GENCO SHIPPING & TRADING LTD (GNK) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GNK - MHY2685T1313 - Common Stock
19.32 USD
+0.23 (+1.2%)
19.32 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to GNK. GNK was compared to 35 industry peers in the Marine Transportation industry. While GNK seems to be doing ok healthwise, there are quite some concerns on its profitability. GNK does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year GNK has reported negative net income.
GNK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: GNK reported negative net income in multiple years.
GNK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of GNK (-0.64%) is worse than 68.57% of its industry peers.
GNK's Return On Equity of -0.80% is on the low side compared to the rest of the industry. GNK is outperformed by 65.71% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.29%, GNK is doing worse than 74.29% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GNK is significantly below the industry average of 18.08%.
The 3 year average ROIC (6.73%) for GNK is well above the current ROIC(0.29%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.64% | ||
| ROE | -0.8% | ||
| ROIC | 0.29% |
ROA(3y)6.54%
ROA(5y)3.29%
ROE(3y)7.74%
ROE(5y)2.56%
ROIC(3y)6.73%
ROIC(5y)6.81%
1.3 Margins
In the last couple of years the Profit Margin of GNK has declined.
GNK's Operating Margin of 1.18% is on the low side compared to the rest of the industry. GNK is outperformed by 77.14% of its industry peers.
GNK's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 34.02%, GNK is doing worse than 62.86% of the companies in the same industry.
GNK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.18% | ||
| PM (TTM) | N/A | ||
| GM | 34.02% |
OM growth 3Y-20.17%
OM growth 5YN/A
PM growth 3Y-18.42%
PM growth 5YN/A
GM growth 3Y-5.33%
GM growth 5Y10.39%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GNK is destroying value.
The number of shares outstanding for GNK has been increased compared to 1 year ago.
The number of shares outstanding for GNK has been increased compared to 5 years ago.
Compared to 1 year ago, GNK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.89 indicates that GNK is not a great score, but indicates only limited risk for bankruptcy at the moment.
GNK's Altman-Z score of 1.89 is fine compared to the rest of the industry. GNK outperforms 62.86% of its industry peers.
GNK has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.18, GNK is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.89 |
ROIC/WACC0.03
WACC8.52%
2.3 Liquidity
A Current Ratio of 2.36 indicates that GNK has no problem at all paying its short term obligations.
GNK has a better Current ratio (2.36) than 71.43% of its industry peers.
A Quick Ratio of 1.98 indicates that GNK should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.98, GNK is doing good in the industry, outperforming 68.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.98 |
3. Growth
3.1 Past
The earnings per share for GNK have decreased strongly by -107.82% in the last year.
GNK shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -26.99% yearly.
Looking at the last year, GNK shows a very negative growth in Revenue. The Revenue has decreased by -24.58% in the last year.
Measured over the past years, GNK shows a small growth in Revenue. The Revenue has been growing by 1.66% on average per year.
EPS 1Y (TTM)-107.82%
EPS 3Y-26.99%
EPS 5YN/A
EPS Q2Q%-102.44%
Revenue 1Y (TTM)-24.58%
Revenue growth 3Y-8.22%
Revenue growth 5Y1.66%
Sales Q2Q%-0.03%
3.2 Future
GNK is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.27% yearly.
Based on estimates for the next years, GNK will show a decrease in Revenue. The Revenue will decrease by -9.00% on average per year.
EPS Next Y-79.9%
EPS Next 2Y-18.56%
EPS Next 3Y9.27%
EPS Next 5YN/A
Revenue Next Year-20.42%
Revenue Next 2Y-2.6%
Revenue Next 3Y-9%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
GNK reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
GNK is valuated rather expensively with a Price/Forward Earnings ratio of 17.65.
GNK's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.10, GNK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 17.65 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GNK is valued a bit more expensive than the industry average as 77.14% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.6 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-18.56%
EPS Next 3Y9.27%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.14%, GNK has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 7.48, GNK pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, GNK pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.14% |
5.2 History
On average, the dividend of GNK grows each year by 25.86%, which is quite nice.
GNK has been paying a dividend for over 5 years, so it has already some track record.
GNK has decreased its dividend recently.
Dividend Growth(5Y)25.86%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of GNK are negative and hence is the payout ratio. GNK will probably not be able to sustain this dividend level.
