballasted track. The compound models of the ballasted track system with and without the proposed dynamic vibration absorber and a traditional dynamic vibration absorber are constructed. A parametric study is performed to evaluate the effects of the design parameters of the proposed dynamic vibration absorber on the vibration and noise reduction of the track system in terms of the point receptance, the decay rate of rail vibration along the track, and the vibration energy level of the rail. Compared with the traditional dynamic vibration absorber, the proposed counterpart can work effectively over a broad frequency range around resonance. The efficiency of the dynamic vibration absorber can be improved by adjusting the design values of the active mass and damping coefficient. A comparison with the traditional dynamic vibration absorber shows that the vibration and noise suppression capability of the proposed one can be enhanced by increasing the value of the stiffness ratio. However, different from the traditional dynamic vibration absorber, the design parameters of the proposed one can also affect the decay rate and vibration energy at low-frequency regions. A discrete track with the proposed dynamic vibration absorber, which is arranged in continuous or discrete distribution along the rail, is illustrated to study the influences of the rail components on the decay rate and vibration energy level of rails. These calculated results could provide a theoretical basis for the design of the proposed dynamic vibration absorber in controlling the vibration and radiated noise from rails.