Excluding asset-impairment charges related to the sale of a capesize ship, Star Bulk post a third-quarter per-share profit of 12 cents, easily surpassing the Wall Street consensus target of a 1-cent-per-share profit.
Star Bulk has taken a conservative approach to chartering. It has fixed 100% of its fleet's operating days into charter contracts for the rest of 2009, and 80% for 2010. Nokta pointed out in a note to clients that Star Bulk has been able to rid itself of charterers who have been in financial trouble , replacing them with more "credit worthy counterparties, such as Cargill," the privately held grain distributor.
Still, investors sent Star Bulk's stock price down as much as 6% during the session. In the final hours of trading, the shares clawed back some of those losses, closing the day at $3.40, down 2.6%, on more than double the daily average volume.
Elsewhere, shares of Navios Maritime (NM - Get Report) were perhaps the hardest hit, falling 4.6% to $5.84. Eagle Bulk Shipping (EGLE - Get Report) retreated 1.5% to $5.75; and Safe Bulkers (SB - Get Report) slipped 1% to $8.93.Among the few names in positive territory: DryShips shares ended the session up 2.6%, at $6.35; Genco Shipping & Trading (GNK - Get Report) finished up 1.8%, at $24.98; Excel Maritime (EXM - Get Report) closed up 1.5%, at $7.34; and Diana Shipping (DSX - Get Report) inched higher Tuesday, closing at $16.49, up 0.3%. -- Written by Scott Eden in New York Follow TheStreet.com on Twitter and become a fan on Facebook.