EUROSEAS LTD (ESEA) Stock Fundamental Analysis
NASDAQ:ESEA - Nasdaq - MHY235921357 - Common Stock - Currency: USD
ESEA gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 36 industry peers in the Marine Transportation industry. While ESEA has a great profitability rating, there are some minor concerns on its financial health. ESEA may be a bit undervalued, certainly considering the very reasonable score on growth ESEA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
ESEA had positive earnings in the past year.
In the past year ESEA had a positive cash flow from operations.
In the past 5 years ESEA has always been profitable.
In the past 5 years ESEA always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 23.07%, ESEA belongs to the top of the industry, outperforming 97.22% of the companies in the same industry.
The Return On Equity of ESEA (39.68%) is better than 94.44% of its industry peers.
ESEA has a Return On Invested Capital of 19.32%. This is amongst the best in the industry. ESEA outperforms 94.44% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ESEA is significantly above the industry average of 9.15%.
The last Return On Invested Capital (19.32%) for ESEA is well below the 3 year average (24.56%), which needs to be investigated, but indicates that ESEA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.07% | ||
| ROE | 39.68% | ||
| ROIC | 19.32% |
ROA(3y)26.12%
ROA(5y)20.1%
ROE(3y)45.73%
ROE(5y)40.33%
ROIC(3y)24.56%
ROIC(5y)20%
1.3 Margins
The Profit Margin of ESEA (55.60%) is better than 97.22% of its industry peers.
ESEA's Profit Margin has improved in the last couple of years.
The Operating Margin of ESEA (53.70%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of ESEA has grown nicely.
With an excellent Gross Margin value of 94.59%, ESEA belongs to the best of the industry, outperforming 97.22% of the companies in the same industry.
In the last couple of years the Gross Margin of ESEA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 53.7% | ||
| PM (TTM) | 55.6% | ||
| GM | 94.59% |
OM growth 3Y3.33%
OM growth 5Y62.43%
PM growth 3Y5.47%
PM growth 5YN/A
GM growth 3Y-0.2%
GM growth 5Y0.38%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ESEA is creating value.
Compared to 1 year ago, ESEA has more shares outstanding
Compared to 5 years ago, ESEA has more shares outstanding
The debt/assets ratio for ESEA is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.25 indicates that ESEA is not a great score, but indicates only limited risk for bankruptcy at the moment.
ESEA's Altman-Z score of 2.25 is amongst the best of the industry. ESEA outperforms 80.56% of its industry peers.
A Debt/Equity ratio of 0.56 indicates that ESEA is somewhat dependend on debt financing.
ESEA has a Debt to Equity ratio (0.56) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.25 |
ROIC/WACC2.38
WACC8.12%
2.3 Liquidity
ESEA has a Current Ratio of 1.74. This is a normal value and indicates that ESEA is financially healthy and should not expect problems in meeting its short term obligations.
ESEA's Current ratio of 1.74 is fine compared to the rest of the industry. ESEA outperforms 66.67% of its industry peers.
ESEA has a Quick Ratio of 1.68. This is a normal value and indicates that ESEA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.68, ESEA is in the better half of the industry, outperforming 69.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.93% over the past year.
The Earnings Per Share has been growing by 33.33% on average over the past years. This is a very strong growth
ESEA shows a strong growth in Revenue. In the last year, the Revenue has grown by 38.68%.
Measured over the past years, ESEA shows a very strong growth in Revenue. The Revenue has been growing by 39.71% on average per year.
EPS 1Y (TTM)0.93%
EPS 3Y33.33%
EPS 5YN/A
EPS Q2Q%41.35%
Revenue 1Y (TTM)38.68%
Revenue growth 3Y31.37%
Revenue growth 5Y39.71%
Sales Q2Q%20.61%
3.2 Future
Based on estimates for the next years, ESEA will show a small growth in Earnings Per Share. The EPS will grow by 0.45% on average per year.
ESEA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.78% yearly.
EPS Next Y9.03%
EPS Next 2Y4.07%
EPS Next 3Y0.45%
EPS Next 5YN/A
Revenue Next Year6%
Revenue Next 2Y3.85%
Revenue Next 3Y1.78%
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
With a Price/Earnings ratio of 3.26, the valuation of ESEA can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of ESEA indicates a rather cheap valuation: ESEA is cheaper than 83.33% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of ESEA to the average of the S&P500 Index (27.50), we can say ESEA is valued rather cheaply.
A Price/Forward Earnings ratio of 3.24 indicates a rather cheap valuation of ESEA.
86.11% of the companies in the same industry are more expensive than ESEA, based on the Price/Forward Earnings ratio.
ESEA is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.26 | ||
| Fwd PE | 3.24 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ESEA is valued cheaper than 80.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 2.89 |
4.3 Compensation for Growth
ESEA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ESEA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.36
PEG (5Y)N/A
EPS Next 2Y4.07%
EPS Next 3Y0.45%
5. Dividend
5.1 Amount
ESEA has a Yearly Dividend Yield of 5.50%, which is a nice return.
ESEA's Dividend Yield is a higher than the industry average which is at 7.47.
