Genco Shipping & Trading (NYSE:GNK) Shares Up 6% – Should You Buy?

Shares of Genco Shipping & Trading Limited (NYSE:GNK) shot up 6% on Tuesday . The company traded as high as $24.79 and last traded at $24.9750. 182,677 shares were traded during trading, a decline of 55% from the average daily volume of 403,978 shares. The stock had previously closed at $23.57.

Analyst Ratings Changes

Several equities research analysts recently issued reports on GNK shares. Weiss Ratings raised Genco Shipping & Trading from a “hold (c-)” rating to a “hold (c)” rating in a research note on Friday, May 8th. Alliance Global Partners reaffirmed a “neutral” rating on shares of Genco Shipping & Trading in a research note on Wednesday, June 17th. Zacks Research downgraded Genco Shipping & Trading from a “strong-buy” rating to a “hold” rating in a report on Monday, March 30th. Finally, Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and issued a $29.00 target price on shares of Genco Shipping & Trading in a report on Friday, May 8th. Two research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $23.67.

Genco Shipping & Trading Stock Performance

The firm has a 50-day simple moving average of $24.15 and a two-hundred day simple moving average of $22.04. The company has a current ratio of 2.98, a quick ratio of 2.41 and a debt-to-equity ratio of 0.36. The company has a market capitalization of $1.09 billion, a price-to-earnings ratio of 66.12, a price-to-earnings-growth ratio of 3.42 and a beta of 0.95.

Genco Shipping & Trading (NYSE:GNK) last issued its quarterly earnings data on Wednesday, May 6th. The shipping company reported $0.26 earnings per share for the quarter, beating the consensus estimate of $0.07 by $0.19. The firm had revenue of $114.43 million for the quarter, compared to analyst estimates of $65.73 million. Genco Shipping & Trading had a net margin of 4.38% and a return on equity of 2.49%. The company’s revenue for the quarter was up 60.6% on a year-over-year basis. During the same quarter last year, the firm earned ($0.28) earnings per share. As a group, sell-side analysts forecast that Genco Shipping & Trading Limited will post 1.81 earnings per share for the current fiscal year.

Genco Shipping & Trading Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, May 26th. Shareholders of record on Monday, May 18th were given a dividend of $0.35 per share. This represents a $1.40 annualized dividend and a yield of 5.6%. The ex-dividend date of this dividend was Monday, May 18th. Genco Shipping & Trading’s dividend payout ratio is presently 368.42%.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in GNK. XY Capital Ltd bought a new stake in shares of Genco Shipping & Trading during the fourth quarter worth $425,000. American Century Companies Inc. lifted its position in Genco Shipping & Trading by 4.0% during the 3rd quarter. American Century Companies Inc. now owns 1,611,227 shares of the shipping company’s stock worth $28,680,000 after buying an additional 62,030 shares in the last quarter. Graham Capital Wealth Management LLC acquired a new position in Genco Shipping & Trading during the 4th quarter worth about $1,742,000. Citigroup Inc. grew its holdings in Genco Shipping & Trading by 727.6% during the 3rd quarter. Citigroup Inc. now owns 215,412 shares of the shipping company’s stock worth $3,834,000 after acquiring an additional 189,383 shares during the last quarter. Finally, CSM Advisors LLC increased its position in Genco Shipping & Trading by 18.4% in the 3rd quarter. CSM Advisors LLC now owns 351,045 shares of the shipping company’s stock valued at $6,248,000 after acquiring an additional 54,575 shares in the last quarter. Institutional investors and hedge funds own 58.62% of the company’s stock.

About Genco Shipping & Trading

Genco Shipping & Trading Limited is a leading global owner and operator of drybulk vessels, providing seaborne transportation services for major commodities such as iron ore, coal, grain and fertilizers. The company’s fleet comprises Capesize, Panamax and Supramax vessels, which are chartered to a broad base of international charterers under both spot and period contracts. Genco’s focus on modern, fuel-efficient tonnage supports reliable cargo delivery across a variety of trade routes and market conditions.

In addition to vessel ownership and operation, Genco offers ship management, maintenance and technical support services designed to maximize fleet performance and safety.