Movers and SHAKERS
Genco Shipping & Trading Limited (GNK)
In Line Quarter and New Acquisitions Have Positive Impact
Genco Shipping & Trading Limited, incorporated on September 27, 2004, transports iron ore, coal, grain, steel products and other drybulk cargoes along shipping routes through the ownership and operation of drybulk carrier vessels. The Company is engaged in the ocean transportation of drybulk cargoes around the world through the ownership and operation of drybulk carrier vessels. As of December 31, 2016, its fleet consisted of 61 drybulk carriers, including 13 Capesize, six Panamax, four Ultramax, 21 Supramax, two Handymax and 15 Handysize drybulk carriers, with an aggregate carrying capacity of approximately 4,735,000 deadweight tons (dwt). Of the vessels in its fleet, 15 are on spot market-related time charters, and 27 are on fixed-rate time charter contracts. As of December 31, 2016, additionally, 19 of the vessels in its fleet were operating in vessel pools.
Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
2Q2021 EBITDA of $50.6 million and TCE rates of $21.1k/day in line with estimates. Call with management today at 8:30am EST and number is 323-289-6581. Three new Ultra acquisitions and another Supra sale were announced. Also, a new $450 million credit facility (term loan of $150 million and revolver of $300 million) has been lined up. We expect the call will highlight solid 3Q2021 forward cover and good progress on shifting toward the new capital allocation strategy that includes paying variable dividends in 1Q2022.
Increasing 2021 EBITDA estimate to $203 million based on TCE rates of $20.7k/day from $200 million and TCE rates of $20.2k/day. 3Q2021 forward cover is high with Capes 66% booked at $31.3k/day and Ultras/Supras 75% booked at $25.3k/day. Three new time charters signed, but visibility is limited beyond one quarter out ...
This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.