Euroseas (NASDAQ:ESEA) Stock Passes Above 200 Day Moving Average - Should You Sell?

Key Points

• Euroseas Ltd. shares crossed above their 200-day moving average, trading at $61.44, significantly higher than its average of $41.19.
• Analysts are optimistic, with a consensus rating of "Buy" and an average price target of $61, following positive earnings that exceeded expectations.
• The company will increase its quarterly dividend to $0.70 per share, marking a 7.7% increase from the previous dividend, representing a 4.6% annual yield.

Euroseas Ltd. (NASDAQ:ESEA - Get Free Report) shares crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $41.19 and traded as high as $61.44. Euroseas shares last traded at $61.44, with a volume of 59,541 shares trading hands.

Wall Street Analyst Weigh In

Several analysts recently issued reports on ESEA shares. Maxim Group upped their price objective on shares of Euroseas from $57.00 to $62.00 and gave the stock a "buy" rating in a report on Monday, June 23rd. Wall Street Zen upgraded shares of Euroseas from a "hold" rating to a "buy" rating in a report on Saturday, June 21st. Two equities research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company has a consensus rating of "Buy" and a consensus price target of $61.00.

Euroseas Price Performance

The company has a debt-to-equity ratio of 0.51, a current ratio of 3.21 and a quick ratio of 3.15. The firm has a market capitalization of $451.27 million, a PE ratio of 3.76 and a beta of 0.94. The firm has a 50-day simple moving average of $53.92 and a 200-day simple moving average of $41.68.

Euroseas (NASDAQ:ESEA - Get Free Report) last announced its earnings results on Wednesday, August 13th. The shipping company reported $4.20 earnings per share for the quarter, topping the consensus estimate of $3.87 by $0.33. The firm had revenue of $57.23 million for the quarter, compared to the consensus estimate of $53.31 million. Euroseas had a return on equity of 28.56% and a net margin of 53.75%. As a group, equities analysts forecast that Euroseas Ltd. will post 15.15 earnings per share for the current year.

Euroseas Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 16th. Investors of record on Tuesday, September 9th will be paid a $0.70 dividend. This represents a $2.80 annualized dividend and a yield of 4.3%. The ex-dividend date of this dividend is Tuesday, September 9th. This is a positive change from Euroseas's previous quarterly dividend of $0.65. Euroseas's dividend payout ratio is presently 15.28%.

Institutional Investors Weigh In On Euroseas

Several hedge funds have recently modified their holdings of ESEA. Millennium Management LLC raised its position in shares of Euroseas by 661.4% during the fourth quarter. Millennium Management LLC now owns 40,931 shares of the shipping company's stock valued at $1,482,000 after buying an additional 35,555 shares during the last quarter. Boston Partners lifted its stake in Euroseas by 37.5% in the 1st quarter. Boston Partners now owns 17,045 shares of the shipping company's stock valued at $522,000 after purchasing an additional 4,647 shares during the last quarter. Novem Group bought a new stake in shares of Euroseas during the 4th quarter worth $847,000. Lazard Asset Management LLC boosted its holdings in Euroseas by 30.9% in the fourth quarter. Lazard Asset Management LLC now owns 30,165 shares of the shipping company's stock valued at $1,091,000 after acquiring an additional 7,127 shares during the last quarter. Finally, Cubist Systematic Strategies LLC raised its holdings in shares of Euroseas by 4.6% in the 4th quarter. Cubist Systematic Strategies LLC now owns 10,813 shares of the shipping company's stock worth $391,000 after acquiring an additional 471 shares during the last quarter. 6.27% of the stock is owned by hedge funds and other institutional investors.

About Euroseas

Euroseas Ltd. provides ocean-going transportation services worldwide. The company owns and operates containerships that transport dry and refrigerated containerized cargoes, including manufactured products and perishables. As of March 31, 2024, it had a fleet of 20 containerships with a cargo carrying capacity of approximately 777,749 dwt.