Category: Industrials

Pyxis Tankers (PXS) – Use of short-term & spot prices paying off as tanker rates rise

Posted on by cpereira@noblefcm.com


Tuesday, November 15, 2022

We currently own a modern fleet of five tankers engaged in seaborne transportation of refined petroleum products and other bulk liquids. We are focused on growing our fleet of medium range product tankers, which provide operational flexibility and enhanced earnings potential due to their “eco” features and modifications. We are positioned to opportunistically expand and maximize our fleet due to competitive cost structure, strong customer relationships and an experienced management team whose interests are aligned with those of its shareholders. For more information, visit: http://www.pyxistankers.com.

Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Pyxis Tankers reported another quarter of impressive results due to higher tanker shipping rates. Pyxis reported net revenues of $17.0 million for the 2022-2Q, up from $7.0 million for the same period last year and in line with expectations. Higher revenues reflect a TCE rate of 29,062 versus 7,326.  Higher revenues more than offset increased vessel operating costs, which were $5.0 million versus $3.6 million. The result was a boost to adjusted EBITDA to $8.0 million versus $(1.3) million. Net income available to common was $5.1 million ($0.42 per diluted share) versus a loss of $3.7 million ($0.39 per diluted share).

The near-term outlook remains favorable. The displacement of traditional shipping routes caused by the conflict in Ukraine has led to longer voyages at higher prices. This will most likely continue and may even accelerate as European countries replace Russian natural gas with oil and diesel. In addition, the Chinese government has now authorized the export of refined oil, which may lead to additional demand for tankers. Pyxis has committed three of its five vessels to short-term charters at rates above 30,000 while leaving the remaining two vessels to receive spot prices. Traditional, tanker shipping prices are strong in the winter heating season.


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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Euroseas (ESEA) – The tide has turned but Euroseas is well protected

Posted on by cpereira@noblefcm.com


Tuesday, November 15, 2022

Euroseas Ltd. was formed on May 5, 2005 under the laws of the Republic of the Marshall Islands to consolidate the ship owning interests of the Pittas family of Athens, Greece, which has been in the shipping business over the past 140 years. Euroseas trades on the NASDAQ Capital Market under the ticker ESEA. Euroseas operates in the container shipping market. Euroseas’ operations are managed by Eurobulk Ltd., an ISO 9001:2008 and ISO 14001:2004 certified affiliated ship management company, which is responsible for the day-to-day commercial and technical management and operations of the vessels. Euroseas employs its vessels on spot and period charters and through pool arrangements.

Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Results rise on higher shipping rates and additional ships. Euroseas reported net revenues of $46 million for the quarter ended September 30, 2022 versus $23 million for the same period last year. Higher revenues reflect an increase in the TCE rate to $30,893 from $19,482 and the deployment of 18 vessels versus 14 last year. Results were a few million below our forecast as was adjusted net income of $20.9 million. The company continues to buck industry trends by holding the line on vessel costs per shipping day.

Euroseas is well protected from the recent sharp decline in shipping rates. Euroseas has locked in 99% of its shipping days for the rest of the year, 78% of 2023 shipping days, and 54% of 2024 shipping days. In fact it has even chartered three new builds to be delivered in 2023. Management indicated it is unlikely to lock in rates any time in the near future for the four ships to be delivered in 2024. While realized TCE rates will undoubtedly slip below $30,000 in upcoming quarters, the company will not face the sharp declines most other shippers will face.


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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

EuroDry (EDRY) – Lower results reflect declining shipping rates, Price Target lowered.

Posted on by cpereira@noblefcm.com


Monday, November 14, 2022

EuroDry Ltd. was formed on January 8, 2018 under the laws of the Republic of the Marshall Islands to consolidate the drybulk fleet of Euroseas Ltd. into a separate listed public company. EuroDry was spun-off from Euroseas Ltd. on May 30, 2018; it trades on the NASDAQ Capital Market under the ticker EDRY. EuroDry operates in the dry cargo, drybulk shipping market. EuroDry’s operations are managed by Eurobulk Ltd., an ISO 9001:2008 and ISO 14001:2004 certified affiliated ship management company and Eurobulk (Far East) Ltd. Inc., which are responsible for the day- to-day commercial and technical management and operations of the vessels. EuroDry employs its vessels on spot and period charters and under pool agreements.

Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

EuroDry reported 2022-3Q revenues, EBITDA and net income below comparable periods and our estimates. Net revenues of $15.8 million were below that of the same period last year ($19.5 million), the 2022-2Q ($21.0 million) and our estimate ($19.5 million). Results reflect a decline in TCE rates to $20,637 and a reduction in voyage days due to 92 scheduled off days. Adjusted ebitda was $9.5 million as the $4-5 million revenue shortfall versus previous periods and our estimate carried down to the ebitda line. Adjusted net income was $5.7 million, or $1.93 per share, well below our $9.5 million or $3.27 per share estimate.

