GENCO SHIPPING & TRADING LTD (GNK) Stock Fundamental Analysis
USA - NYSE:GNK - MHY2685T1313 - Common Stock
18.49 USD
-0.5 (-2.63%)
18.49 USD
0 (0%)
Overall GNK gets a fundamental rating of 3 out of 10. We evaluated GNK against 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
GNK had positive earnings in the past year.
In the past year GNK had a positive cash flow from operations.
In multiple years GNK reported negative net income over the last 5 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 45.71% of its industry peers.
GNK has a Return On Equity of 1.73%. This is in the lower half of the industry: GNK underperforms 62.86% of its industry peers.
With a Return On Invested Capital value of 1.75%, GNK is not doing good in the industry: 62.86% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for GNK is in line with the industry average of 7.39%.
The last Return On Invested Capital (1.75%) for GNK is well below the 3 year average (6.73%), which needs to be investigated, but indicates that GNK had better years and this may not be a problem.
| 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 has a worse Profit Margin (4.39%) than 60.00% of its industry peers.
In the last couple of years the Profit Margin of GNK has declined.
GNK's Operating Margin of 6.27% is on the low side compared to the rest of the industry. GNK is outperformed by 62.86% of its industry peers.
GNK's Operating Margin has declined in the last couple of years.
GNK has a Gross Margin of 36.23%. This is comparable to the rest of the industry: GNK outperforms 42.86% of its industry peers.
GNK's Gross Margin has improved in the last couple of years.
| 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
GNK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, GNK has more shares outstanding
Compared to 5 years ago, GNK has more shares outstanding
Compared to 1 year ago, GNK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.95 indicates that GNK is not a great score, but indicates only limited risk for bankruptcy at the moment.
GNK has a Altman-Z score of 2.95. This is amongst the best in the industry. GNK outperforms 88.57% of its industry peers.
The Debt to FCF ratio of GNK is 7.47, which is on the high side as it means it would take GNK, 7.47 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.47, GNK is in line with its industry, outperforming 60.00% of the companies in the same 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 | 2.95 |
ROIC/WACC0.21
WACC8.52%
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.
GNK has a Quick ratio of 1.20. This is comparable to the rest of the industry: GNK outperforms 45.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
GNK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -78.29%.
The earnings per share for GNK have been decreasing by -26.99% on average. This is quite bad
Looking at the last year, GNK shows a very negative growth in Revenue. The Revenue has decreased by -17.16% in the last year.
The Revenue has been growing slightly by 1.66% on average over the past years.
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 3.78% yearly.
Based on estimates for the next years, GNK will show a very negative growth in Revenue. The Revenue will decrease by -10.77% on average per year.
EPS Next Y-79.78%
EPS Next 2Y-22.94%
EPS Next 3Y3.78%
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
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.
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
A Price/Earnings ratio of 66.04 indicates a quite expensive valuation of GNK.
Based on the Price/Earnings ratio, GNK is valued a bit more expensive than 65.71% of the companies in the same industry.
GNK's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.06.
Based on the Price/Forward Earnings ratio of 18.87, the valuation of GNK can be described as rather expensive.
GNK's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.64. GNK is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.04 | ||
| Fwd PE | 18.87 |
4.2 Price Multiples
62.86% of the companies in the same industry are cheaper than GNK, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as GNK.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 63.8 | ||
| EV/EBITDA | 9.27 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-22.94%
EPS Next 3Y3.78%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.19%, GNK has a reasonable but not impressive dividend return.
GNK's Dividend Yield is a higher than the industry average which is at 6.45.
GNK's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
5.2 History
The dividend of GNK is nicely growing with an annual growth rate of 25.86%!
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
GNK pays out 334.25% of its income as dividend. 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-22.94%
EPS Next 3Y3.78%
18.49
-0.5 (-2.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners66.4%
Inst Owner Change-14.09%
Ins Owners1.72%
Ins Owner Change14.57%
Market Cap794.33M
Analysts80
Price Target21.54 (16.5%)
Short Float %9.2%
Short Ratio4.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
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)3.51%
PT rev (3m)5.15%
EPS NQ rev (1m)-22.69%
EPS NQ rev (3m)-43.2%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.03%
Revenue NQ rev (1m)-1.02%
Revenue NQ rev (3m)1.38%
Revenue NY rev (1m)-0.19%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.04 | ||
| Fwd PE | 18.87 | ||
| P/S | 2.26 | ||
| P/FCF | 63.8 | ||
| P/OCF | 10.75 | ||
| P/B | 0.89 | ||
| P/tB | 0.89 | ||
| EV/EBITDA | 9.27 |
EPS(TTM)0.28
EY1.51%
EPS(NY)0.98
Fwd EY5.3%
FCF(TTM)0.29
FCFY1.57%
OCF(TTM)1.72
OCFY9.3%
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 | 2.95 |
F-Score5
WACC8.52%
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-79.78%
EPS Next 2Y-22.94%
EPS Next 3Y3.78%
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 Year9.57%
EBIT Next 3Y20.57%
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%