GENCO SHIPPING & TRADING LTD (GNK) Stock Fundamental Analysis
USA - NYSE:GNK - MHY2685T1313 - Common Stock
16.22 USD
-0.07 (-0.43%)
16.22 USD
0 (0%)
GNK gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 35 industry peers in the Marine Transportation industry. GNK scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. GNK is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year GNK was profitable.
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.
Each year in the past 5 years GNK had a positive operating cash flow.
1.2 Ratios
GNK's Return On Assets of 1.48% is in line compared to the rest of the industry. GNK outperforms 42.86% of its industry peers.
GNK has a worse Return On Equity (1.73%) than 62.86% of its industry peers.
GNK has a worse Return On Invested Capital (1.75%) than 65.71% of its industry peers.
GNK had an Average Return On Invested Capital over the past 3 years of 6.73%. This is significantly below the industry average of 18.85%.
The 3 year average ROIC (6.73%) for GNK is well above the current ROIC(1.75%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.48% | ||
| ROE | 1.73% | ||
| ROIC | 1.75% |
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
GNK's Profit Margin of 4.39% is on the low side compared to the rest of the industry. GNK is outperformed by 62.86% of its industry peers.
GNK's Profit Margin has declined in the last couple of years.
GNK has a worse Operating Margin (6.27%) than 65.71% of its industry peers.
GNK's Operating Margin has declined in the last couple of years.
GNK has a worse Gross Margin (36.23%) than 60.00% of its industry peers.
In the last couple of years the Gross Margin of GNK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.27% | ||
| PM (TTM) | 4.39% | ||
| GM | 36.23% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), GNK is destroying value.
Compared to 1 year ago, GNK has more shares outstanding
GNK has more shares outstanding than it did 5 years ago.
GNK has a better debt/assets ratio than last year.
2.2 Solvency
GNK has an Altman-Z score of 2.48. This is not the best score and indicates that GNK is in the grey zone with still only limited risk for bankruptcy at the moment.
GNK's Altman-Z score of 2.48 is fine compared to the rest of the industry. GNK outperforms 80.00% of its industry peers.
GNK has a debt to FCF ratio of 7.47. This is a slightly negative value and a sign of low solvency as GNK would need 7.47 years to pay back of all of its debts.
The Debt to FCF ratio of GNK (7.47) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.10 indicates that GNK is not too dependend on debt financing.
GNK has a Debt to Equity ratio of 0.10. This is in the better half of the industry: GNK outperforms 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 7.47 | ||
| Altman-Z | 2.48 |
ROIC/WACC0.21
WACC8.37%
2.3 Liquidity
GNK has a Current Ratio of 1.63. This is a normal value and indicates that GNK is financially healthy and should not expect problems in meeting its short term obligations.
GNK has a Current ratio (1.63) which is comparable to the rest of the industry.
A Quick Ratio of 1.20 indicates that GNK should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.20, GNK perfoms like the industry average, outperforming 48.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The earnings per share for GNK have decreased strongly by -78.29% in the last year.
The earnings per share for GNK have been decreasing by -26.99% on average. This is quite bad
GNK shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -17.16%.
GNK shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.66% yearly.
EPS 1Y (TTM)-78.29%
EPS 3Y-26.99%
EPS 5YN/A
EPS Q2Q%-130.43%
Revenue 1Y (TTM)-17.16%
Revenue growth 3Y-8.22%
Revenue growth 5Y1.66%
Sales Q2Q%-24.39%
3.2 Future
GNK is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.03% yearly.
GNK is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -10.77% yearly.
EPS Next Y-81.55%
EPS Next 2Y-16.75%
EPS Next 3Y6.03%
EPS Next 5YN/A
Revenue Next Year-13.72%
Revenue Next 2Y-2.68%
Revenue Next 3Y-10.77%
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
Based on the Price/Earnings ratio of 57.93, the valuation of GNK can be described as expensive.
68.57% of the companies in the same industry are cheaper than GNK, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.40. GNK is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 14.18, which indicates a correct valuation of GNK.
The rest of the industry has a similar Price/Forward Earnings ratio as GNK.
GNK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.93 | ||
| Fwd PE | 14.18 |
4.2 Price Multiples
GNK's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. GNK is more expensive than 62.86% of the companies in the same industry.