The company’s sensitivity to shipping rates is apparent as it locks in rates at lower prices. EuroDry has locked in 53% of 2022-4Q shipping days but virtually no days beyond 2022. Shipping contracts agreed in recent months have largely been below $15,000 reflecting a 35-50% drop in pricing since the second quarter. Management remains confident shipping rates will eventually improve as global economic conditions improve but near-term comps will be tough. As such, this quarter’s decision to schedule off days for repairs and ship improvements while rates are low seems logical.


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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Genco Shipping (GNK) – Another solid quarter in the books

Posted on by cpereira@noblefcm.com


Friday, November 11, 2022

Genco Shipping & Trading Limited, incorporated on September 27, 2004, transports iron ore, coal, grain, steel products and other drybulk cargoes along shipping routes through the ownership and operation of drybulk carrier vessels. The Company is engaged in the ocean transportation of drybulk cargoes around the world through the ownership and operation of drybulk carrier vessels. As of December 31, 2016, its fleet consisted of 61 drybulk carriers, including 13 Capesize, six Panamax, four Ultramax, 21 Supramax, two Handymax and 15 Handysize drybulk carriers, with an aggregate carrying capacity of approximately 4,735,000 deadweight tons (dwt). Of the vessels in its fleet, 15 are on spot market-related time charters, and 27 are on fixed-rate time charter contracts. As of December 31, 2016, additionally, 19 of the vessels in its fleet were operating in vessel pools.

Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Locking in shipping rates when prices were high is paying off. Genco reported revenues of $136 million for the 2022-3Q. While revenues were below 2021-3Q levels of $155 million, they were close to 2022-2Q levels and our expectations. TCE rates were $23,624 down slightly from the previous quarter due to lower spot rates, but reflective of management’s strategy of locking in rates for roughly 75% of shipping days. With spot rates now having fallen below $15,000, such a strategy is proving to have paid off.

Costs are rising but shipping rates are still well above Genco’s break-even point. Genco, like most of the industry, is facing higher costs as labor, steel, and fuel costs rise. That said, shipping rates (even lower spot rates) are well above Genco’s break-even point of roughly $9,000/shipping day. The company continues to generate large significant free cash flow which it has used to reduce debt ($261 million since 2021) and pay a dividend ($2.74 per share in the last four quarters). Free cash flow will most likely decline in future quarters, but should be ample enough to continue to reduce debt and pay a dividend. 


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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Oil Market Drivers Attract Historic Bullish Positions

Posted on by phoffman@channelchek.com
Image Credit: Kurayba (Flickr)

Factors Still Point to Higher Oil Prices and Sizeable Bets on Crude

There are many factors impacting why traditional energy prices and producers may have a hurricane-force tailwind heading into the holidays and next year.

A boost in demand for oil is expected as China just announced that it is lowering its quarantine requirements for visitors from outside the country. But Chinese Covid policies aren’t the only impetus pushing up oil demand – around the globe, there are supply challenges that are playing out. Oil hasn’t risen above $100 a barrel since early Summer, some traders are speculating it will rise above $200 in the coming months. Here’s why.

China

In addition to the announcement that the CPR was cutting the required quarantine period for the country (to five days from seven, with three days of home isolation), the required PCR test hurdle is being lowered as well. And airlines no longer run the risk of being suspended if the travelers they bring in that test positive is five or more.

Europe

The European Union has agreed to stop all oil imports from Russia on Dec. 5. The plan is to cap the prices at which EU nations would buy oil from Russia, that price is expected to be near $60 per barrel. Russia has reacted by increasing exports to Asia, but the price cap is expected to reduce its exports and lower total supply by up to one million barrels per day.

United States

Back in May, the U.S. took the drastic step of increasing available supply by selling oil from the U.S. Strategic Petroleum Reserve at a rate of nearly one million barrels per day starting in May. The increased supply has kept oil prices down. But the sales are unsustainable and expected to be reduced. Congress has allowed another sale of 26 million barrels that are expected to carry through to October 2023. This is a much slower pace of oil releases from the reserves. Plus, the reserves will need to be replenished.

After the Congressionally approved release, the reserve will be down to 348 million barrels, this is half the quantity compared to January of this year —the lowest since 1983. Congress has said that the reserve must stay above 252.4 million barrels, and the incoming Congress is expected to be more conservative when it comes to using these strategic assets to control prices.

