Danaos (NYSE:DAC) Hits New 52-Week High - Should You Buy?

Key Points

• Danaos stock hit a new 52-week high, trading as high as $135.63 before closing around $135.11, well above its prior close of $132.19.
• Recent analyst activity has been favorable, with one firm upgrading the stock to strong-buy and the current consensus rating standing at Buy. However, the average price target of $105.00 is still below the current share price.
• The company posted better-than-expected quarterly results, earning $6.72 per share versus an estimate of $5.86 and generating $253.7 million in revenue. Danaos also announced a quarterly dividend of $0.90 per share, or $3.60 annualized, for a 2.6% yield.

Danaos Corporation (NYSE:DAC - Get Free Report) shares reached a new 52-week high on Thursday . The stock traded as high as $135.63 and last traded at $135.1050, with a volume of 47990 shares traded. The stock had previously closed at $132.19.

Analyst Ratings Changes

A number of research analysts recently weighed in on the stock. Fearnley Fonds raised shares of Danaos from a "hold" rating to a "strong-buy" rating in a research note on Thursday, April 30th. Weiss Ratings raised Danaos from a "buy (b)" rating to a "buy (b+)" rating in a report on Tuesday, July 14th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Buy" and an average price target of $105.00.

Danaos Price Performance

The stock's fifty day moving average price is $128.13 and its 200-day moving average price is $117.09. The firm has a market cap of $2.48 billion, a PE ratio of 4.80 and a beta of 0.89. The company has a debt-to-equity ratio of 0.26, a current ratio of 8.66 and a quick ratio of 8.40.

Danaos (NYSE:DAC - Get Free Report) last posted its quarterly earnings results on Monday, May 11th. The shipping company reported $6.72 earnings per share for the quarter, topping the consensus estimate of $5.86 by $0.86. Danaos had a net margin of 49.85% and a return on equity of 13.18%. The firm had revenue of $253.70 million for the quarter, compared to the consensus estimate of $242.20 million.

Danaos Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, July 30th. Stockholders of record on Tuesday, July 21st will be issued a dividend of $0.90 per share. This represents a $3.60 annualized dividend and a dividend yield of 2.6%. The ex-dividend date is Tuesday, July 21st. Danaos's payout ratio is currently 12.70%.

Institutional Investors Weigh In On Danaos

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Kestra Advisory Services LLC acquired a new position in Danaos during the fourth quarter worth $43,000. Ascentis Independent Advisors purchased a new position in shares of Danaos during the 1st quarter worth $56,000. Raymond James Financial Inc. purchased a new position in shares of Danaos during the 2nd quarter worth $64,000. Tower Research Capital LLC TRC acquired a new position in shares of Danaos during the 2nd quarter valued at about $67,000. Finally, Farther Finance Advisors LLC boosted its position in shares of Danaos by 165.0% during the 4th quarter. Farther Finance Advisors LLC now owns 779 shares of the shipping company's stock valued at $73,000 after acquiring an additional 485 shares during the last quarter. Institutional investors and hedge funds own 19.01% of the company's stock.

Danaos Company Profile

Danaos Corporation is a leading independent owner and manager of containerships, specializing in long-term charters of modern vessels to major liner companies worldwide. The company's core services include vessel acquisition and sale, technical and crew management, and commercial chartering, all aimed at supporting global containerized trade. Danaos leverages its in-house expertise in operations, maintenance and regulatory compliance to ensure reliable and efficient fleet performance.

Founded in 1972 by Dr.

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