ESEA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.5% |
5.2 History
The dividend of ESEA is nicely growing with an annual growth rate of 53.86%!
ESEA has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of ESEA decreased in the last 3 years.
Dividend Growth(5Y)53.86%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
ESEA pays out 11.49% of its income as dividend. This is a sustainable payout ratio.
ESEA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP11.49%
EPS Next 2Y4.07%
EPS Next 3Y0.45%
NASDAQ:ESEA (7/18/2025, 8:00:01 PM)
49.42
-0.13 (-0.26%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners5.96%
Inst Owner Change0%
Ins Owners1.84%
Ins Owner ChangeN/A
Market Cap346.43M
Analysts82.22
Price Target57.12 (15.58%)
Short Float %0.66%
Short Ratio0.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.5% |
Yearly Dividend2.4
Dividend Growth(5Y)53.86%
DP11.49%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.51%
Min EPS beat(2)-1.37%
Max EPS beat(2)12.39%
EPS beat(4)3
Avg EPS beat(4)15.99%
Min EPS beat(4)-1.37%
Max EPS beat(4)44.8%
EPS beat(8)5
Avg EPS beat(8)21.51%
EPS beat(12)9
Avg EPS beat(12)16.33%
EPS beat(16)11
Avg EPS beat(16)12.95%
Revenue beat(2)2
Avg Revenue beat(2)2.41%
Min Revenue beat(2)0.42%
Max Revenue beat(2)4.4%
Revenue beat(4)3
Avg Revenue beat(4)5.82%
Min Revenue beat(4)-0.4%
Max Revenue beat(4)18.86%
Revenue beat(8)5
Avg Revenue beat(8)5.27%
Revenue beat(12)8
Avg Revenue beat(12)4.3%
Revenue beat(16)11
Avg Revenue beat(16)3.27%
PT rev (1m)4.35%
PT rev (3m)0%
EPS NQ rev (1m)6.92%
EPS NQ rev (3m)6.81%
EPS NY rev (1m)10.39%
EPS NY rev (3m)10.39%
Revenue NQ rev (1m)0.78%
Revenue NQ rev (3m)0.83%
Revenue NY rev (1m)2.28%
Revenue NY rev (3m)2.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.26 | ||
| Fwd PE | 3.24 | ||
| P/S | 1.29 | ||
| P/FCF | N/A | ||
| P/OCF | 2.4 | ||
| P/B | 0.92 | ||
| P/tB | 0.92 | ||
| EV/EBITDA | 2.89 |
EPS(TTM)15.18
EY30.72%
EPS(NY)15.25
Fwd EY30.86%
FCF(TTM)-6.3
FCFYN/A
OCF(TTM)20.57
OCFY41.62%
SpS38.41
BVpS53.82
TBVpS53.82
PEG (NY)0.36
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.07% | ||
| ROE | 39.68% | ||
| ROCE | 24.45% | ||
| ROIC | 19.32% | ||
| ROICexc | 22.71% | ||
| ROICexgc | 22.71% | ||
| OM | 53.7% | ||
| PM (TTM) | 55.6% | ||
| GM | 94.59% | ||
| FCFM | N/A |
ROA(3y)26.12%
ROA(5y)20.1%
ROE(3y)45.73%
ROE(5y)40.33%
ROIC(3y)24.56%
ROIC(5y)20%
ROICexc(3y)28.17%
ROICexc(5y)22.89%
ROICexgc(3y)28.17%
ROICexgc(5y)22.89%
ROCE(3y)31.08%
ROCE(5y)25.32%
ROICexcg growth 3Y-4.99%
ROICexcg growth 5Y67.54%
ROICexc growth 3Y-4.99%
ROICexc growth 5Y67.54%
OM growth 3Y3.33%
OM growth 5Y62.43%
PM growth 3Y5.47%
PM growth 5YN/A
GM growth 3Y-0.2%
GM growth 5Y0.38%
F-Score5
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.22 | ||
| Cap/Depr | 650.22% | ||
| Cap/Sales | 69.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.09% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 2.25 |
F-Score5
WACC8.12%
ROIC/WACC2.38
Cap/Depr(3y)553.53%
Cap/Depr(5y)539.77%
Cap/Sales(3y)64.33%
Cap/Sales(5y)54.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.93%
EPS 3Y33.33%
EPS 5YN/A
EPS Q2Q%41.35%
EPS Next Y9.03%
EPS Next 2Y4.07%
EPS Next 3Y0.45%
EPS Next 5YN/A
Revenue 1Y (TTM)38.68%
Revenue growth 3Y31.37%
Revenue growth 5Y39.71%
Sales Q2Q%20.61%
Revenue Next Year6%
Revenue Next 2Y3.85%
Revenue Next 3Y1.78%
Revenue Next 5YN/A
EBIT growth 1Y33.9%
EBIT growth 3Y35.75%
EBIT growth 5Y126.92%
EBIT Next Year24.36%
EBIT Next 3Y12.39%
EBIT Next 5YN/A
FCF growth 1Y-109.38%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y32.66%
OCF growth 3Y34.56%
OCF growth 5Y109.18%