Torm (NASDAQ:TRMD) Shares Gap Down – Here’s Why

Shares of Torm Plc (NASDAQ:TRMD) gapped down before the market opened on Tuesday . The stock had previously closed at $37.12, but opened at $35.54. Torm shares last traded at $35.3030, with a volume of 447,199 shares trading hands.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on the company. Weiss Ratings raised Torm from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Friday, September 11th. Wall Street Zen raised Torm from a “buy” rating to a “strong-buy” rating in a research report on Saturday. Finally, Evercore reaffirmed an “outperform” rating and set a $38.00 target price on shares of Torm in a report on Wednesday, August 26th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Buy” and an average target price of $38.00.

Torm Trading Down 4.4%

The company has a debt-to-equity ratio of 0.33, a quick ratio of 1.97 and a current ratio of 2.27. The stock has a market cap of $3.62 billion, a price-to-earnings ratio of 5.84 and a beta of 0.12. The company’s 50 day simple moving average is $31.70 and its two-hundred day simple moving average is $30.15.

Torm (NASDAQ:TRMD) last issued its earnings results on Wednesday, August 26th. The company reported $3.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.31 by ($0.06). Torm had a net margin of 35.51% and a return on equity of 27.24%. The company had revenue of $662.80 million for the quarter, compared to analyst estimates of $499.01 million.

Torm Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 24th. Shareholders of record on Thursday, September 10th will be given a $2.40 dividend. This represents a $9.60 annualized dividend and a yield of 27.1%. The ex-dividend date of this dividend is Thursday, September 10th. This is an increase from Torm’s previous quarterly dividend of $0.70. Torm’s payout ratio is currently 115.49%.

Institutional Investors Weigh In On Torm

Several institutional investors have recently made changes to their positions in TRMD. Royal Bank of Canada lifted its stake in Torm by 94.5% in the first quarter. Royal Bank of Canada now owns 70,962 shares of the company’s stock valued at $1,980,000 after acquiring an additional 34,482 shares during the last quarter. Bank of America Corp DE increased its stake in shares of Torm by 209.8% during the 1st quarter. Bank of America Corp DE now owns 130,421 shares of the company’s stock worth $3,639,000 after purchasing an additional 88,318 shares during the last quarter. Assenagon Asset Management S.A. acquired a new position in shares of Torm during the 2nd quarter worth $2,632,000. Public Employees Retirement System of Ohio raised its holdings in shares of Torm by 153.8% during the 1st quarter. Public Employees Retirement System of Ohio now owns 78,203 shares of the company’s stock valued at $2,190,000 after purchasing an additional 47,386 shares in the last quarter. Finally, Sei Investments Co. bought a new position in shares of Torm during the 1st quarter valued at $7,705,000. 73.89% of the stock is currently owned by institutional investors and hedge funds.

About Torm

TORM plc is an international product tanker company that transports refined oil products and other energy-related cargoes by sea. Its vessels carry products such as gasoline, jet fuel, diesel and other clean petroleum products between production, storage and consumption markets.

The company operates a fleet of product tankers across several size categories, including long-range, medium-range and Handysize vessels. TORM provides seaborne transportation services to oil companies, trading houses and other commercial customers, with operations serving major shipping routes and energy markets worldwide.

TORM traces its history to 1889 and is headquartered in Copenhagen, Denmark.