Star Bulk Carriers (NASDAQ:SBLK) Stock Crosses Above 200 Day Moving Average - Should You Sell?

Key Points

• Star Bulk Carriers (SBLK) shares crossed above their 200-day moving average, trading as high as $26.03 and last at $25.30 on volume of about 1.1 million shares (50-day MA $24.05, 200-day MA $21.43).
• Analysts have recently turned more positive—Jefferies initiated coverage with a Buy and $29 price target, and the consensus rating is "Buy" with an average target of $29.00.
• The company raised its quarterly dividend to $0.37 (annualized $1.48), yielding about 5.8%, though the dividend payout ratio is very high at ~202.7%, indicating potential sustainability concerns.

Star Bulk Carriers Corp. (NASDAQ:SBLK - Get Free Report) shares crossed above its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $21.43 and traded as high as $26.03. Star Bulk Carriers shares last traded at $25.30, with a volume of 1,096,813 shares.

Analyst Upgrades and Downgrades

Several research firms recently weighed in on SBLK. Jefferies Financial Group assumed coverage on shares of Star Bulk Carriers in a research report on Friday, April 24th. They set a "buy" rating and a $29.00 price objective for the company. Weiss Ratings reissued a "hold (c)" rating on shares of Star Bulk Carriers in a research note on Friday, March 27th. Zacks Research raised Star Bulk Carriers from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, April 22nd. Finally, Wall Street Zen raised Star Bulk Carriers from a "buy" rating to a "strong-buy" rating in a research note on Saturday, April 18th. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Buy" and a consensus target price of $29.00.

Star Bulk Carriers Price Performance

The company has a 50 day moving average price of $24.05 and a 200-day moving average price of $21.43. The company has a quick ratio of 1.65, a current ratio of 1.78 and a debt-to-equity ratio of 0.34. The company has a market cap of $2.87 billion, a price-to-earnings ratio of 34.66 and a beta of 0.71.

Star Bulk Carriers (NASDAQ:SBLK - Get Free Report) last released its quarterly earnings data on Wednesday, February 25th. The shipping company reported $0.62 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.52 by $0.10. Star Bulk Carriers had a return on equity of 3.89% and a net margin of 8.07%.The company had revenue of $230.79 million during the quarter, compared to the consensus estimate of $250.51 million. As a group, equities research analysts predict that Star Bulk Carriers Corp. will post 3.85 EPS for the current fiscal year.

Star Bulk Carriers Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, March 19th. Stockholders of record on Monday, March 9th were given a $0.37 dividend. This is an increase from Star Bulk Carriers's previous quarterly dividend of $0.11. The ex-dividend date was Monday, March 9th. This represents a $1.48 dividend on an annualized basis and a dividend yield of 5.8%. Star Bulk Carriers's dividend payout ratio is presently 202.74%.

Insider Activity at Star Bulk Carriers

In other news, COO Nikolaos Reskos sold 8,406 shares of the stock in a transaction on Wednesday, April 15th. The shares were sold at an average price of $25.05, for a total transaction of $210,570.30. Following the completion of the sale, the chief operating officer directly owned 440,878 shares in the company, valued at $11,043,993.90. This represents a 1.87% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Corporate insiders own 0.90% of the company's stock.

Institutional Trading of Star Bulk Carriers

A number of institutional investors have recently bought and sold shares of SBLK. Public Employees Retirement System of Ohio lifted its stake in shares of Star Bulk Carriers by 10.3% in the 4th quarter. Public Employees Retirement System of Ohio now owns 4,536 shares of the shipping company's stock valued at $87,000 after purchasing an additional 422 shares during the period. Magnetar Financial LLC lifted its stake in shares of Star Bulk Carriers by 3.1% in the 4th quarter. Magnetar Financial LLC now owns 20,001 shares of the shipping company's stock valued at $384,000 after purchasing an additional 604 shares during the period. BNP Paribas Financial Markets lifted its stake in shares of Star Bulk Carriers by 4.7% in the 2nd quarter. BNP Paribas Financial Markets now owns 13,695 shares of the shipping company's stock valued at $236,000 after purchasing an additional 616 shares during the period. Jones Financial Companies Lllp lifted its stake in shares of Star Bulk Carriers by 50.8% in the 3rd quarter. Jones Financial Companies Lllp now owns 2,381 shares of the shipping company's stock valued at $46,000 after purchasing an additional 802 shares during the period. Finally, Vident Advisory LLC lifted its stake in shares of Star Bulk Carriers by 5.6% in the 3rd quarter. Vident Advisory LLC now owns 16,902 shares of the shipping company's stock valued at $314,000 after purchasing an additional 891 shares during the period. Institutional investors own 33.91% of the company's stock.

About Star Bulk Carriers

Star Bulk Carriers Corp is a global shipping company engaged in the ocean transport of dry bulk commodities. The company owns and operates a diversified fleet of bulk carriers, including Handymax, Supramax, Panamax and Capesize vessels. Its ships are designed to carry a broad range of cargoes, such as iron ore, coal, grain, bauxite and phosphate, catering to industrial and agricultural customers worldwide.

The company's vessels operate on major trade routes across the Atlantic, Pacific and Indian Oceans, connecting producers and consumers in Asia, Europe, North and South America.

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