Analyzing EuroDry (NASDAQ:EDRY) and Heidmar Maritime (NASDAQ:HMR)

Heidmar Maritime (NASDAQ:HMR) and EuroDry (NASDAQ:EDRY) are both small-cap transportation companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, analyst recommendations, dividends, valuation, risk, institutional ownership and earnings.

Analyst Recommendations

This is a summary of current recommendations and price targets for Heidmar Maritime and EuroDry, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Heidmar Maritime	2	0	1	0	1.67
EuroDry	1	0	1	1	2.67

Heidmar Maritime currently has a consensus price target of $3.00, indicating a potential upside of 257.14%. EuroDry has a consensus price target of $23.50, indicating a potential upside of 20.02%. Given Heidmar Maritime’s higher probable upside, equities research analysts plainly believe Heidmar Maritime is more favorable than EuroDry.

Insider and Institutional Ownership

2.4% of EuroDry shares are owned by institutional investors. 51.4% of EuroDry shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

Heidmar Maritime has a beta of -2.36, indicating that its stock price is 336% less volatile than the S&P 500. Comparatively, EuroDry has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500.

Profitability

This table compares Heidmar Maritime and EuroDry’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Heidmar Maritime	-40.20%	-19.19%	-6.17%
EuroDry	-8.16%	-6.83%	-3.31%

Earnings & Valuation

This table compares Heidmar Maritime and EuroDry”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Heidmar Maritime	$55.85 million	0.88	-$22.56 million	($0.39)	-2.15
EuroDry	$52.26 million	1.08	-$4.26 million	($1.57)	-12.47

EuroDry has lower revenue, but higher earnings than Heidmar Maritime. EuroDry is trading at a lower price-to-earnings ratio than Heidmar Maritime, indicating that it is currently the more affordable of the two stocks.

Summary

EuroDry beats Heidmar Maritime on 10 of the 14 factors compared between the two stocks.

About Heidmar Maritime

Heidmar Maritime Holdings Corp. provides commercial and pool management services to the dry bulk, crude oil, and refined petroleum product tanker markets worldwide. It offers tanker pool and commercial management, dry bulk pool and commercial management, and fuel services. The company also operates a platform to invest in tanker or drybulk vessels offering a range of customized services for the investor, as well as engages in the sale and purchase of second-hand vessels and newbuilds in the tanker and drybulk sectors. In addition, it develops and operates eFleetWatch, a digital platform in the commercial management space, which provides pool partners with access to the data that they require for their own reporting and monitoring of their vessels. The company was founded in 1984 and is based in Piraeus, Greece.

About EuroDry

EuroDry Ltd., through its subsidiaries, provides ocean-going transportation services worldwide. It owns and operates a fleet of drybulk carriers that transport major bulks, such as iron ore, coal, and grains; and minor bulks, including bauxite, phosphate, and fertilizers. The company fleet consisted of 13 drybulk carriers comprising five Panamax drybulk carriers, two Kamsarmax, five Ultramax drybulk carriers, and one Supramax drybulk carrier with a total cargo carrying capacity of 918,502 dwt. EuroDry Ltd. was incorporated in 2018 and is based in Marousi, Greece.