Production growth overall in the U.S. has stalled after having increased through most of the year. Government data show that U.S. production dropped to 11.9 million barrels per day last week, this is tied for the lowest level in several months. Supplies of products such as diesel and heating oil in the U.S. are at multiyear lows. So there is not abundant supply should a weather-related or some other fuel-demanding crisis surface.

Source: Koyfin

Prices

Oil is now trading between $92 and $93 a barrel. It had reached a high above $130 in March, shortly after the war began, and hasn’t seen the $100 a barrel level since late June.

Trading this week showed significant flows into an options contract that speculates that $200 per barrel may be in store. The most actively traded Brent crude options contract on Thursday was an option to buy Brent at $200 in March 2023. This was the most active oil contract of the day.

How significant is this bullish activity surrounding oil prices? The ratio of bullish to bearish bets in the options market is wider than at any time in recorded history, according to Bloomberg. Oil options traders are positioned more aggressively than ever before.

Take Away

Oil demand could rise soon in China as travel restrictions are lessened. Elsewhere in the world, oil demand is expected to increase as supplies remain the same or decrease. Demand remained elevated globally despite slower economies.

With supply likely to drop and demand ramping up, $200 by the third week in March is one price expectation for a record number of trades transacted at recently. More than doubling in a few months sounds unthinkable, but the massive trades were transacted by experienced institutional traders.

Paul Hoffman

Managing Editor, Channelchek

Release – Orion Group Holdings, Inc. Announces Contract Awards Totaling $128 Million

Posted on by aweinsoff@channelchek.com

Research, News, and Market Data on ORN

Nov 09, 2022

HOUSTON, Nov. 09, 2022 (GLOBE NEWSWIRE) — Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialty construction company, today announced a contract award for its Concrete segment valued at over $40 million.

Under this contract, the Company will construct a 40-story multi-family residential building in the Houston area, beginning in Q1 2023 with expected completion in Q3 2024. The team will perform construction of the mat foundation, an interior stair and elevator core, forming and placing concrete of the elevated structure, along with placement of rebar. The building includes a nine-story parking structure, 30 stories of living space, and an amenity level with an outdoor terrace. One of the company’s tower cranes will be supporting the construction of the project.

This contract along with other contract awards in Q3 totaling $128M, comprised of $53M in Concrete and $75M in Marine, will be completed throughout 2023 and 2024.

“Our recent success winning work across all segments will help set us up for a stronger 2023 and beyond,” said Travis Boone, Orion’s President and Chief Executive Officer. “We are continuing to expand our client base and focus on our key markets in both Marine and Concrete.”

About Orion Group Holdings
Orion Group Holdings, Inc., a leading specialty construction company serving the infrastructure, industrial and building sectors, provides services both on and off the water in the continental United States, Alaska, Canada and the Caribbean Basin through its marine segment and its concrete segment. The Company’s marine segment provides construction and dredging services relating to marine transportation facility construction, marine pipeline construction, marine environmental structures, dredging of waterways, channels and ports, environmental dredging, design, and specialty services. Its concrete segment provides turnkey concrete construction services including pour and finish, dirt work, layout, forming, rebar, and mesh across the light commercial, structural and other associated business areas. The Company is headquartered in Houston, Texas with regional offices throughout its operating areas.

Forward-Looking Statements
The matters discussed in this press release may constitute or include projections or other forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, the provisions of which the Company is availing itself. Certain forward-looking statements can be identified by the use of forward-looking terminology, such as ‘believes’, ‘expects’, ‘may’, ‘will’, ‘could’, ‘should’, ‘seeks’, ‘approximately’, ‘intends’, ‘plans’, ‘estimates’, or ‘anticipates’, or the negative thereof or other comparable terminology, or by discussions of strategy, plans, objectives, intentions, estimates, forecasts, outlook, assumptions, or goals. In particular, statements regarding future operations or results, including those set forth in this press release and any other statement, express or implied, concerning future operating results or the future generation of or ability to generate revenues, income, net income, profit, EBITDA, EBITDA margin, or cash flow, including to service debt, and including any estimates, forecasts or assumptions regarding future revenues or revenue growth, are forward-looking statements. Forward looking statements also include estimated project start date, anticipated revenues, and contract options which may or may not be awarded in the future. Forward looking statements involve risks, including those associated with the Company’s fixed price contracts that impacts profits, unforeseen productivity delays that may alter the final profitability of the contract, cancellation of the contract by the customer for unforeseen reasons, delays or decreases in funding by the customer, levels and predictability of government funding or other governmental budgetary constraints and any potential contract options which may or may not be awarded in the future, and are the sole discretion of award by the customer. Past performance is not necessarily an indicator of future results. In light of these and other uncertainties, the inclusion of forward-looking statements in this press release should not be regarded as a representation by the Company that the Company’s plans, estimates, forecasts, goals, intentions, or objectives will be achieved or realized. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company assumes no obligation to update information contained in this press release whether as a result of new developments or otherwise.

