DANAOS CORP (DAC) Stock Fundamental Analysis
USA - NYSE:DAC - MHY1968P1218 - Common Stock
87.26 USD
+0.67 (+0.77%)
DAC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 35 industry peers in the Marine Transportation industry. DAC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DAC is valued quite cheap, but it does not seem to be growing. These ratings would make DAC suitable for value investing!
1. Profitability
1.1 Basic Checks
DAC had positive earnings in the past year.
In the past year DAC had a positive cash flow from operations.
DAC had positive earnings in each of the past 5 years.
DAC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of DAC (10.16%) is better than 80.00% of its industry peers.
Looking at the Return On Equity, with a value of 12.79%, DAC is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
DAC's Return On Invested Capital of 9.13% is fine compared to the rest of the industry. DAC outperforms 77.14% of its industry peers.
DAC had an Average Return On Invested Capital over the past 3 years of 12.84%. This is significantly below the industry average of 18.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.16% | ||
| ROE | 12.79% | ||
| ROIC | 9.13% |
ROA(3y)14.61%
ROA(5y)15.7%
ROE(3y)18.56%
ROE(5y)24.19%
ROIC(3y)12.84%
ROIC(5y)10.69%
1.3 Margins
With an excellent Profit Margin value of 44.62%, DAC belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
DAC's Profit Margin has improved in the last couple of years.
The Operating Margin of DAC (49.04%) is better than 88.57% of its industry peers.
DAC's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 73.82%, DAC belongs to the best of the industry, outperforming 88.57% of the companies in the same industry.
In the last couple of years the Gross Margin of DAC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.04% | ||
| PM (TTM) | 44.62% | ||
| GM | 73.82% |
OM growth 3Y0.35%
OM growth 5Y3.15%
PM growth 3Y-31.16%
PM growth 5Y11.15%
GM growth 3Y-0.61%
GM growth 5Y0.24%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DAC is creating some value.
DAC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for DAC has been reduced compared to 5 years ago.
Compared to 1 year ago, DAC has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.74 indicates that DAC is not a great score, but indicates only limited risk for bankruptcy at the moment.
DAC's Altman-Z score of 2.74 is amongst the best of the industry. DAC outperforms 85.71% of its industry peers.
The Debt to FCF ratio of DAC is 4.09, which is a neutral value as it means it would take DAC, 4.09 years of fcf income to pay off all of its debts.
DAC's Debt to FCF ratio of 4.09 is fine compared to the rest of the industry. DAC outperforms 74.29% of its industry peers.
A Debt/Equity ratio of 0.20 indicates that DAC is not too dependend on debt financing.
The Debt to Equity ratio of DAC (0.20) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 4.09 | ||
| Altman-Z | 2.74 |
ROIC/WACC1.11
WACC8.2%
2.3 Liquidity
DAC has a Current Ratio of 5.36. This indicates that DAC is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of DAC (5.36) is better than 85.71% of its industry peers.
A Quick Ratio of 5.21 indicates that DAC has no problem at all paying its short term obligations.
DAC's Quick ratio of 5.21 is amongst the best of the industry. DAC outperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.36 | ||
| Quick Ratio | 5.21 |
3. Growth
3.1 Past
The earnings per share for DAC have decreased by -8.34% in the last year.
Measured over the past years, DAC shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.25% on average per year.
The Revenue has been growing slightly by 4.20% in the past year.
DAC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.79% yearly.
EPS 1Y (TTM)-8.34%
EPS 3Y15.86%
EPS 5Y24.25%
EPS Q2Q%-6.19%
Revenue 1Y (TTM)4.2%
Revenue growth 3Y13.72%
Revenue growth 5Y17.79%
Sales Q2Q%6.43%
3.2 Future
Based on estimates for the next years, DAC will show a very negative growth in Earnings Per Share. The EPS will decrease by -10.84% on average per year.
DAC is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.31% yearly.
EPS Next Y-2.31%
EPS Next 2Y-1.6%
EPS Next 3Y-10.84%
EPS Next 5YN/A
Revenue Next Year-1.47%
Revenue Next 2Y-0.54%
Revenue Next 3Y-3.31%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 3.38, the valuation of DAC can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of DAC indicates a rather cheap valuation: DAC is cheaper than 85.71% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of DAC to the average of the S&P500 Index (27.57), we can say DAC is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 3.29, the valuation of DAC can be described as very cheap.
Based on the Price/Forward Earnings ratio, DAC is valued cheaply inside the industry as 88.57% of the companies are valued more expensively.
DAC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.38 | ||
| Fwd PE | 3.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DAC is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
68.57% of the companies in the same industry are more expensive than DAC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.58 | ||
| EV/EBITDA | 2.38 |
4.3 Compensation for Growth
DAC has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as DAC's earnings are expected to decrease with -10.84% in the coming years.
PEG (NY)N/A
PEG (5Y)0.14
EPS Next 2Y-1.6%
EPS Next 3Y-10.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.95%, DAC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 7.27, DAC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, DAC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.95% |
5.2 History
The dividend of DAC decreases each year by -33.95%.
