Comparing Euroseas (NASDAQ:ESEA) and Euronav (NYSE:CMBT)

Euronav (NYSE:CMBT) and Euroseas (NASDAQ:ESEA) are both small-cap transportation companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, profitability, institutional ownership, analyst recommendations, valuation, dividends and risk.

Institutional and Insider Ownership

6.3% of Euroseas shares are held by institutional investors. 55.9% of Euroseas shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Euronav and Euroseas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Euronav	117.02%	22.29%	10.17%
Euroseas	54.21%	34.73%	20.86%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Euronav and Euroseas, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Euronav	0	0	0	0	0.00
Euroseas	0	0	1	1	3.50

Euroseas has a consensus price target of $56.50, suggesting a potential upside of 83.68%. Given Euroseas’ stronger consensus rating and higher possible upside, analysts plainly believe Euroseas is more favorable than Euronav.

Risk & Volatility

Euronav has a beta of -0.13, suggesting that its stock price is 113% less volatile than the S&P 500. Comparatively, Euroseas has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Dividends

Euronav pays an annual dividend of $0.52 per share and has a dividend yield of 5.6%. Euroseas pays an annual dividend of $2.60 per share and has a dividend yield of 8.5%. Euronav pays out 11.9% of its earnings in the form of a dividend. Euroseas pays out 16.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Valuation & Earnings

This table compares Euronav and Euroseas”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Euronav	$940.25 million	1.94	$858.03 million	$4.38	2.14
Euroseas	$212.90 million	1.01	$114.55 million	$16.15	1.90

Euronav has higher revenue and earnings than Euroseas. Euroseas is trading at a lower price-to-earnings ratio than Euronav, indicating that it is currently the more affordable of the two stocks.

Summary

Euroseas beats Euronav on 12 of the 17 factors compared between the two stocks.

About Euronav

Euronav NV, together with its subsidiaries, engages in the transportation and storage of crude oil worldwide. The company offers floating, storage, and offloading (FSO) services. It also owns and operates a fleet of vessels. The company was incorporated in 2003 and is headquartered in Antwerp, Belgium. As of March 15, 2024, Euronav NV operates as subsidiary of CMB NV.

About Euroseas

Euroseas Ltd. provides ocean-going transportation services worldwide. The company owns and operates containerships that transport dry and refrigerated containerized cargoes, including manufactured products and perishables. As of March 31, 2024, it had a fleet of 20 containerships with a cargo carrying capacity of approximately 777,749 dwt. The company was incorporated in 2005 and is based in Marousi, Greece.