Danaos (NYSE:DAC) Sets New 12-Month High - Time to Buy?

Key Points

• Shares of Danaos hit a new 52-week high of $124.38 (last $123.91), trading up about 3.2%, while analysts' consensus is a Buy with an average target of $105—below the current market price.
• Danaos reported strong quarterly results (EPS $7.14 vs. $6.46 est., revenue $266.3M vs. $253.0M) with a 47.45% net margin and trades at a low PE of 4.62, indicating robust profitability.
• The company pays a quarterly dividend of $0.90 (annualized $3.60, ~2.9% yield) with a low payout ratio (13.44%), and shows solid liquidity (quick ratio 3.23, current ratio 3.28) and low leverage (debt/equity 0.23).

Shares of Danaos Corporation (NYSE:DAC - Get Free Report) hit a new 52-week high during trading on Monday . The company traded as high as $124.38 and last traded at $123.9050, with a volume of 54998 shares traded. The stock had previously closed at $119.77.

Analysts Set New Price Targets

Several analysts have recently weighed in on the stock. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Danaos in a research note on Wednesday, January 21st. Fearnley Fonds raised Danaos from a "hold" rating to a "strong-buy" rating in a research note on Thursday. Finally, Freedom Capital upgraded Danaos to a "hold" rating in a report on Tuesday, March 10th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Buy" and an average target price of $105.00.

Danaos Trading Up 3.2%

The company has a quick ratio of 3.23, a current ratio of 3.28 and a debt-to-equity ratio of 0.23. The stock's 50 day moving average is $114.60 and its two-hundred day moving average is $102.89. The company has a market capitalization of $2.25 billion, a PE ratio of 4.62 and a beta of 0.90.

Danaos (NYSE:DAC - Get Free Report) last posted its quarterly earnings results on Monday, February 9th. The shipping company reported $7.14 EPS for the quarter, beating the consensus estimate of $6.46 by $0.68. Danaos had a net margin of 47.45% and a return on equity of 13.31%. The business had revenue of $266.27 million during the quarter, compared to analyst estimates of $253.00 million.

Danaos Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, March 4th. Investors of record on Monday, February 23rd were issued a dividend of $0.90 per share. This represents a $3.60 annualized dividend and a yield of 2.9%. The ex-dividend date of this dividend was Monday, February 23rd. Danaos's dividend payout ratio (DPR) is presently 13.44%.

Institutional Trading of Danaos

A number of hedge funds have recently bought and sold shares of the stock. Aristides Capital LLC increased its holdings in shares of Danaos by 4.1% in the 3rd quarter. Aristides Capital LLC now owns 2,972 shares of the shipping company's stock valued at $267,000 after acquiring an additional 116 shares during the period. O Shaughnessy Asset Management LLC lifted its stake in shares of Danaos by 3.7% during the 4th quarter. O Shaughnessy Asset Management LLC now owns 4,671 shares of the shipping company's stock worth $440,000 after purchasing an additional 165 shares during the last quarter. R Squared Ltd boosted its position in Danaos by 12.0% during the fourth quarter. R Squared Ltd now owns 2,824 shares of the shipping company's stock valued at $266,000 after purchasing an additional 303 shares in the last quarter. State Street Corp boosted its position in Danaos by 2.4% during the fourth quarter. State Street Corp now owns 15,761 shares of the shipping company's stock valued at $1,484,000 after purchasing an additional 372 shares in the last quarter. Finally, Kestra Advisory Services LLC purchased a new position in Danaos in the fourth quarter valued at about $43,000. 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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