Daily Stock Analysis: Eagle Bulk Shipping

By Fredrik Arnold

Tuesday, August 2, 2022 4:46 AM EST

Eagle Bulk Shipping Inc with the ticker (EGLE), is a small-cap marine shipping company operating in the industrials business sector. This is the second of five industrials candidates competing for the forty-fourth slot in the Viital folio. It is my first ever report on Eagle Bulk Shipping Inc for my Viital portfolio or any of my previous six portfolios.

Eagle Bulk Shipping Inc operates in the shipping and logistics industry. It is engaged in the ocean transportation of dry bulk cargoes through the ownership, charter, and operation of dry bulk vessels.

The company's fleet is comprised of Supramax and Ultramax bulk carriers. The firm provides the following services: commercial operations & technical supervision; vessel maintenance and repair; vessel acquisition and sale; finance, accounting, treasury and information technology services; and legal, compliance and insurance services.

It transports a broad range of major and minor bulk cargoes, including coal, grain, ore, pet coke, cement, and fertilizer.

As of December 31, 2021, the company owned and operated a fleet of 53 vessels.

Eagle Bulk Shipping Inc. was incorporated in 2005 and is headquartered in Stamford, Connecticut.

Three key data points gauge any dividend equity or fund such as Eagle Bulk Shipping Inc:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

EGLE Price

Eagle’s price per share was $53.82 as of yesterday's market close. One year ago it’s price was $41.70. Thus, EGLE share price rose $12.12 or about 29% in the past year.

If Eagle’s stock trades in the range of $30.00 to $70.00 this next year, its recent $53.82 share price might rise by $6.18 to reach $60.00 by next year. My $6.18 upside estimate is based on the median of one-year price targets from seven analysts tracking EGLE shares for brokerages.

EGLE Dividends

Eagle Bulk Shipping Inc’s most recently declared quarterly dividend of $2.00 was paid May 25th, to shareholders on record as of May 13th.

Since November 26, 2021, Eagle Bulk Shipping Inc has paid Quarterly dividends. The current forward looking annual dividend of $8.00 equates to an annual yield of 14.86% as of yesterdays $53.82 share price.

EGLE Returns

Adding the $8.00 Eagle annual dividend to my estimated one-year price upside estimate of $6.18 shows a $14.18 potential gross gain, per share, to be reduced by any costs to trade EGLE shares.

At yesterday's $53.82 closing price, a little over $1000 would buy 19 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us $0.53 per share.

Subtract that maybe $0.53 brokerage cost from my estimated $14.18 gross gain estimate per share results in a net gain of $13.65 X 19 shares = $259.35, for a 25.9% net gain including a 14.86% forward looking annual dividend yield.

Over the next year our $1K investment in EGLE shares should generate $148.60 in cash dividends. Of course, a single share of EGLE stock bought at yesterday's $53.82 price is nearly 3 times less than the dividend income from our $1000.00 investment.

So, by my dogcatcher ideal, this a prime time to pick up Eagle Bulk Shipping Inc shares based on their forward looking dividends for the year 2022. The forecast annual dividend from $1K invested is 2.76 times more than yesterday’s single share price. Consider yourself alerted. It's a sign.

All of the estimates above are speculation based on the past history of Eagle Bulk Shipping Inc. Only time and money invested in this stock will determine its market value

More By This Author:

Daily Stock Analysis: Randstad N.V. (RANJY)
Daily Stock Analysis: Credit Agricole S.A.
Daily Stock Analysis: ING Groep

Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.