Please refer to the Company’s Annual Report on Form 10-K, filed on March 7, 2022, which is available on its website at www.oriongroupholdingsinc.com or at the SEC’s website at www.sec.gov, for additional and more detailed discussion of risk factors that could cause actual results to differ materially from our current expectations, estimates or forecasts.

CONTACT:
Orion Group Holdings Inc.
Francis Okoniewski, VP Investor Relations
(346) 616-4138
FOkoniewski@orn.net
www.oriongroupholdingsinc.com

Source: Orion Group Holdings, Inc.

Source: Orion Group Holdings, Inc.

Kratos Defense & Security (KTOS) – Overcoming Near-term Challenges

Posted on by cpereira@noblefcm.com


Tuesday, November 08, 2022

Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS) develops and fields transformative, affordable technology, platforms, and systems for United States National Security related customers, allies, and commercial enterprises. Kratos is changing the way breakthrough technologies for these industries are rapidly brought to market through proven commercial and venture capital backed approaches, including proactive research, and streamlined development processes. At Kratos, affordability is a technology, and we specialize in unmanned systems, satellite communications, cyber security/warfare, microwave electronics, missile defense, hypersonic systems, training and combat systems and next generation turbo jet and turbo fan engine development. For more information go to www.kratosdefense.com.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

3Q22 Results. Revenue of $228.6 million, up 14% y-o-y, and in upper end of the $220-$230 million guidance. Revenue from acquisitions offset supply chain issues and staffing challenges. Adjusted EBITDA came in at $20 million, at the top end of guidance, versus $23.8 million a year ago. GAAP EPS loss was $0.06 and adjusted EPS net income was $0.08, compared to a net loss of $0.01 from continuing operations and adjusted EPS net income of $0.09, respectively, a year ago.

Where Have All the Workers Gone? An ongoing inability to hire the required planned direct labor base, both internally and by the Company’s subcontractors, is impacting the business and causing Kratos to take excess charges. Management believes the worst is behind the Company, but it remains to be seen.


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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Eagle Bulk Shipping (EGLE) – Top line results surpass recently-lowered expectations but so do costs

Posted on by cpereira@noblefcm.com


Monday, November 07, 2022

Eagle Bulk Shipping Inc. (“Eagle”) is a US-based drybulk owner-operator focused on the Supramax/Ultramax mid-size asset class, which ranges from 50,000 and 65,000 deadweight tons in size; these vessels are equipped with onboard cranes allowing for the self-loading and unloading of cargoes, a feature which distinguishes them from the larger classes of drybulk vessels and provides for greatly enhanced flexibility and versatility- both with respect to cargo diversity and port accessibility. The Company transports a broad range of major and minor bulk cargoes around the world, including coal, grain, ore, pet coke, cement, and fertilizer. Eagle operates out of three offices, Stamford (headquarters), Singapore, and Hamburg, and performs all aspects of vessel management in-house including: commercial, operational, technical, and strategic.

Michael Heim, CFA, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Eagle reported 2002-3Q Net Revenues of $185.3 million on TCE rates of $28,099. We had recently lowered our net revenue estimate to $158.9 million based on an assumed TCE rate to $25,000. Higher-than-expected revenues reflect a high level of charter-in days (1000 versus our 600 assumption) and an impressive utilization rate of 99.7%. The company has 70% of fourth-quarter available days covered at $25,040 which compares favorably with our models.

But costs were higher. Eagle reported 2002-3Q voyage expenses of $40.8 million versus $30.3 million last year and our estimate of $25.6 million. Voyage operating expenses were $33.1 million versus $28.1 million and our $27.5 million estimate. G&A expenses were $9.7 million versus $7.9 million and our $8.4 million estimate.  Higher costs reflect industry trends but bear watching going forward.