GNK's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.96 | ||
| EV/EBITDA | 8.04 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-16.75%
EPS Next 3Y6.03%
5. Dividend
5.1 Amount
GNK has a Yearly Dividend Yield of 3.66%.
Compared to an average industry Dividend Yield of 7.01, GNK pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, GNK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
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
334.25% of the earnings are spent on dividend by GNK. This is not a sustainable payout ratio.
The dividend of GNK is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP334.25%
EPS Next 2Y-16.75%
EPS Next 3Y6.03%
16.22
-0.07 (-0.43%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners58.92%
Inst Owner Change-0.05%
Ins Owners1.75%
Ins Owner Change2.22%
Market Cap696.81M
Analysts80
Price Target21.54 (32.8%)
Short Float %10.77%
Short Ratio5.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.66% |
Yearly Dividend1.58
Dividend Growth(5Y)25.86%
DP334.25%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.34%
Min EPS beat(2)-9.14%
Max EPS beat(2)-3.54%
EPS beat(4)0
Avg EPS beat(4)-8.79%
Min EPS beat(4)-21.15%
Max EPS beat(4)-1.32%
EPS beat(8)3
Avg EPS beat(8)-2.1%
EPS beat(12)5
Avg EPS beat(12)-5.23%
EPS beat(16)7
Avg EPS beat(16)-4.11%
Revenue beat(2)2
Avg Revenue beat(2)5.43%
Min Revenue beat(2)4.02%
Max Revenue beat(2)6.84%
Revenue beat(4)3
Avg Revenue beat(4)3.32%
Min Revenue beat(4)-6.14%
Max Revenue beat(4)8.58%
Revenue beat(8)5
Avg Revenue beat(8)5.49%
Revenue beat(12)7
Avg Revenue beat(12)8.31%
Revenue beat(16)11
Avg Revenue beat(16)12.49%
PT rev (1m)1.6%
PT rev (3m)5.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-38.28%
EPS NY rev (1m)-8.77%
EPS NY rev (3m)-19.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.93 | ||
| Fwd PE | 14.18 | ||
| P/S | 1.99 | ||
| P/FCF | 55.96 | ||
| P/OCF | 9.43 | ||
| P/B | 0.78 | ||
| P/tB | 0.78 | ||
| EV/EBITDA | 8.04 |
EPS(TTM)0.28
EY1.73%
EPS(NY)1.14
Fwd EY7.05%
FCF(TTM)0.29
FCFY1.79%
OCF(TTM)1.72
OCFY10.6%
SpS8.16
BVpS20.75
TBVpS20.75
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.48% | ||
| ROE | 1.73% | ||
| ROCE | 2.22% | ||
| ROIC | 1.75% | ||
| ROICexc | 1.82% | ||
| ROICexgc | 1.82% | ||
| OM | 6.27% | ||
| PM (TTM) | 4.39% | ||
| GM | 36.23% | ||
| FCFM | 3.55% |
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%
ROICexcg growth 3Y-24.91%
ROICexcg 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-Score5
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 7.47 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 85.01% | ||
| Cap/Sales | 17.51% | ||
| Interest Coverage | 2.45 | ||
| Cash Conversion | 78.39% | ||
| Profit Quality | 80.79% | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 2.48 |
F-Score5
WACC8.37%
ROIC/WACC0.21
Cap/Depr(3y)104.1%
Cap/Depr(5y)110.41%
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)-78.29%
EPS 3Y-26.99%
EPS 5YN/A
EPS Q2Q%-130.43%
EPS Next Y-81.55%
EPS Next 2Y-16.75%
EPS Next 3Y6.03%
EPS Next 5YN/A
Revenue 1Y (TTM)-17.16%
Revenue growth 3Y-8.22%
Revenue growth 5Y1.66%
Sales Q2Q%-24.39%
Revenue Next Year-13.72%
Revenue Next 2Y-2.68%
Revenue Next 3Y-10.77%
Revenue Next 5YN/A
EBIT growth 1Y-63.46%
EBIT growth 3Y-26.73%
EBIT growth 5YN/A
EBIT Next Year6.27%
EBIT Next 3Y23.17%
EBIT Next 5YN/A
FCF growth 1Y-89.48%
FCF growth 3Y-14.83%
FCF growth 5Y50.46%
OCF growth 1Y-42.74%
OCF growth 3Y-18.12%
OCF growth 5Y16.35%