The Genco Shipping & Trading Limited (NYSE: GNK) Stock Price: Is It Overvalued?

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Genco Shipping & Trading Limited (NYSE:GNK) shares, rose in value on Wednesday, 11/24/21, with the stock price up by 4.32% to the previous day’s close as strong demand from buyers drove the stock to $14.72.

Actively observing the price movement in the last trading, the stock closed the session at $14.11, falling within a range of $14.06 and $14.96. The value of beta (5-year monthly) was 0.80 whereas the PE ratio was 25.69 over 12-month period. Referring to stock’s 52-week performance, its high was $22.00, and the low was $6.90. On the whole, GNK has fluctuated by -13.67% over the past month.


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With the market capitalization of Genco Shipping & Trading Limited currently standing at about $620.60 million, investors are eagerly awaiting this quarter’s results, scheduled for Feb 22, 2022 – Feb 28, 2022. The company’s Forward Dividend Ratio is 0.08, with its dividend yield at 0.54%. As a result, investors might want to see an improvement in the stock’s price before the company announces its earnings report. Analysts are projecting the company’s earnings per share (EPS) to be $1.3, which is expected to increase to $1.23 for fiscal year $3.18 and then to about $3.23 by fiscal year 2022. Data indicates that the EPS growth is expected to be 1,008.60% in 2022, while the next year’s EPS growth is forecast to be 1.60%.

Analysts have estimated the company’s revenue for the quarter at $120.98 million, with a low estimate of $92.44 million and a high estimate of $148.85 million. According to the average forecast, sales growth in current quarter could jump up 128.20%, compared to the corresponding quarter of last year. Wall Street analysts also predicted that in 2022, the company’s y-o-y revenues would reach $482.78 million, representing an increase of 35.80% from the revenues reported in the last year’s results.

Revisions could be a useful indicator to get insight on short-term price movement; so for the company, there were no upward and no downward review(s) in last seven days. We see that GNK’s technical picture suggests that short-term indicators denote the stock is a 100% Sell on average. However, medium term indicators have put the stock in the category of 50% Sell while long term indicators on average have been pointing out that it is a 50% Sell.

10 analyst(s) have assigned their ratings of the stock’s forecast evaluation on a scale of 1.00-5.00 to indicate a strong buy to a strong sell recommendation. The stock is rated as a Hold by 1 analyst(s), 9 recommend it as a Buy and 0 called the GNK stock Overweight. In the meantime, 0 analyst(s) believe the stock as Underweight and 0 think it is a Sell. Thus, investors eager to increase their holdings of the company’s stock will have an opportunity to do so as the average rating for the stock is Buy.

The stock’s technical analysis shows that the PEG ratio is about 0, with the price of GNK currently trading nearly -5.49% and -16.00% away from the simple moving averages for 20 and 50 days respectively. The Relative Strength Index (RSI, 14) currently indicates a reading of 38.80, while the 7-day volatility ratio is showing 3.92% which for the 30-day chart, stands at 4.94%. Furthermore, Genco Shipping & Trading Limited (GNK)’s beta value is 0.93, and its average true range (ATR) is 0.78. The company’s stock has been forecasted to trade at an average price of $27.15 over the course of the next 52 weeks, with a low of $19.00 and a high of $36.00. Based on these price targets, the low is -29.08% off current price, whereas the price has to move -144.57% to reach the yearly target high. Additionally, analysts’ median price of $27.00 is likely to be welcomed by investors because it represents a decrease of -83.42% from the current levels.

A comparison of Genco Shipping & Trading Limited (GNK) with its peers suggests the former has fared considerably weaker in the market. GNK showed an intraday change of 4.32% in last session, and over the past year, it grew by 99.46%%. On the other hand, the price of Alexander & Baldwin Inc. (ALEX) has risen 1.52% on the day. The stock, however, is off 42.38% from where it was a year ago. Additionally, there is a gain of 2.86% for Diana Shipping Inc. (DSX) in last trading while the stock has seen an overall depriciation of 155.03%% over the past year. The PE ratio stands at 25.69 for Genco Shipping & Trading Limited, and 65.37 for Alexander & Baldwin Inc. Other than that, the overall performance of the S&P 500 during the last trading session shows that it gained 0.23%. Meanwhile, the Dow Jones Industrial Slipped by -0.03%.

Data on historical trading for Genco Shipping & Trading Limited (NYSE:GNK) indicates that the trading volume over the past 3 months, they’ve averaged 639.56K. According to company’s latest data on outstanding shares, there are 42.09 million shares outstanding.

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Nearly 0.10% of Genco Shipping & Trading Limited’s shares belong to company insiders and institutional investors own 73.30% of the company’s shares. The stock has risen by 100.00% since the beginning of the year, thereby showing the potential of a further growth. This could raise investors’ confidence to be optimistic about the GNK stock heading into the next quarter.

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