Paragon Shipping: Improving Fundamentals And Exemplary Leadership Point To Significant Upside
The Behavioral Economist • 35 Comments
The Behavioral Economist • 35 Comments
Has Paragon Shipping Turned A Corner?
Andres Rueda • 18 Comments
Andres Rueda • 18 Comments
Dec. 3, 2015, 7:15 PM
- Dry bulk shipping faces at least another year of pain, according to a new report from Drewry Shipping Consultants, which says companies in the industry will not return to profitability until at least 2017.
- Drewry says its dry bulk freight rate index fell 14.5% in September from August, and rates have fallen another 13.8% between September and November, although numbers for the full Q4 will not be available until early next year.
- "Demand has almost dried up,” Drewry’s lead analyst says. “China’s iron ore imports have stagnated, China’s coal imports have come down massively and India’s coal import growth has also slowed down."
- Drewry forecasts demand for iron ore growing at 3%-4% over the next few years, but says demand for coal, especially in China, will not rebound any time soon.
- Related tickers: DRYS, SBLK, SALT, DSX, PRGN, EGLE, NM, NMM, SB, SINO, SHIP, FREE
Dec. 2, 2015, 1:30 PM
- Paragon Shipping (PRGN +6.2%) appoints Nikolas Arachovas as its new CFO, effective immediately.
- Arachovas was most recently the financial adviser for Allseas Marine, PRGN's technical and commercial manager, since February 2015, and brings more than eight years of experience in shipping to the company.
Nov. 19, 2015, 10:33 AM| Nov. 19, 2015, 10:33 AM | 22 Comments
Nov. 18, 2015, 3:59 PM
- Dry bulk shippers Star Bulk Carriers (SBLK -21.3%), Diana Shipping (DSX -5.1%) and Scorpio Bulkers (SALT -24.3%) all trade sharply lower following Deutsche Bank downgrades and price target cuts; additionally, SBLK's Q3 loss came in larger than expected.
- Industry rates have been falling sharply since August, and the Baltic Dry Index has declined every day since Oct. 22, -29% to 560; with declining dayrates comes lower ship values, which affects the related dry bulk shipping companies.
- Deutsche Bank downgraded SBLK, DSX and SALT to Hold from Buy, noting that a number of dry bulk companies are contemplating asset sales to raise liquidity, and a glut of "for sale" tonnage has negative implications for asset and equity values.
- Also: DRYS -0.6%, PRGN -6.8%, EGLE -7.1%, NM -0.3%, NMM -4.3%, SB -15.1%, SINO -7.8%, SHIP -3%, DCIX -4.3%, FREE flat.
Sep. 18, 2015, 1:11 PM
- The Baltic Dry Index rose 77 points, or +8.7%, overnight to 960, its biggest two-day gain in almost seven years amid speculation that Chinese iron ore purchasing is eroding the supply of vessels to collect the raw material from Brazil.
- The index rose 18% on Thursday and Friday, the most for two days since February 2009, and charter costs for capesize ships that take iron ore to China from Brazil rose by 16% to $14.59/ton.
- Overall capesize rates rose overnight by $2,782, or +23.4%, or to $14,658/day (+9.4% M/M); in the past two days, capsize rates are up $5,409, or +58.5%.
- "There’s a misunderstanding among investors that China isn’t buying iron ore... It is," says the managing director of Commodore Research. “China is still buying every single ton that global miners want to sell.”
- Related drybulk stocks include DRYS, GNK, PRGN, DSX, FREE, EGLE, NM, NMM, SBLK, KEX, SB, SINO, BALT, SHIP, DCIX.
Sep. 4, 2015, 7:01 PM
- Paragon (NASDAQ:PRGN) has struck a deal with Maxim Group for a $4M at-the-market stock offering. The company can offer/sell the shares at any time during the next 12 months.
- With Paragon having closed today sporting just a $15.5M market cap, dilution stands to be substantial. The company ended Q2 with $8.3M in cash, $156.8M in long-term debt, and $62.6M in assets held for sale.
- Shares fell 12.4% in regular trading ahead of the announcement, and are down 77% YTD amid a general rout in shipping stocks and commodities prices.
Sep. 1, 2015, 4:03 PM
- Paragon Shipping (NASDAQ:PRGN): Q2 EPS of -$0.32 misses by $0.01.
- Revenue of $7.85M (-19.4% Y/Y) misses by $7.1M.
Aug. 31, 2015, 5:35 PM
Jul. 21, 2015, 11:00 AM
- The Baltic Dry Index rose 4.3% to 1,113 with gains registering for capesize, panamax, and supramax rates.
- The BDI has doubled since February when a weak market prompted some companies to scrap ships. Shipping rates are still well-below the level from late 2013 to late 2014.
- The Guggenheim Shipping ETF (SEA +1.3%) tracks the Delta Global Shipping Index which correlates only loosely with the BDI.
- Related stocks: DRYS, DSX, FREE, EGLE, NM, NMM, SBLK, BALT, SHIP, GSL, PRGN, GOGL.
Jul. 16, 2015, 12:55 PM
- The Baltic Dry Index rose 6% overnight to 1,009, capping a 10th consecutive day of gains that has seen a 27% increase; the BDI is now at its highest level since early December, and up 98% since hitting an all-time low on Feb. 18.
- The gains were across the board in capesize, panamax and supramax rates: capesize +14% overnight to $12,693/day (+106% M/M), panamax +2.4% to $9,158/day (+49% M/M), supramax +2.7% to $8,603/day (+18.4% M/M).
- Related drybulk stocks include: DRYS, PRGN, DSX, FREE, EGLE, NM, NMM, SBLK, SALT, GOGL, KEX, SB, SINO, BALT, SHIP, DCIX
Jul. 10, 2015, 10:33 AM
- Notable movers in the shipping sector include DryShips (DRYS +3.1%), Danaois (DAC +5.6%), and Paragon Shipping (PRGN +1.6%).
- Some names in the volatile sector has been trading off of developments in Greece even with many of the Greece-based companies deriving nearly all their revenue outside the nation.
- On a broader look, the Baltic Dry Index is +21 to 874. The breakdown shows the Cape index is 1279 with a spot price of 9612 vs. 11,149 a year ago, the Panamax index is 1052 with a spot price of 8380 vs. 5432 a year ago, and the Supramax index is 767 with a spot price of 8021 vs. 7099 a year ago.
- The Baltic Tanker Clean Index is 837 vs. 521 a year ago and the Baltic Dirty Index is 857 vs. 786 a year ago.
- The Guggenheim Shipping ETF (NYSEARCA:SEA) is +1.43% on the day and -4.12% YTD.
- Related stocks: TNK, EURN, TGP, NMM, SSW, SFL, TK, SMM, TOO, GMLP, DHT, NM, MATX, NAT, FREE, DSX, SB, FRO.
Jun. 8, 2015, 7:40 AM
- Paragon Shipping (NASDAQ:PRGN): Q1 EPS of -$0.35 misses by $0.01.
- Revenue of $10.03M (-2.1% Y/Y) misses by $3.21M.
Jun. 7, 2015, 5:30 PM
May 9, 2015, 11:27 AM
- The broadly-defined shipping sector continues to be volatile over the impact of oil price fluctuations and concerns over carrier/tanker supply along with charter rates.
- The Baltic Dry Index stands at 574 vs. a 52-week trading range of 509 to 1,484.
- The Guggenheim Shipping ETF (NYSEARCA:SEA) is down 9.4% over the last 52 weeks, although it trades with smoother peaks and troughs than the underlying stocks in the fund.
- Analysts are convinced that some value picks exist in the sector, although consensus is tricky to find. A few rough screens are listed below (add your own in the comments).
- Best YTD performance: Navios Maritime (NYSE:NAP) +37%, Scorpio Bulkers (NYSE:SALT) +35%, Tsakos Energy (NYSE:TNP) +31%, Golar LNG (NASDAQ:GLNG) +28%.
- Lowest price-to book value: DryShips (NASDAQ:DRYS) 0.14, Safe Bulkers (NASDAQ:SBLK) 0.32, Scorpio Bulkers 0.33, Navios Maritime Holdings (NYSE:NM) 0.34, GasLog (NYSE:GLOG) 0.39.
- Lowest forward P/E ratio: Danaos (NYSE:DAC) 4.43, Tsakos Energy 7.15, Navios Maritime Acquisition (NYSE:NNA) 7.25, Dorian (NYSE:LPG) 7.43, Dry Ships 7.57.
- Dividend yield: Navios Maritime Partners (NYSE:NMM) 15.2%, Capital Product Partners (NASDAQ:CPLP) 10.8%, Ship Finance International (NYSE:SFL) 10.8%, Teekay Offshore Partners (NYSE:TOO) 9.7%, Dynagas LNG Partners (NYSE:DLNG) 8.8%.
- Other shipping stocks: PRGN, FRO, NAT, OSK, TNK, FREE, ESEA, TOPS, DSX, SHIP, NM.
Mar. 31, 2015, 4:10 PM
- Paragon Shipping (NASDAQ:PRGN): Q4 EPS of -$0.29 misses by $0.07.
- Revenue of $16.43M (+5.5% Y/Y) misses by $0.07M.
Mar. 30, 2015, 5:35 PM
Paragon Shipping, Inc. is an international shipping company specializing in the transportation drybulk cargoes, including such commodities as iron ore, coal, grain, bauxite, phosphate, fertilizers and other materials, along worldwide shipping routes. Its current fleet consists of Panamax drybulk... More
Country: United States
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