Genco Shipping & Trading Limited
The shipping industry faces a number of challenging headwinds. Quicker turnaround times make on-shoring an attractive proposition. Chinese wages continue to rise and it is expected that in 2015 productivity adjusted Mexican wages will be lower than Chinese wages. If a significant number of factories are moved to Mexico or the United States then this would be negative factor for pacific trade volumes. Geopolitical conflicts should not be ignored; the more »
A "Perfect Storm" of factors has gathered that has shipping stocks sailing higher in recent trading.
While The Great Recession sank many shipping companies, others have started to recover. Over the last month of market action, Frontline Inc (NYSE: FRO) and Starbulk Carriers (NASDAQ: SBLK) were both up more than 20%. For the last four weeks, Costamare Inc. (NYSE: CMRE) rose by 18.93%. Genco Shipping & Trading (NYSE: GNK) jumped more »
The tanker business remains challenged, with Nordic American Tankers (NYSE: NAT) issuing a warning about its third quarter results Tuesday. CEO Herbjorn Hansson authored a letter to shareholders, letting investors know that the third quarter will be worse than the second quarter. He noted that he is not sure when the industry tide will turn and that industry fundamentals continue to languish. Hansson also mentioned that the firm has identified more »
The price of a security divided by its book value is, as a valuation metric, overvalued. Many stock valuation models are (at least partly) based on this ratio, but this does not mean that a causal relationship exists between high future returns and low P/B ratios. There are many factors that influence the usefulness of the P/B ratio when analyzing non-financial publicly traded companies.
Book value more »
‘Will my company still be around in 2 years’ is a question every investor in dry bulk shipping should ask himself. The industry has had some misfortune with many new ships entering the market in the last few years while demand for those ships lags because of a global economic cool down. The nature of the industry causes a very dramatic decrease in shipping rates as the bottom is somewhere more »