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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

Great Lakes Dredge & Dock (GLDD) – Implications of a Miss

Posted on by cpereira@noblefcm.com


Wednesday, November 02, 2022

Great Lakes Dredge & Dock Corporation is the largest provider of dredging services in the United States. In addition, Great Lakes is fully engaged in expanding its core business into the rapidly developing offshore wind energy industry. The Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 131-year history, the Company has never failed to complete a marine project. Great Lakes owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of approximately 200 specialized vessels. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the Company’s culture. The Company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

3Q22 Operating Results Disappoint. Revenue totaled $158.3 million down from $168.6 million last year and below management’s guidance of $160-$170 million. Gross margin was a shocking 2.4%, down from 21.5% in the year ago period, and management’s lower teens guidance. Adjusted EBITDA for the quarter was $1.3 million versus $32.2 million last year and our $21.8 million estimate. The Company reported a loss of $9.9 million, or a loss of $0.15 per share, for the quarter, compared to our estimate of net income of $5.4 million, or $0.08 per share, and last year’s net income of $13.8 million, or $0.21 per share.

What Happened? Lack of “book and burn” business resulted in much lower utilization, pull forward spending on maintenance expenditures taking advantage of the idle vessels, skyrocketing diesel prices impacting the 20% of diesel costs not hedged, and site conditions that remained worse than anticipated.


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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Orion Group Holdings (ORN) – Post Call Commentary

Posted on by cpereira@noblefcm.com


Monday, October 31, 2022

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Why ORN? We believe the new management team, with its relevant industry experience, sees the robust end markets and opportunities to build the business, both organically and inorganically. We believe Orion is uniquely positioned to capitalize on the extraordinary market potential, both in the Marine sector and the Concrete business.

Near-term: Picking Low Hanging Fruit.  While the new management team sets a course for the business, they are taking advantage of low hanging fruit to improve near-term operational results, such as continued improvement in contracts and reducing overhead burden.


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This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Orion Group Holdings (ORN) – 3Q22 First Look

Posted on by cpereira@noblefcm.com


Thursday, October 27, 2022

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

3Q22 Revenue. Revenue totaled $182.6 million, up 30.5% from $139.9 million in the third quarter of 2021. The increase was primarily driven by the start of large jobs awarded in the fourth quarter of 2021 in the marine segment, higher volume in the concrete segment, and the impact from claims and unapproved change orders recognized related to work primarily incurred in previous periods.

Gross Profit. Gross profit was  $13.4 million, as compared to  $6.6 million last year. Gross profit margin was 7.4%, as compared to 4.7%. The increase in gross profit dollars and margin was primarily driven by the impact from claims and unapproved change orders recognized related to work primarily incurred in previous periods, the release of discretionary project bonuses, and increased dredging activity as compared to the prior year period.


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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Orion Group Holdings (ORN) – Ian Impact

Posted on by cpatches


Tuesday, October 04, 2022

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Lowering 4Q Projections. We are taking a more conservative view of the fourth quarter given the impact of Ian on Florida. Orion has a number of projects in the area and we expect to see a push back given the need for more humanitarian efforts. We are now forecasting revenue of $165 million for the quarter, down from a prior $168 million estimate, adjusted EBITDA of $8.55 million, down from $10.55 million, and breakeven EPS, down from a prior $0.03 EPS estimate. For the full year, we are now at revenue of $709.5 million and adjusted EBITDA of $28.1 million.

But More Future Work? The devastation wrought by Ian is undeniable, not just in Florida but also in the Carolinas. This unfortunate event, however, could create substantial future work for Orion. While it is way too early yet to determine, typically such storms end up being a net positive in terms of new work.


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This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Great Lakes Dredge & Dock (GLDD) – More Awards

Posted on by cpatches


Monday, October 03, 2022

Great Lakes Dredge & Dock Corporation is the largest provider of dredging services in the United States. In addition, Great Lakes is fully engaged in expanding its core business into the rapidly developing offshore wind energy industry. The Company has a long history of performing significant international projects. The Company employs experienced civil, ocean and mechanical engineering staff in its estimating, production and project management functions. In its over 131-year history, the Company has never failed to complete a marine project. Great Lakes owns and operates the largest and most diverse fleet in the U.S. dredging industry, comprised of approximately 200 specialized vessels. Great Lakes has a disciplined training program for engineers that ensures experienced-based performance as they advance through Company operations. The Company’s Incident-and Injury-Free® (IIF®) safety management program is integrated into all aspects of the Company’s culture. The Company’s commitment to the IIF® culture promotes a work environment where employee safety is paramount.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

More Awards. In the last week of the Federal government’s fiscal year, Great Lakes was the recipient of additional work. The Department of Defense contract awards reports four additional significant wins totaling a cumulative $109.8 million of potential new business.

Sole Awards. The Company received a $26.6 million award for dredging with work to be performed in Savannah, Georgia; Brunswick, Georgia; Wilmington, North Carolina; Morehead City, North Carolina; and Charleston, South Carolina; a $12.195 million contract for dredging with work to be performed in Irvington, Alabama; and a $21.531 million award for beach re-nourishment in Cape May, New Jersey.


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This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.