GNK's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP-611.58%
EPS Next 2Y-18.56%
EPS Next 3Y9.27%
19.32
+0.23 (+1.2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners56.2%
Inst Owner Change-4.87%
Ins Owners1.74%
Ins Owner Change2.22%
Market Cap835.40M
Revenue(TTM)331.33M
Net Income(TTM)-7.10M
Analysts80
Price Target22.53 (16.61%)
Short Float %8.86%
Short Ratio5.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.14% |
Yearly Dividend1.58
Dividend Growth(5Y)25.86%
DP-611.58%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-54.09%
Min EPS beat(2)-104.64%
Max EPS beat(2)-3.54%
EPS beat(4)0
Avg EPS beat(4)-34.62%
Min EPS beat(4)-104.64%
Max EPS beat(4)-3.54%
EPS beat(8)2
Avg EPS beat(8)-17.77%
EPS beat(12)5
Avg EPS beat(12)-13.34%
EPS beat(16)6
Avg EPS beat(16)-10.72%
Revenue beat(2)2
Avg Revenue beat(2)4.03%
Min Revenue beat(2)4.02%
Max Revenue beat(2)4.03%
Revenue beat(4)4
Avg Revenue beat(4)5.87%
Min Revenue beat(4)4.02%
Max Revenue beat(4)8.58%
Revenue beat(8)6
Avg Revenue beat(8)6.56%
Revenue beat(12)7
Avg Revenue beat(12)6.9%
Revenue beat(16)11
Avg Revenue beat(16)10.99%
PT rev (1m)1.42%
PT rev (3m)3.05%
EPS NQ rev (1m)-5.58%
EPS NQ rev (3m)11.87%
EPS NY rev (1m)23.07%
EPS NY rev (3m)-0.61%
Revenue NQ rev (1m)-2.37%
Revenue NQ rev (3m)3.46%
Revenue NY rev (1m)0.95%
Revenue NY rev (3m)-7.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 17.65 | ||
| P/S | 2.52 | ||
| P/FCF | N/A | ||
| P/OCF | 18.17 | ||
| P/B | 0.94 | ||
| P/tB | 0.94 | ||
| EV/EBITDA | 11.6 |
EPS(TTM)-0.14
EYN/A
EPS(NY)1.09
Fwd EY5.66%
FCF(TTM)-0.53
FCFYN/A
OCF(TTM)1.06
OCFY5.5%
SpS7.66
BVpS20.49
TBVpS20.49
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.64% | ||
| ROE | -0.8% | ||
| ROCE | 0.37% | ||
| ROIC | 0.29% | ||
| ROICexc | 0.32% | ||
| ROICexgc | 0.32% | ||
| OM | 1.18% | ||
| PM (TTM) | N/A | ||
| GM | 34.02% | ||
| FCFM | N/A |
ROA(3y)6.54%
ROA(5y)3.29%
ROE(3y)7.74%
ROE(5y)2.56%
ROIC(3y)6.73%
ROIC(5y)6.81%
ROICexc(3y)7.06%
ROICexc(5y)7.32%
ROICexgc(3y)7.06%
ROICexgc(5y)7.32%
ROCE(3y)8.51%
ROCE(5y)8.62%
ROICexgc growth 3Y-24.91%
ROICexgc growth 5YN/A
ROICexc growth 3Y-24.91%
ROICexc growth 5YN/A
OM growth 3Y-20.17%
OM growth 5YN/A
PM growth 3Y-18.42%
PM growth 5YN/A
GM growth 3Y-5.33%
GM growth 5Y10.39%
F-Score2
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.06 | ||
| Cap/Depr | 94.41% | ||
| Cap/Sales | 20.84% | ||
| Interest Coverage | 0.44 | ||
| Cash Conversion | 59.67% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.98 | ||
| Altman-Z | 1.89 |
F-Score2
WACC8.52%
ROIC/WACC0.03
Cap/Depr(3y)105.67%
Cap/Depr(5y)111.35%
Cap/Sales(3y)16.11%
Cap/Sales(5y)15.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-107.82%
EPS 3Y-26.99%
EPS 5YN/A
EPS Q2Q%-102.44%
EPS Next Y-79.9%
EPS Next 2Y-18.56%
EPS Next 3Y9.27%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.58%
Revenue growth 3Y-8.22%
Revenue growth 5Y1.66%
Sales Q2Q%-0.03%
Revenue Next Year-20.42%
Revenue Next 2Y-2.6%
Revenue Next 3Y-9%
Revenue Next 5YN/A
EBIT growth 1Y-95.28%
EBIT growth 3Y-26.73%
EBIT growth 5YN/A
EBIT Next Year6.27%
EBIT Next 3Y23.17%
EBIT Next 5YN/A
FCF growth 1Y-128.77%
FCF growth 3Y-14.83%
FCF growth 5Y50.46%
OCF growth 1Y-47.8%
OCF growth 3Y-18.12%
OCF growth 5Y16.35%
GENCO SHIPPING & TRADING LTD / GNK FAQ
What is the ChartMill fundamental rating of GENCO SHIPPING & TRADING LTD (GNK) stock?
ChartMill assigns a fundamental rating of 3 / 10 to GNK.
What is the valuation status for GNK stock?
ChartMill assigns a valuation rating of 1 / 10 to GENCO SHIPPING & TRADING LTD (GNK). This can be considered as Overvalued.
How profitable is GENCO SHIPPING & TRADING LTD (GNK) stock?
GENCO SHIPPING & TRADING LTD (GNK) has a profitability rating of 2 / 10.
Can you provide the financial health for GNK stock?
The financial health rating of GENCO SHIPPING & TRADING LTD (GNK) is 5 / 10.
What is the expected EPS growth for GENCO SHIPPING & TRADING LTD (GNK) stock?
The Earnings per Share (EPS) of GENCO SHIPPING & TRADING LTD (GNK) is expected to decline by -79.9% in the next year.