Dry Bulk Moving Against Current

With the market having another difficult session, it appears many investors are seeking shelter in dry-bulk shipping. A number of the industry’s largest companies are having solid share advances on Tuesday – some by double digits.

Several months ago, dry-bulk shipping was the place to be. Rising commodity prices put these shipping companies in high demand, and many of them enjoyed Zacks #1 Ranks and exuberant gains in both share price and earnings estimates. Since then though, the space has moderated significantly. Nevertheless, demand for shipping companies remains high, and expectations for rate increases in the second half have many thinking that there are attractive valuations in the space.

So far today, Genco Shipping & Trading Ltd. (GNK) is up about 10%, Excel Maritime Carriers (EXM) has advanced about 11%, Eagle Bulk Shipping (EGLE) has gained around 6.7%, DryShips (DRYS) is up 8.7% and Diana Shipping (DSX) moved higher 4%. All of these companies are Zacks #3 Ranks at the moment. Meanwhile, TBS International Ltd. (TBSI), which enjoys a Zacks #1 Rank, is up around 11.4%.

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Read the full analyst report on EXM

Read the full analyst report on EGLE

Read the full analyst report on DRYS

Read the full analyst report on DSX

Read the full analyst report on TBSI