Movers and SHAKERS
Pangaea Logistics Solutions Ltd. (PANL)
Solid Finish to 2020 and New Year Starting on Good Note
Pangaea Logistics Solutions Ltd and its subsidiaries provide seaborne drybulk transportation services. It transports drybulk cargos including grains, coal, iron, ore, pig, iron, hot briquetted iron, bauxite, alumina, cement clinker, dolomite and limestone. The firm's services include cargo loading, cargo discharge, vessel chartering, voyage planning and technical vessel management. The company derives all of its revenues from contracts of affreightment, voyage charters and time charters. Its strategy depends on focusing on increasing strategic contracts of affreightment, expanding capacity and flexibility by increasing its owned fleet and increasing backhaul focus and fleet efficiency.
Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
4Q2020 results above expectations and a solid finish to a challenging year. Unique and consistent business model delivered high TCE rate outperformance of more than $4.4k/day, and adjusted 4Q2020 EBITDA of $12.9 million was above expectations of $12.0 million. While down from $15.1 million in 3Q2020 and $13.5 million in 4Q2019, quarterly results were positive since there is typically a seasonal falloff and shipping days were 7% lower versus last year.
Revising 2021 EBITDA estimate to $53.5 million based on TCE rates of $15,812/day and total shipping days of 19,260. Looking into this year, we believe that the prospects look very good for the dry bulk market, with recovering demand, lower trade tension and muted supply growth. The fleet renewal program should also have a positive impact and help capture upside potential ...
This Company Sponsored 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.