Thursday, July 30, 2020
Seanergy Maritime (SHIP)
Lower 2Q2020 TCE Rates Drive EBITDA and Price Target Revisions
Seanergy Maritime Holdings Corp., an international shipping company, provides marine dry bulk transportation services through the ownership and operation of dry bulk vessels. Seanergy Maritime Holdings Corp. is the only pure-play Capesize shipping company listed in the US capital markets. Seanergy provides marine dry bulk transportation services through a modern fleet of 10 Capesize vessels, with total capacity of approximately 1,748,581 dwt and an average fleet age of about 9.8 years. The Company is incorporated in the Marshall Islands with executive offices in Athens, Greece and an office in Hong Kong. The Company’s common shares trade on the Nasdaq Capital Market under the symbol “SHIP” and class A warrants under “SHIPW”.
Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
- 2Q2020 results likely to be weaker due to lower Cape TCE rates. We estimate that 2Q2020 EBITDA will be in the negative $1.8 million range based on TCE rates in the $5.5k/day range. As a result, our 2020 EBITDA estimate is now $19.2 million based on Cape TCE rates of $12.6k/day range. Cash should approximate $32 million in 2Q2020 due to weaker operating results and negative working capital changes and close the year near the $20 million level after the Goodship acquisition.
- Acquisition of the Goodship Cape set to close in early August. While crew-change issues have delayed delivery, the acquisition appears well timed given current Cape TCE rates in the $20k/day range, albeit down from recent highs in the low …
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This Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
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