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DRYS
DryShips Inc. - NASDAQ

7/10/2014, 1:09 AM ET
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There are 2 articles on this stock available only to PRO subscribers.
  • DryShips And Affirmation Of My Bullish Drybulk Outlook
    Quoth the Raven Mon, Jun. 30 13 Comments

    Summary

    • Just last week, I penned a piece citing that DryShips could benefit from better freight rates towards the end of this year, into 2015.
    • As several of you pointed out, rates are extremely low now, but QTR continues to see evidence of a coming spike.
    • When that occurs, DryShips and all dry shipping stocks stand to benefit.
  • DryShips: Major Shipping Rate Catalyst Coming?
    Quoth the Raven Fri, Jun. 27 5 Comments

    Summary

    • DryShips continues to look attractively priced and could potentially be a big score if shipping rates ever rebound.
    • Exposure to other dry shippers like Diana Shipping and Baltic Trading can help diversify a portfolio that wants exposure to dry shipping.
    • According to Hellenic Shipping News, the shipping rate recovery that I've been writing about for months seems to be on its way.
  • DryShips: Boom Or Bust? Who Cares, Place Your Chips On Ocean Rig
    Achilles Research Wed, Jun. 25 6 Comments

    Summary

    • DryShips is an interesting cyclical investment whose intrinsic value is seriously discounted by the market.
    • DryShips' stock has nicely rebounded from its lows and should continue to rise as the market corrects its mis-pricing.
    • DryShips' 59.4% stake in Ocean Rig alone is worth as much as DryShips' entire market capitalization.
    • DryShips' market valuation is comical and materially undervalues Ocean Rig's earnings prospects as well as a turnaround in the dry bulk shipping market.
  • What Now For DryShips?
    IAEResearch Fri, Jun. 20 4 Comments

    Summary

    • The demand and supply situation in the iron ore market will have a profound impact on the drybulk carriers over the next few years.
    • China will continue to play a big role in the international iron ore market as it is the biggest consumer of iron ore in the world.
    • Drybulk carriers will benefit as Australia and Brazil continue to increase the supply of iron ore over the next few years.
  • DryShips: Don't Miss The Turnaround
    Mitu Anand Thu, Jun. 19 17 Comments

    Summary

    • DryShips' performance has been weak this year with shares down 22%.
    • However, this is a buying opportunity as DryShips' operations are gradually improving and the company is cutting its losses.
    • Better balance sheet management and improvement in industry conditions should lead to better times for DryShips going forward.
  • Timing The DryShips Trade
    Quoth the Raven Mon, Jun. 16 15 Comments

    Summary

    • I continue to contend that DRYS has 33% potential upside.
    • I've found two factors that are going to help me time when to exit the DRYS trade, assuming we're not stopped out to the downside.
    • With debt due in December, a Sept/Nov exit from DRYS stock should reduce risk for investors.
  • DryShips: Don't Give Up At The Bottom
    Achilles Research Mon, Jun. 9 8 Comments

    Summary

    • DryShips remains an extremely asymmetric equity investment with the potential of becoming a multi-bagger.
    • Cyclical upswings in iron ore and coal exports could be a powerful catalyst for DryShips.
    • DryShips is a textbook example of contrarian or anti-cyclical investing.
    • DryShips' majority ownership in Ocean Rig supporting long-term value proposition.
    • Stock price appears to have bottomed.
  • Is DryShips Finally On The Road To Recovery?
    Kevin Quon Mon, Jun. 9 21 Comments

    Summary

    • DryShips has become a diversified shipping company with improving market conditions in each of its target markets.
    • The company is beginning to stabilize its financial situation.
    • DryShips continues to trade at a significant discount to its book value.
  • These 2 Things Could Give DryShips 33% Upside
    Quoth the Raven Mon, Jun. 9 4 Comments

    Summary

    • DryShips has been clipped 20% in the last three months.
    • Ocean Rig, majority owned by DryShips, recently signed a significant drilling contract for 2015.
    • I continue to swear that shipping rates cannot stay this low forever, and the Baltic Dry Index continues to make a fool out of me.
    • Ocean Rig's contract, combined with shipping rates eventually recovering (I swear it'll happen), could drive DRYS to $4, representing 33% upside.
  • DryShips: Untangling The Books From Ocean Rig
    MTF Investing Fri, May. 30 30 Comments

