Danaos (NYSE:DAC) Reaches New 12-Month High - Still a Buy?

Danaos Corporation (NYSE:DAC - Get Free Report)'s stock price reached a new 52-week high during trading on Thursday . The stock traded as high as $92.64 and last traded at $92.20, with a volume of 74406 shares trading hands. The stock had previously closed at $90.12.

Analyst Upgrades and Downgrades

A number of equities analysts have recently weighed in on DAC shares. Jefferies Financial Group boosted their target price on Danaos from $100.00 to $105.00 and gave the stock a "buy" rating in a research note on Wednesday, May 14th. Wall Street Zen cut Danaos from a "buy" rating to a "hold" rating in a research report on Wednesday, May 14th.

Danaos Stock Performance

The company has a market cap of $1.75 billion, a P/E ratio of 3.78 and a beta of 1.36. The company has a quick ratio of 4.18, a current ratio of 4.34 and a debt-to-equity ratio of 0.21. The company's 50-day moving average is $86.90 and its two-hundred day moving average is $81.90.

Danaos (NYSE:DAC - Get Free Report) last posted its quarterly earnings results on Tuesday, May 13th. The shipping company reported $6.04 earnings per share for the quarter, missing the consensus estimate of $6.33 by ($0.29). The firm had revenue of $253.31 million for the quarter, compared to the consensus estimate of $242.00 million. Danaos had a return on equity of 14.66% and a net margin of 46.33%. During the same quarter in the previous year, the company posted $7.15 EPS. Equities analysts predict that Danaos Corporation will post 29.21 EPS for the current year.

Danaos Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 5th. Investors of record on Tuesday, May 27th were paid a dividend of $0.85 per share. This represents a $3.40 dividend on an annualized basis and a dividend yield of 3.69%. The ex-dividend date of this dividend was Tuesday, May 27th. Danaos's payout ratio is currently 13.96%.

Danaos declared that its board has authorized a share repurchase plan on Monday, April 14th that allows the company to repurchase $100.00 million in shares. This repurchase authorization allows the shipping company to purchase up to 6.8% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's management believes its shares are undervalued.

Institutional Investors Weigh In On Danaos

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. GAMMA Investing LLC grew its position in shares of Danaos by 7,700.0% in the first quarter. GAMMA Investing LLC now owns 390 shares of the shipping company's stock valued at $30,000 after purchasing an additional 385 shares in the last quarter. Northern Trust Corp boosted its stake in Danaos by 103.1% in the 4th quarter. Northern Trust Corp now owns 5,060 shares of the shipping company's stock worth $405,000 after purchasing an additional 2,569 shares during the period. JPMorgan Chase & Co. grew its holdings in Danaos by 71.8% during the 4th quarter. JPMorgan Chase & Co. now owns 51,291 shares of the shipping company's stock valued at $4,107,000 after buying an additional 21,430 shares in the last quarter. Sei Investments Co. increased its position in shares of Danaos by 12.8% during the fourth quarter. Sei Investments Co. now owns 32,629 shares of the shipping company's stock valued at $2,613,000 after buying an additional 3,696 shares during the period. Finally, LPL Financial LLC lifted its holdings in shares of Danaos by 19.0% in the fourth quarter. LPL Financial LLC now owns 3,995 shares of the shipping company's stock worth $320,000 after buying an additional 637 shares in the last quarter. Institutional investors own 19.01% of the company's stock.

Danaos Company Profile

Danaos Corporation, together with its subsidiaries, provides container and drybulk vessels services in Australia, Asia, and Europe. The company offers seaborne transportation services by operating vessels in the containership and drybulk sectors of the shipping industry. As of April 03, 2024, it had a fleet of 68 containerships aggregating 421,293 twenty-foot equivalent units in capacity.

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