Torm (NASDAQ:TRMD) Reaches New 1-Year High – Time to Buy?

Shares of Torm Plc (NASDAQ:TRMD) reached a new 52-week high during trading on Wednesday. The stock traded as high as $42.64 and last traded at $41.79, with a volume of 760,972 shares changing hands. The stock had previously closed at $40.37.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the stock. Wall Street Zen raised shares of Torm from a “buy” rating to a “strong-buy” rating in a research note on Saturday, September 19th. Weiss Ratings upgraded Torm from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, October 9th. Finally, Evercore reaffirmed an “outperform” rating on shares of Torm in a research note on Tuesday. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has given a Hold rating to the company. According to MarketBeat, the company has an average rating of “Buy” and a consensus price target of $38.00.

Torm Price Performance

The company’s 50 day simple moving average is $36.17 and its 200 day simple moving average is $30.28. The company has a current ratio of 2.27, a quick ratio of 1.97 and a debt-to-equity ratio of 0.33. The stock has a market capitalization of $4.26 billion, a PE ratio of 6.88 and a beta of 0.07.

Torm (NASDAQ:TRMD) last announced its quarterly earnings data on Wednesday, August 26th. The company reported $3.25 EPS for the quarter, missing analysts’ consensus estimates of $3.31 by ($0.06). Torm had a net margin of 35.51% and a return on equity of 27.24%. The business had revenue of $662.80 million during the quarter, compared to analysts’ expectations of $499.01 million.

Torm Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 24th. Shareholders of record on Thursday, September 10th were issued a $2.40 dividend. This is a positive change from Torm’s previous quarterly dividend of $0.70. The ex-dividend date was Thursday, September 10th. This represents a $9.60 annualized dividend and a yield of 23.0%. Torm’s dividend payout ratio (DPR) is presently 115.49%.

Insider Activity at Torm

In other news, CFO Kim Balle sold 20,000 shares of the company’s stock in a transaction dated Friday, September 18th. The shares were sold at an average price of $39.16, for a total transaction of $783,200.00. Following the completion of the transaction, the chief financial officer owned 23,043 shares of the company’s stock, valued at $902,363.88. This represents a 46.47% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Over the last three months, insiders have sold 42,533 shares of company stock worth $1,643,225. Corporate insiders own 0.37% of the company’s stock.

Institutional Investors Weigh In On Torm

Several hedge funds have recently modified their holdings of the stock. Sei Investments Co. acquired a new position in Torm during the first quarter worth approximately $7,705,000. Assenagon Asset Management S.A. purchased a new position in shares of Torm in the 2nd quarter worth $2,632,000. Bank of America Corp DE increased its stake in Torm by 209.8% during the first quarter. Bank of America Corp DE now owns 130,421 shares of the company’s stock worth $3,639,000 after acquiring an additional 88,318 shares during the last quarter. Lazard Asset Management LLC acquired a new stake in Torm during the first quarter worth about $1,819,000. Finally, Public Employees Retirement System of Ohio grew its holdings in shares of Torm by 153.8% during the 1st quarter. Public Employees Retirement System of Ohio now owns 78,203 shares of the company’s stock worth $2,190,000 after purchasing an additional 47,386 shares during the period. 73.89% of the stock is owned by institutional investors and hedge funds.

Torm Company Profile

TORM plc is a maritime transportation company that owns and operates a fleet of product tankers. The company primarily transports refined petroleum products, including gasoline, diesel, jet fuel and naphtha, connecting refineries, storage facilities and distribution markets around the world.

TORM’s fleet serves the global clean-product tanker market and includes vessels in several size categories, such as long-range and medium-range tankers. Its vessels operate on international trade routes, supporting the movement of energy products between major production and consumption regions.

Founded in Denmark in 1889, TORM has grown into an international shipping company headquartered in Copenhagen.