Torm (NASDAQ:TRMD) Announces Quarterly Earnings Results, Misses Expectations By $0.15 EPS

Torm (NASDAQ:TRMD) issued its quarterly earnings data on Wednesday. The company reported $1.18 earnings per share for the quarter, missing the consensus estimate of $1.33 by ($0.15), Zacks reports. The firm had revenue of $402.00 million during the quarter, compared to the consensus estimate of $297.43 million. Torm had a net margin of 21.29% and a return on equity of 13.26%.

Here are the key takeaways from Torm’s conference call:

• TORM reported a strong Q1 2026 with TCE of $286 million, EBITDA of $201 million, and net profit of $122 million, driven by firm freight rates and good execution.
• The company raised full-year guidance to $1.15 billion-$1.45 billion of TCE and $800 million-$1.1 billion of EBITDA, citing strong market conditions and near-term visibility.
• TORM said Q2 booking conditions are exceptionally strong, with 57% of earning days already fixed at an average of $71,494 per day, providing substantial earnings visibility.
• The company continued fleet renewal and expansion, including six MR resales agreed after quarter-end, taking the fleet to 103 vessels on a fully delivered basis from 95 at quarter-end.
• TORM declared a $0.70 per share dividend at a 58% payout ratio, noting the lower ratio reflected a temporary $30 million working-capital build from higher freight rates and bunker prices.

Torm Price Performance

Torm stock traded down $1.87 during trading hours on Wednesday, hitting $32.71. 1,840,112 shares of the company traded hands, compared to its average volume of 788,716. The firm has a market cap of $3.34 billion, a P/E ratio of 11.54 and a beta of 0.14. The company has a quick ratio of 1.16, a current ratio of 1.33 and a debt-to-equity ratio of 0.32. The firm’s 50-day simple moving average is $29.43 and its two-hundred day simple moving average is $25.01. Torm has a 1-year low of $15.79 and a 1-year high of $35.33.

Torm Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 11th. Shareholders of record on Thursday, May 28th will be paid a dividend of $0.70 per share. The ex-dividend date of this dividend is Thursday, May 28th. This represents a $2.80 annualized dividend and a yield of 8.6%. Torm’s dividend payout ratio (DPR) is presently 71.83%.

Hedge Funds Weigh In On Torm

Several large investors have recently bought and sold shares of TRMD. Brevan Howard Capital Management LP acquired a new position in Torm during the 2nd quarter valued at about $7,523,000. Barclays PLC grew its stake in shares of Torm by 613.2% in the 3rd quarter. Barclays PLC now owns 206,508 shares of the company’s stock worth $4,258,000 after purchasing an additional 177,551 shares during the last quarter. Millennium Management LLC grew its stake in shares of Torm by 119.5% in the 4th quarter. Millennium Management LLC now owns 252,811 shares of the company’s stock worth $4,950,000 after purchasing an additional 137,648 shares during the last quarter. Voloridge Investment Management LLC grew its stake in shares of Torm by 1,134.7% in the 4th quarter. Voloridge Investment Management LLC now owns 128,792 shares of the company’s stock worth $2,522,000 after purchasing an additional 118,361 shares during the last quarter. Finally, Moore Capital Management LP acquired a new position in shares of Torm in the 3rd quarter worth approximately $2,307,000. Institutional investors and hedge funds own 73.89% of the company’s stock.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on the stock. Evercore set a $35.00 price objective on shares of Torm in a research report on Tuesday, April 21st. Wall Street Zen upgraded shares of Torm from a “hold” rating to a “buy” rating in a research report on Sunday, April 12th. Weiss Ratings reiterated a “hold (c)” rating on shares of Torm in a research report on Friday, April 17th. Finally, Pareto Securities downgraded shares of Torm from a “hold” rating to a “hold” rating in a research report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $35.00.

About Torm

Torm A/S (NASDAQ: TRMD) is an international shipping company specializing in the transportation of refined petroleum products. The firm owns and operates a modern fleet of product tankers, including both Handysize and MR vessels, which are designed to carry a broad range of clean petroleum cargoes such as gasoline, jet fuel and diesel. Torm’s core business revolves around voyage and time-charter contracts with major oil companies, trading houses and other energy sector clients around the world.

The company’s fleet is deployed on global trade routes, with particular focus on major refining and consumption regions in Europe, North America and Asia.