Genco Shipping & Trading Limited [NYSE: GNK] stock went on an upward path that rose over 10.44% on Wednesday, amounting to a one-week price increase of more than 23.43%. The company report on April 21, 2021 that Genco Shipping & Trading Limited to Acquire Modern, Fuel-Efficient Ultramax Vessel.
Genco Shipping & Trading Limited (NYSE:GNK) (“Genco”) announced that it has entered into an agreement to acquire a 2016-built 64,000 dwt Ultramax vessel constructed at Zhejiang Yangfan shipyard in China. The vessel, to be renamed Genco Enterprise, is expected to be delivered to Genco between May and July 2021.
This purchase marks the fourth high specification, fuel-efficient Ultramax vessel that Genco has agreed to acquire since December 2020, further expanding our core Ultramax presence. Genco intends to fund the acquisition from cash on the balance sheet on a low leverage basis in line with our new comprehensive value strategy.
Over the last 12 months, GNK stock rose by 139.97%. The one-year Genco Shipping & Trading Limited stock forecast points to a potential downside of -4.96. The average equity rating for GNK stock is currently 1.90, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $555.77 million, with 41.93 million shares outstanding and 29.47 million shares in the current float. Compared to the average trading volume of 814.08K shares, GNK stock reached a trading volume of 1804290 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Genco Shipping & Trading Limited [GNK]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for GNK shares is $13.10 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on GNK stock is a recommendation set at 1.90. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
DNB Markets have made an estimate for Genco Shipping & Trading Limited shares, keeping their opinion on the stock as Buy, with their previous recommendation back on July 29, 2020. The new note on the price target was released on March 09, 2020, representing the official price target for Genco Shipping & Trading Limited stock. Previously, the target price had yet another raise to $22, while Maxim Group analysts kept a Buy rating on GNK stock.
The Average True Range (ATR) for Genco Shipping & Trading Limited is set at 0.70, with the Price to Sales ratio for GNK stock in the period of the last 12 months amounting to 1.56. The Price to Book ratio for the last quarter was 0.77, with the Price to Cash per share for the same quarter was set at 3.56. Price to Free Cash Flow for GNK in the course of the last twelve months was 24.59 with Quick ratio for the last quarter at 2.00.
GNK Stock Performance Analysis:
Genco Shipping & Trading Limited [GNK] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 23.43. With this latest performance, GNK shares gained by 16.72% in over the last four-week period, additionally plugging by 90.97% over the last 6 months – not to mention a rise of 139.97% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for GNK stock in for the last two-week period is set at 74.45, with the RSI for the last a single of trading hit 81.37, and the three-weeks RSI is set at 70.04 for Genco Shipping & Trading Limited [GNK]. The present Moving Average for the last 50 days of trading for this stock 10.81, while it was recorded at 12.38 for the last single week of trading, and 8.12 for the last 200 days.
Insight into Genco Shipping & Trading Limited Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Genco Shipping & Trading Limited [GNK] shares currently have an operating margin of +1.75 and a Gross Margin at +10.03. Genco Shipping & Trading Limited’s Net Margin is presently recorded at -63.44.
Return on Total Capital for GNK is now 0.47, given the latest momentum, and Return on Invested Capital for the company is -17.95. Return on Equity for this stock declined to -26.18, with Return on Assets sitting at -16.34. When it comes to the capital structure of this company, Genco Shipping & Trading Limited [GNK] has a Total Debt to Total Equity ratio set at 60.32. Additionally, GNK Total Debt to Total Capital is recorded at 37.63, with Total Debt to Total Assets ending up at 36.45. Long-Term Debt to Equity for the company is recorded at 49.26, with the Long-Term Debt to Total Capital now at 30.73.
Reflecting on the efficiency of the workforce at the company, Genco Shipping & Trading Limited [GNK] managed to generate an average of -$234,972 per employee. Receivables Turnover for the company is 23.20 with a Total Asset Turnover recorded at a value of 0.26.Genco Shipping & Trading Limited’s liquidity data is similarly interesting compelling, with a Quick Ratio of 2.00 and a Current Ratio set at 2.20.
GNK Stock EPS
With the latest financial reports released by the company, Genco Shipping & Trading Limited posted -0.17/share EPS, while the average EPS was predicted by analysts to be reported at -0.19/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 10.50%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for GNK.
Genco Shipping & Trading Limited [GNK] Insider Position Details
There are presently around $431 million, or 76.60% of GNK stock, in the hands of institutional investors. The top three institutional holders of GNK stocks are: CENTERBRIDGE PARTNERS, L.P. with ownership of 10,214,642, which is approximately -2.594% of the company’s market cap and around 1.00% of the total institutional ownership; STRATEGIC VALUE PARTNERS, LLC, holding 8,165,428 shares of the stock with an approximate value of $112.28 million in GNK stocks shares; and APOLLO MANAGEMENT HOLDINGS, L.P., currently with $60.24 million in GNK stock with ownership of nearly -19.108% of the company’s market capitalization.
Positions in Genco Shipping & Trading Limited stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 43 institutional holders increased their position in Genco Shipping & Trading Limited [NYSE:GNK] by around 1,942,589 shares. Additionally, 32 investors decreased positions by around 3,929,444 shares, while 17 investors held positions by with 25,457,090 shares. The mentioned changes placed institutional holdings at 31,329,123 shares, according to the latest SEC report filing. GNK stock had 17 new institutional investments in for a total of 878,637 shares, while 8 institutional investors sold positions of 199,438 shares during the same period.