Danaos (NYSE:DAC) Stock Price Breaks Above 200-Day Moving Average - Here's What Happened

Key Points

• Danaos shares broke above their 200-day moving average, reaching $159.17 before closing at $157.63, compared with the average of $138.18.
• Analysts remain strongly bullish: three research analysts rate the stock Strong Buy, while Weiss Ratings and Freedom Capital recently upgraded their views.
• Danaos reported quarterly earnings and revenue above consensus estimates and raised its quarterly dividend to $1.00 per share, equivalent to a $4.00 annualized payout and a 2.5% yield.

Shares of Danaos Corporation (NYSE:DAC - Get Free Report) crossed above its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $138.18 and traded as high as $159.17. Danaos shares last traded at $157.63, with a volume of 161,874 shares changing hands.

Wall Street Analyst Weigh In

DAC has been the topic of a number of recent research reports. Weiss Ratings raised shares of Danaos from a "buy (a-)" rating to a "buy (a)" rating in a research report on Thursday, October 8th. Freedom Capital upgraded shares of Danaos from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, August 5th. Three equities research analysts have rated the stock with a Strong Buy rating. According to data from MarketBeat, the stock presently has a consensus rating of "Strong Buy".

Danaos Stock Down 0.5%

The firm has a market capitalization of $2.87 billion, a P/E ratio of 5.33 and a beta of 0.87. The company has a fifty day simple moving average of $156.42 and a 200 day simple moving average of $138.18. The company has a quick ratio of 9.15, a current ratio of 9.30 and a debt-to-equity ratio of 0.29.

Danaos (NYSE:DAC - Get Free Report) last issued its quarterly earnings results on Monday, August 3rd. The shipping company reported $7.29 earnings per share for the quarter, beating the consensus estimate of $6.80 by $0.49. The firm had revenue of $274.37 million during the quarter, compared to the consensus estimate of $258.27 million. Danaos had a return on equity of 13.20% and a net margin of 51.26%.

Danaos Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, October 22nd. Investors of record on Tuesday, October 13th were given a dividend of $1.00 per share. This represents a $4.00 annualized dividend and a dividend yield of 2.5%. This is an increase from Danaos's previous quarterly dividend of $0.90. The ex-dividend date of this dividend was Tuesday, October 13th. Danaos's payout ratio is 13.54%.

Hedge Funds Weigh In On Danaos

A number of hedge funds have recently added to or reduced their stakes in the company. Public Employees Retirement System of Ohio bought a new position in Danaos during the 2nd quarter valued at about $1,519,000. Renaissance Technologies LLC boosted its holdings in shares of Danaos by 117.1% during the 1st quarter. Renaissance Technologies LLC now owns 83,800 shares of the shipping company's stock valued at $9,439,000 after acquiring an additional 45,200 shares during the last quarter. Allianz Asset Management GmbH purchased a new stake in shares of Danaos during the 2nd quarter valued at about $1,716,000. Midwest Professional Planners LTD. grew its stake in shares of Danaos by 225.1% in the second quarter. Midwest Professional Planners LTD. now owns 16,855 shares of the shipping company's stock worth $2,063,000 after acquiring an additional 11,670 shares during the period. Finally, Lazard Asset Management LLC grew its stake in shares of Danaos by 206.4% in the first quarter. Lazard Asset Management LLC now owns 15,815 shares of the shipping company's stock worth $1,781,000 after acquiring an additional 10,654 shares during the period. 19.01% of the stock is currently owned by hedge funds and other institutional investors.

About Danaos

Danaos Corporation NYSE: DAC is a maritime transportation company that owns and operates containerships used to transport containerized cargo around the world. The company primarily charters its vessels to major container shipping companies under a range of short- and long-term agreements.

Founded in 1972, Danaos has developed an international fleet serving major trade routes and ports across Asia, Europe, North America and other global markets. Its operations support the movement of manufactured goods, consumer products and other cargo transported in standardized shipping containers.

The company is headquartered in Piraeus, Greece, and is led by Chairman and Chief Executive Officer Dr.

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