DHT (NYSE:DHT) Shares Climb 6.6% - Here's What Happened

Key Points

• DHT shares rose 6.6% to $26.27 in Monday trading, despite volume running 70% below the average daily level.
• Analyst sentiment remains favorable: BTIG raised its price target to $28, while MarketBeat’s consensus rating is “Moderate Buy,” with an average target of $21.
• DHT reported strong quarterly results, beating earnings and revenue estimates, while year-over-year revenue jumped 174.8%. The company also increased its quarterly dividend to $1.22, implying an annualized yield of about 18.8%.

DHT Holdings, Inc. (NYSE:DHT - Get Free Report)'s stock price rose 6.6% during trading on Monday. The stock traded as high as $26.47 and last traded at $26.27. Approximately 1,134,158 shares were traded during mid-day trading, a decline of 70% from the average daily volume of 3,774,376 shares. The stock had previously closed at $24.64.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on DHT shares. Weiss Ratings raised shares of DHT from a "buy (b+)" rating to a "buy (a)" rating in a research note on Thursday. BTIG Research lifted their price objective on shares of DHT from $23.00 to $28.00 and gave the stock a "buy" rating in a research report on Friday, September 18th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $21.00.

DHT Stock Up 5.1%

The stock has a market capitalization of $4.17 billion, a price-to-earnings ratio of 8.83 and a beta of -0.03. The company has a quick ratio of 3.32, a current ratio of 3.64 and a debt-to-equity ratio of 0.29. The firm has a 50-day moving average of $20.86 and a two-hundred day moving average of $18.92.

DHT (NYSE:DHT - Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The shipping company reported $1.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.18 by $0.04. DHT had a return on equity of 39.40% and a net margin of 65.52%. The firm had revenue of $254.96 million during the quarter, compared to the consensus estimate of $247.17 million. During the same period in the prior year, the business earned $0.35 EPS. The business's revenue for the quarter was up 174.8% on a year-over-year basis.

DHT Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, August 24th. Stockholders of record on Monday, August 17th were issued a $1.22 dividend. The ex-dividend date was Monday, August 17th. This represents a $4.88 dividend on an annualized basis and a dividend yield of 18.8%. This is a positive change from DHT's previous quarterly dividend of $0.64. DHT's dividend payout ratio is currently 165.99%.

Insider Buying and Selling

In related news, Director Sophie Rossini sold 33,000 shares of the stock in a transaction on Friday, August 21st. The stock was sold at an average price of $20.04, for a total transaction of $661,320.00. Following the completion of the sale, the director directly owned 78,543 shares in the company, valued at approximately $1,574,001.72. This trade represents a 29.59% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Erik Lind sold 30,000 shares of DHT stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $22.46, for a total value of $673,800.00. Following the sale, the director owned 132,294 shares of the company's stock, valued at approximately $2,971,323.24. This represents a 18.48% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 583,803 shares of company stock worth $11,843,097 over the last ninety days.

Institutional Investors Weigh In On DHT

Institutional investors and hedge funds have recently modified their holdings of the business. Arrowstreet Capital Limited Partnership lifted its position in shares of DHT by 74.1% in the first quarter. Arrowstreet Capital Limited Partnership now owns 4,315,767 shares of the shipping company's stock worth $78,849,000 after buying an additional 1,836,892 shares during the last quarter. Bank of America Corp DE boosted its position in shares of DHT by 168.3% in the first quarter. Bank of America Corp DE now owns 1,186,289 shares of the shipping company's stock valued at $21,674,000 after acquiring an additional 744,130 shares during the period. Healthcare of Ontario Pension Plan Trust Fund grew its position in DHT by 1,072.1% in the 1st quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 1,162,300 shares of the shipping company's stock worth $21,235,000 after purchasing an additional 1,063,134 shares during the last quarter. Empowered Funds LLC grew its position in DHT by 6.0% during the first quarter. Empowered Funds LLC now owns 773,163 shares of the shipping company's stock worth $14,126,000 after buying an additional 43,514 shares in the last quarter. Finally, Congress Asset Management Co. grew its holdings in shares of DHT by 20.7% during the 3rd quarter. Congress Asset Management Co. now owns 588,373 shares of the shipping company's stock worth $13,280,000 after purchasing an additional 101,020 shares in the last quarter. Institutional investors and hedge funds own 58.53% of the company's stock.

DHT Company Profile

DHT Holdings, Inc NYSE: DHT is a maritime transportation company that owns and operates crude oil tankers. The company primarily focuses on very large crude carriers (VLCCs), which transport substantial volumes of crude oil between major production and refining regions around the world.

DHT provides ocean transportation services through a combination of time charters, voyage charters and pool arrangements. Its vessels serve the international energy industry by moving crude oil from exporting regions to refineries and storage facilities in global markets.

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