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

Key Points

• Danaos hit a new 52-week high of $118.90, trading above its consensus price target of $105 and above both its 50- and 200-day moving averages, signaling strong upward momentum.
• The company reported strong quarterly results—EPS $7.14 vs. $6.46 expected and revenue $266.27M vs. $253M—while trading at a low P/E of 4.42 and offering a 3.0% dividend yield with a 13.44% payout ratio.
• Analysts hold a Moderate Buy consensus (two Buys, one Hold) and institutional investors own about 19.01% of the stock, indicating ongoing professional interest.

Danaos Corporation (NYSE:DAC - Get Free Report) hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $118.90 and last traded at $118.45, with a volume of 173069 shares trading hands. The stock had previously closed at $116.33.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on DAC. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Danaos in a report on Wednesday, January 21st. Freedom Capital raised shares of Danaos to a "hold" rating in a report on Tuesday, March 10th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $105.00.

Danaos Price Performance

The firm has a fifty day moving average price of $111.13 and a two-hundred day moving average price of $100.08. The stock has a market capitalization of $2.16 billion, a P/E ratio of 4.42 and a beta of 0.95. The company has a debt-to-equity ratio of 0.23, a quick ratio of 3.23 and a current ratio of 3.28.

Danaos (NYSE:DAC - Get Free Report) last announced its quarterly earnings data on Monday, February 9th. The shipping company reported $7.14 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $6.46 by $0.68. Danaos had a net margin of 47.45% and a return on equity of 13.31%. The firm had revenue of $266.27 million during the quarter, compared to analysts' expectations of $253.00 million. As a group, analysts expect that Danaos Corporation will post 29.21 EPS for the current fiscal year.

Danaos Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, March 4th. Stockholders of record on Monday, February 23rd were issued a $0.90 dividend. This represents a $3.60 annualized dividend and a dividend yield of 3.0%. The ex-dividend date of this dividend was Monday, February 23rd. Danaos's payout ratio is 13.44%.

Hedge Funds Weigh In On Danaos

Several hedge funds have recently modified their holdings of DAC. Kestra Advisory Services LLC purchased a new position in shares of Danaos in the fourth quarter worth $43,000. Raymond James Financial Inc. bought a new stake in Danaos in the second quarter worth $64,000. Tower Research Capital LLC TRC bought a new stake in Danaos in the second quarter worth $67,000. Farther Finance Advisors LLC increased its position in Danaos by 165.0% in the fourth quarter. Farther Finance Advisors LLC now owns 779 shares of the shipping company's stock worth $73,000 after purchasing an additional 485 shares during the last quarter. Finally, Royal Bank of Canada increased its position in Danaos by 443.1% in the fourth quarter. Royal Bank of Canada now owns 869 shares of the shipping company's stock worth $82,000 after purchasing an additional 709 shares during the last quarter. Hedge funds and other institutional investors own 19.01% of the company's stock.

About Danaos

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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