This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Dry Bulk Winners: Genco, Eagle Bulk

NEW YORK ( TheStreet) -- Dry-bulk shipping concerns saw their U.S.-listed shares rise sharply again Monday as shipping rates continued to strengthen and a Deutsch Bank analyst raised the firm's rating on several stocks in the sector.

Day rates for dry-bulk services extended their recent run northward Monday on the back of Chinese demand for raw materials and worsening congestion at ports in Australia and China, with ships stacked up and waiting to unload or pick up their cargo. One analyst said that 132 capesize ships were at anchorage last week in the world's major ore and coal ports, up from 112 a month earlier, a situation that squeezes supply.

The Baltic Dry Index, which tracks the daily changes in spot rates for dry-bulk carriers, rose 2.7% Monday. Fees for capesize ships, the largest dry cargo vessels in the world, jumped 2% to $78,075, according to the Baltic Exchange, the London-based ship broker.

Also Monday, Deutsche Bank shipping analyst Justin Yagerman lifted his rating on three dry-bulk names: Genco Shipping & Trading (GNK - Get Report), Eagle Bulk (EGLE - Get Report) and Euroseas (ESEA - Get Report).

"While we remain cautious on the sector over the long-term due to supply growth, we believe recent vessel dislocation stemming from seasonal coal and grain trades and continued strength in iron ore imports into China will likely continue to drive near-term upside in day rates and dry bulk stocks," Yagerman wrote in a research report.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
GNK $0.00 0.00%
EGLE $8.49 0.00%
DRYS $0.75 0.00%
DSX $6.30 0.00%
ESEA $0.83 0.00%

Markets

DOW 18,034.93 +208.63 1.17%
S&P 500 2,100.40 +19.22 0.92%
NASDAQ 4,994.6020 +62.7870 1.27%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs