bilgerat

Nordic American Tanker Pays Off Yet Again

I simply do not understand why more people are not invested in NAT.

The situation as I understand it is that double-hulled Suez Max rates are presently about $40,000 per day.
It costs about $9,500 per day to run each tanker.
This to me spells $30,500 profit per tanker per day.
There are I think 13 tankers in the fleet which means that NAT is earning approx $400,000 each day.
NAT pays out 90% of its earnings in dividends.
NAT has a revolving credit with a group of three Scandinavian banks of $500,000,000.00.
This facility has not been withdrawn by the banks despite the somewhat straightened times that we now endure.
NAT has not drawn down one cent of this $500,000,000.00 facility.
If I am right then this stock seems to be a no-brainer, if I am wrong please will someone tell me. I am fully aware that every so often each tanker has to go into dock for scheduled maintenance, and there is also the piracy risk, but in truth just what is there not love about NAT?