Danaos (NYSE:DAC) Downgraded by StockNews.com to “Hold”

StockNews.com downgraded shares of Danaos (NYSE:DAC) from a buy rating to a hold rating in a research note published on Wednesday morning.

Separately, Jefferies Financial Group reissued a “buy” rating and set a $105.00 target price on shares of Danaos in a research report on Tuesday, February 11th.

Danaos Stock Performance

NYSE:DAC opened at $85.63 on Wednesday. The company has a debt-to-equity ratio of 0.19, a current ratio of 3.93 and a quick ratio of 3.78. Danaos has a 1 year low of $65.40 and a 1 year high of $98.25. The stock’s 50 day simple moving average is $78.56 and its two-hundred day simple moving average is $79.92. The company has a market cap of $1.63 billion, a price-to-earnings ratio of 3.30 and a beta of 1.34.

Danaos (NYSE:DAC) last released its earnings results on Tuesday, May 13th. The shipping company reported $6.04 earnings per share for the quarter, missing the consensus estimate of $6.33 by ($0.29). The company had revenue of $253.31 million for the quarter, compared to the consensus estimate of $242.00 million. Danaos had a net margin of 49.81% and a return on equity of 16.03%. During the same period in the prior year, the firm posted $7.15 EPS. As a group, equities analysts anticipate that Danaos will post 29.21 earnings per share for the current fiscal year.

Danaos Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 5th. Stockholders of record on Tuesday, May 27th will be given a dividend of $0.85 per share. This represents a $3.40 annualized dividend and a dividend yield of 3.97%. The ex-dividend date is Tuesday, May 27th. Danaos’s dividend payout ratio is currently 13.12%.

Danaos declared that its Board of Directors has approved a stock buyback plan on Monday, April 14th that allows the company to repurchase $100.00 million in outstanding shares. This repurchase authorization allows the shipping company to buy up to 6.8% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s leadership believes its stock is undervalued.

Hedge Funds Weigh In On Danaos

Several hedge funds have recently bought and sold shares of DAC. Redhawk Wealth Advisors Inc. grew its position in Danaos by 5.5% in the 4th quarter. Redhawk Wealth Advisors Inc. now owns 9,258 shares of the shipping company’s stock valued at $741,000 after acquiring an additional 485 shares during the last quarter. Ballentine Partners LLC grew its position in Danaos by 18.1% in the 4th quarter. Ballentine Partners LLC now owns 3,053 shares of the shipping company’s stock valued at $244,000 after acquiring an additional 467 shares during the last quarter. Avior Wealth Management LLC grew its position in Danaos by 24.1% in the 4th quarter. Avior Wealth Management LLC now owns 2,321 shares of the shipping company’s stock valued at $186,000 after acquiring an additional 451 shares during the last quarter. Harel Insurance Investments & Financial Services Ltd. grew its position in Danaos by 37.7% in the 4th quarter. Harel Insurance Investments & Financial Services Ltd. now owns 1,460 shares of the shipping company’s stock valued at $117,000 after acquiring an additional 400 shares during the last quarter. Finally, DGS Capital Management LLC grew its position in Danaos by 71.6% in the 4th quarter. DGS Capital Management LLC now owns 23,945 shares of the shipping company’s stock valued at $1,917,000 after acquiring an additional 9,994 shares during the last quarter. Institutional investors own 19.01% of the company’s stock.

Danaos Company Profile

Danaos Corporation, together with its subsidiaries, provides container and drybulk vessels services in Australia, Asia, and Europe. The company offers seaborne transportation services by operating vessels in the containership and drybulk sectors of the shipping industry. As of April 03, 2024, it had a fleet of 68 containerships aggregating 421,293 twenty-foot equivalent units in capacity.