DAC has been paying a dividend for over 5 years, so it has already some track record.
DAC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-33.95%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
13.76% of the earnings are spent on dividend by DAC. This is a low number and sustainable payout ratio.
DAC's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP13.76%
EPS Next 2Y-1.6%
EPS Next 3Y-10.84%
NYSE:DAC (10/23/2025, 4:15:00 PM)
87.26
+0.67 (+0.77%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners20.13%
Inst Owner Change-0.7%
Ins Owners1.53%
Ins Owner ChangeN/A
Market Cap1.60B
Revenue(TTM)1.03B
Net Income(TTM)459.47M
Analysts80
Price Target103.53 (18.65%)
Short Float %5.28%
Short Ratio6.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.95% |
Yearly Dividend3.27
Dividend Growth(5Y)-33.95%
DP13.76%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.27%
Min EPS beat(2)-7.07%
Max EPS beat(2)-5.47%
EPS beat(4)1
Avg EPS beat(4)-3.54%
Min EPS beat(4)-7.07%
Max EPS beat(4)3.36%
EPS beat(8)1
Avg EPS beat(8)-5.49%
EPS beat(12)4
Avg EPS beat(12)-0.62%
EPS beat(16)8
Avg EPS beat(16)11.36%
Revenue beat(2)1
Avg Revenue beat(2)1.11%
Min Revenue beat(2)-2.79%
Max Revenue beat(2)5%
Revenue beat(4)1
Avg Revenue beat(4)-1.06%
Min Revenue beat(4)-4.17%
Max Revenue beat(4)5%
Revenue beat(8)3
Avg Revenue beat(8)-0.57%
Revenue beat(12)7
Avg Revenue beat(12)2.21%
Revenue beat(16)11
Avg Revenue beat(16)4.92%
PT rev (1m)0%
PT rev (3m)2.01%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.33%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.96%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.38 | ||
| Fwd PE | 3.29 | ||
| P/S | 1.55 | ||
| P/FCF | 8.58 | ||
| P/OCF | 2.62 | ||
| P/B | 0.44 | ||
| P/tB | 0.44 | ||
| EV/EBITDA | 2.38 |
EPS(TTM)25.83
EY29.6%
EPS(NY)26.49
Fwd EY30.36%
FCF(TTM)10.18
FCFY11.66%
OCF(TTM)33.36
OCFY38.23%
SpS56.24
BVpS196.21
TBVpS196.21
PEG (NY)N/A
PEG (5Y)0.14
Graham Number337.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.16% | ||
| ROE | 12.79% | ||
| ROCE | 11.56% | ||
| ROIC | 9.13% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 10.74% | ||
| OM | 49.04% | ||
| PM (TTM) | 44.62% | ||
| GM | 73.82% | ||
| FCFM | 18.09% |
ROA(3y)14.61%
ROA(5y)15.7%
ROE(3y)18.56%
ROE(5y)24.19%
ROIC(3y)12.84%
ROIC(5y)10.69%
ROICexc(3y)14.28%
ROICexc(5y)11.66%
ROICexgc(3y)14.28%
ROICexgc(5y)11.66%
ROCE(3y)16.25%
ROCE(5y)13.53%
ROICexgc growth 3Y8.88%
ROICexgc growth 5Y10.92%
ROICexc growth 3Y8.88%
ROICexc growth 5Y10.92%
OM growth 3Y0.35%
OM growth 5Y3.15%
PM growth 3Y-31.16%
PM growth 5Y11.15%
GM growth 3Y-0.61%
GM growth 5Y0.24%
F-Score5
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 4.09 | ||
| Debt/EBITDA | 1.09 | ||
| Cap/Depr | 265.61% | ||
| Cap/Sales | 41.22% | ||
| Interest Coverage | 14.36 | ||
| Cash Conversion | 91.87% | ||
| Profit Quality | 40.55% | ||
| Current Ratio | 5.36 | ||
| Quick Ratio | 5.21 | ||
| Altman-Z | 2.74 |
F-Score5
WACC8.2%
ROIC/WACC1.11
Cap/Depr(3y)266.68%
Cap/Depr(5y)220.86%
Cap/Sales(3y)37.53%
Cap/Sales(5y)32.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.34%
EPS 3Y15.86%
EPS 5Y24.25%
EPS Q2Q%-6.19%
EPS Next Y-2.31%
EPS Next 2Y-1.6%
EPS Next 3Y-10.84%
EPS Next 5YN/A
Revenue 1Y (TTM)4.2%
Revenue growth 3Y13.72%
Revenue growth 5Y17.79%
Sales Q2Q%6.43%
Revenue Next Year-1.47%
Revenue Next 2Y-0.54%
Revenue Next 3Y-3.31%
Revenue Next 5YN/A
EBIT growth 1Y-8.49%
EBIT growth 3Y14.12%
EBIT growth 5Y21.5%
EBIT Next Year31.64%
EBIT Next 3Y3.92%
EBIT Next 5YN/A
FCF growth 1Y-58.59%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y2.69%
OCF growth 3Y13.25%
OCF growth 5Y23.11%