Genco Shipping & Trading (NYSE:GNK) Sets New 12-Month High – Should You Buy?

Genco Shipping & Trading Limited (NYSE:GNK)’s stock price hit a new 52-week high during trading on Monday . The company traded as high as $26.39 and last traded at $26.1850, with a volume of 71379 shares changing hands. The stock had previously closed at $25.91.

Analyst Upgrades and Downgrades

Several research firms have issued reports on GNK. Alliance Global Partners cut Genco Shipping & Trading from a “buy” rating to a “neutral” rating in a research report on Thursday, February 19th. Zacks Research downgraded Genco Shipping & Trading from a “strong-buy” rating to a “hold” rating in a research note on Monday, March 30th. Weiss Ratings raised Genco Shipping & Trading from a “hold (c-)” rating to a “hold (c)” rating in a report on Friday. Finally, Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and issued a $29.00 price objective on shares of Genco Shipping & Trading in a research report on Friday. Two analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, Genco Shipping & Trading has a consensus rating of “Hold” and a consensus target price of $23.67.

Genco Shipping & Trading Price Performance

The company’s 50 day simple moving average is $23.21 and its 200-day simple moving average is $20.49. 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 $1.14 billion, a price-to-earnings ratio of 68.94, a PEG ratio of 3.70 and a beta of 0.97.

Genco Shipping & Trading (NYSE:GNK) last released its quarterly earnings data on Wednesday, May 6th. The shipping company reported $0.26 EPS for the quarter, topping analysts’ consensus estimates of $0.07 by $0.19. The business had revenue of $114.43 million during the quarter, compared to the consensus estimate of $65.73 million. Genco Shipping & Trading had a return on equity of 2.49% and a net margin of 4.38%.The business’s revenue for the quarter was up 60.6% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.28) EPS. On average, equities research analysts predict that Genco Shipping & Trading Limited will post 1.83 earnings per share for the current fiscal year.

Genco Shipping & Trading Cuts Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, May 26th. Shareholders of record on Monday, May 18th will be given a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 5.3%. The ex-dividend date of this dividend is Monday, May 18th. Genco Shipping & Trading’s dividend payout ratio is presently 368.42%.

Insider Transactions at Genco Shipping & Trading

In related news, CFO Peter George Allen sold 13,315 shares of the stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $23.66, for a total value of $315,032.90. Following the completion of the transaction, the chief financial officer owned 66,702 shares of the company’s stock, valued at approximately $1,578,169.32. This represents a 16.64% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Jesper Christensen sold 18,450 shares of the firm’s stock in a transaction that occurred on Monday, February 23rd. The shares were sold at an average price of $23.66, for a total value of $436,527.00. Following the sale, the insider owned 98,299 shares of the company’s stock, valued at approximately $2,325,754.34. This trade represents a 15.80% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 55,824 shares of company stock valued at $1,313,949. 2.37% of the stock is currently owned by insiders.

Institutional Trading of Genco Shipping & Trading

Several institutional investors have recently added to or reduced their stakes in the stock. American Century Companies Inc. increased its position in shares of Genco Shipping & Trading by 4.0% in the 3rd quarter. American Century Companies Inc. now owns 1,611,227 shares of the shipping company’s stock worth $28,680,000 after purchasing an additional 62,030 shares during the last quarter. Graham Capital Wealth Management LLC acquired a new position in Genco Shipping & Trading in the fourth quarter worth about $1,742,000. Citigroup Inc. raised its stake in Genco Shipping & Trading by 727.6% during the third quarter. Citigroup Inc. now owns 215,412 shares of the shipping company’s stock valued at $3,834,000 after buying an additional 189,383 shares in the last quarter. CSM Advisors LLC lifted its holdings in Genco Shipping & Trading by 18.4% during the 3rd quarter. CSM Advisors LLC now owns 351,045 shares of the shipping company’s stock worth $6,248,000 after buying an additional 54,575 shares during the last quarter. Finally, Unison Advisors LLC bought a new position in Genco Shipping & Trading during the 4th quarter worth approximately $705,000. 58.62% of the stock is owned by institutional investors and hedge funds.

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.