Safe Bulkers (NYSE:SB) Trading 5.5% Higher - Time to Buy?

Key Points

• Safe Bulkers shares rose 5.5% in midday trading, reaching as high as $7.13, though volume was far below average.
• Wall Street Zen upgraded the stock from “buy” to “strong-buy,” but the broader analyst view remains cautious with an average rating of “Hold” and a $6.00 price target.
• The company reported solid fundamentals in its latest quarter, beating EPS and revenue estimates, while also increasing its quarterly dividend from $0.05 to $0.06 per share.

Safe Bulkers, Inc (NYSE:SB - Get Free Report) was up 5.5% during mid-day trading on Monday . The stock traded as high as $7.13 and last traded at $7.1960. Approximately 78,194 shares traded hands during trading, a decline of 89% from the average session volume of 708,001 shares. The stock had previously closed at $6.82.

Analyst Ratings Changes

Separately, Wall Street Zen upgraded Safe Bulkers from a "buy" rating to a "strong-buy" rating in a research report on Monday, June 29th. One investment analyst has rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, Safe Bulkers has an average rating of "Hold" and an average price target of $6.00.

Safe Bulkers Trading Up 6.4%

The stock's 50 day moving average is $6.73 and its two-hundred day moving average is $6.27. The company has a market capitalization of $741.90 million, a PE ratio of 16.12 and a beta of 0.84. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 0.46.

Safe Bulkers (NYSE:SB - Get Free Report) last posted its earnings results on Wednesday, June 17th. The shipping company reported $0.18 EPS for the quarter, beating analysts' consensus estimates of $0.10 by $0.08. Safe Bulkers had a net margin of 18.73% and a return on equity of 6.45%. The business had revenue of $74.39 million for the quarter, compared to the consensus estimate of $65.50 million.

Safe Bulkers Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 16th. Investors of record on Tuesday, June 30th were issued a dividend of $0.06 per share. The ex-dividend date of this dividend was Tuesday, June 30th. This is a positive change from Safe Bulkers's previous quarterly dividend of $0.05. This represents a $0.24 annualized dividend and a yield of 3.3%. Safe Bulkers's dividend payout ratio is 53.33%.

Institutional Trading of Safe Bulkers

Hedge funds have recently bought and sold shares of the stock. Parallel Advisors LLC boosted its position in Safe Bulkers by 189.7% during the 1st quarter. Parallel Advisors LLC now owns 12,404 shares of the shipping company's stock valued at $79,000 after acquiring an additional 8,122 shares in the last quarter. Bank of America Corp DE raised its position in shares of Safe Bulkers by 90.4% in the 1st quarter. Bank of America Corp DE now owns 452,122 shares of the shipping company's stock worth $2,862,000 after acquiring an additional 214,652 shares in the last quarter. Empowered Funds LLC raised its position in shares of Safe Bulkers by 2.8% in the 1st quarter. Empowered Funds LLC now owns 663,731 shares of the shipping company's stock worth $4,201,000 after acquiring an additional 17,897 shares in the last quarter. Quantinno Capital Management LP lifted its stake in shares of Safe Bulkers by 14.7% during the 1st quarter. Quantinno Capital Management LP now owns 43,114 shares of the shipping company's stock worth $273,000 after purchasing an additional 5,531 shares during the last quarter. Finally, Lazard Asset Management LLC purchased a new stake in shares of Safe Bulkers during the 1st quarter worth $1,625,000. Hedge funds and other institutional investors own 21.69% of the company's stock.

About Safe Bulkers

Safe Bulkers Inc NYSE: SB is a dry bulk shipping company engaged in the ocean transport of commodities such as iron ore, coal, grain, and fertilizers. The company operates a modern fleet of vessels, including Panamax, Supramax and Kamsarmax bulk carriers, designed to serve a variety of trade routes and cargo types. Safe Bulkers’ fleet is employed under both time charter and voyage charter arrangements, offering flexibility to respond to market demand and optimize vessel utilization.

Founded in 2008, Safe Bulkers began trading its shares on the New York Stock Exchange in the same year, establishing itself as a publicly listed provider of dry bulk transportation services.

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