Investors should take notice of NASDAQ:SBLK—it offers a great deal for the fundamentals it presents.

Our stock screening tool has identified STAR BULK CARRIERS CORP (NASDAQ:SBLK) as an undervalued gem with strong fundamentals. NASDAQ:SBLK boasts decent financial health and profitability while maintaining an attractive price point. We'll break it down further.

Valuation Analysis for NASDAQ:SBLK

ChartMill assigns a proprietary Valuation Rating to each stock. The score is computed by evaluating various valuation aspects, like price to earnings and free cash flow, both absolutely as relative to the market and industry. NASDAQ:SBLK was assigned a score of 7 for valuation:

• SBLK is valuated reasonably with a Price/Earnings ratio of 11.32.
• The average S&P500 Price/Earnings ratio is at 25.89. SBLK is valued rather cheaply when compared to this.
• Based on the Price/Forward Earnings ratio of 6.61, the valuation of SBLK can be described as very cheap.
• Based on the Price/Forward Earnings ratio, SBLK is valued a bit cheaper than 71.43% of the companies in the same industry.
• SBLK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.57.
• Based on the Price/Free Cash Flow ratio, SBLK is valued a bit cheaper than 71.43% of the companies in the same industry.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• SBLK has a very decent profitability rating, which may justify a higher PE ratio.
• SBLK's earnings are expected to grow with 48.50% in the coming years. This may justify a more expensive valuation.

Looking at the Profitability

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NASDAQ:SBLK has achieved a 6:

• SBLK has a better Return On Invested Capital (7.16%) than 64.29% of its industry peers.
• Measured over the past 3 years, the Average Return On Invested Capital for SBLK is above the industry average of 8.55%.
• The last Return On Invested Capital (7.16%) for SBLK is well below the 3 year average (13.16%), which needs to be investigated, but indicates that SBLK had better years and this may not be a problem.
• SBLK's Profit Margin has improved in the last couple of years.
• SBLK's Operating Margin has improved in the last couple of years.

Evaluating Health: NASDAQ:SBLK

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NASDAQ:SBLK has earned a 5 out of 10:

• The Debt to FCF ratio of SBLK is 2.99, which is a good value as it means it would take SBLK, 2.99 years of fcf income to pay off all of its debts.
• SBLK has a better Debt to FCF ratio (2.99) than 75.00% of its industry peers.
• SBLK has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
• With a decent Debt to Equity ratio value of 0.48, SBLK is doing good in the industry, outperforming 64.29% of the companies in the same industry.

Exploring NASDAQ:SBLK's Growth

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NASDAQ:SBLK boasts a 5 out of 10:

• Measured over the past years, SBLK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.11% on average per year.
• SBLK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 48.50% yearly.
• SBLK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.13% yearly.
• When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
• When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

Check the latest full fundamental report of SBLK for a complete fundamental analysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.