    Summary

    • DryShips has a 59.4% ownership in Ocean Rig, and consolidates the books when reporting earnings.
    • When the financials are combined, DryShips appears to have a heavy debt load compared to its market cap.
    • Once the books are separated, DryShips appears more attractive as an investment.
  • Stay Away From DryShips After Q1 Results
    Renu Singh Wed, May. 28 16 Comments

    Summary

    • DryShips shares are down 30% in 2014 even though the company reported strong revenue growth in the first quarter.
    • Looking ahead, investors should avoid DryShips as the company has been consistently missing earnings estimates.
    • DryShips is facing a number of operational difficulties and the company's weak financial position means that its business is under threat.
  • DryShips: A Serious Turnaround Candidate?
    Achilles Research Tue, May. 27 7 Comments

    Summary

    • DryShips reported a net loss for the first quarter, but revenues, operating income and adjusted EBITDA have increased substantially y-o-y.
    • DryShips is a diversified shipping company with significant upside coming from its majority stake in Ocean Rig.
    • At 7x earnings, DryShips is an interesting anti-cyclical bet on a recovering shipping industry.
  • Sell DryShips: Its Balance Sheet Is Dangerous
    Seeking Profits Fri, May. 23 10 Comments

    Summary

    • DryShips reported quarterly results on Thursday, and while shares didn't move, the results confirmed DRYS is a sell.
    • Its reliance on day rates is dangerous given slowing emerging markets and less reliance on imported oil.
    • The company also carries too much debt with interest expense exceeding its EBIT.
    • With high leverage and a very cyclical business, DryShips is a sell.
  • DryShips: A Multibagger?
    Achilles Research Tue, May. 20 28 Comments

    Summary

    • Shipping companies such as DryShips will benefit from a rebound in shipping rates despite fixed-rate contracts.
    • Investors are extremely emotional with respect to charter rates which makes for extraordinary volatility, and opportunity.
    • Increasing Chinese iron ore imports could be instrumental for higher shipping rates and share prices of dry bulk shipping companies such as DryShips.
    • A variety of CEOs see favorable long-term industry dynamics which should lead to higher equity valuations in the near term.
    • Contrarian investors could consider DryShips as long as the market is still overwhelmingly negative on the shipping industry.
  • DryShips Could See A Short-Term Boost
    Quoth the Raven Mon, May. 19 4 Comments

    Summary

    • Dry shipping rates continue to sit near lows of the last year.
    • Despite this, DryShips' subsidiary is looking robust and healthy.
    • A short-term trade to the upside based on seasonality may be the play for DryShips.
  • 5 Reasons Why It's Tough To Be Long DryShips
    Kurt Thorup Thu, May. 15 5 Comments

    Summary

    • Shipping rates remain low leading many to ask, "What recovery?"
    • Investors remain skeptical of management's decisions.
    • Still, DryShips presents a unique opportunity for those who understand the risks.
  • DryShips: A Buy Or A Sell?
    Adnan Riaz Tue, May. 13 13 Comments

    Summary

    • China’s iron ore exports will increase in the coming years.
    • Dividend from Ocean Rig will improve DryShips cash position.
    • Capesize and Panamax vessel rates are expected to increase.
    • Revenue and EPS are expected to improve in the next two years.
  • DryShips Ripe For The Contrarian Buying
    Quoth the Raven Thu, Apr. 17 11 Comments

    Summary

    • The Baltic Dry Index is below 1,000, but will likely rebound.
    • Shorts have piled into DRYS, making the company a candidate for a small squeeze.
    • The contrarian play here could be to go long DRYS.
  • DryShips: A Turnaround That You Would Regret Missing
    Mitu Anand Mon, Apr. 7 5 Comments

    Summary

    • DryShips' revenue grew at a great pace in the previous quarter, and the company also lowered operating expenses.
    • An increase in spot rates this year should benefit DryShips.
    • An increase in iron ore exports in Brazil and Australia, and China's urbanization plans could lead to higher chartering activity, benefiting DryShips in the process.
  • DryShips: Buy This Dip?
    Quoth the Raven Mon, Apr. 7 1 Comment

    Summary

    • The cyclical Baltic Dry Index can't seem to get bullish, but DryShips has a large cash position.
    • Recent China PMI data looks favorable for dry shippers.
    • I'll likely add DRYS at some point this month, if it stays at this price.
DRYS vs. ETF Alternatives
Company Description

DryShips, Inc., is provider of ocean transportation services for drybulk & petroleum cargoes through its ownership & operation of drybulk carrier vessels & oil tankers. It also provides offshore drilling services.

Sector: Services
Industry: Shipping
Country: United States