- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Marine industry. The net income has significantly decreased by 1744.1% when compared to the same quarter one year ago, falling from $1.37 million to -$22.59 million.
- The debt-to-equity ratio is very high at 2.33 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Along with this, the company manages to maintain a quick ratio of 0.04, which clearly demonstrates the inability to cover short-term cash needs.
- The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Marine industry and the overall market, EAGLE BULK SHIPPING INC's return on equity significantly trails that of both the industry average and the S&P 500.
- Net operating cash flow has significantly decreased to $0.17 million or 86.70% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 65.09%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 1750.00% compared to the year-earlier quarter. Naturally, the overall market trend is bound to be a significant factor. However, in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now.
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. The Transportation industry as a whole closed the day up 0.2% versus the S&P 500, which was up 0.5%. Laggards within the Transportation industry included China Metro-Rural Holdings ( CNR), down 3.5%, Rand Logistics ( RLOG), down 3.9%, Eagle Bulk Shipping ( EGLE), down 5.0%, FreeSeas ( FREE), down 2.7% and PHI ( PHIIK), down 4.0%. TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today: Eagle Bulk Shipping ( EGLE) is one of the companies that pushed the Transportation industry lower today. Eagle Bulk Shipping was down $0.06 (5.0%) to $1.15 on light volume. Throughout the day, 287,973 shares of Eagle Bulk Shipping exchanged hands as compared to its average daily volume of 660,800 shares. The stock ranged in price between $1.14-$1.21 after having opened the day at $1.20 as compared to the previous trading day's close of $1.21. Eagle Bulk Shipping Inc., through its subsidiaries, is engaged in the ocean transportation of various bulk cargoes worldwide. The company owns, charters, and operates dry bulk vessels that transport a range of bulk cargoes, such as iron ore, coal, grain, cement, and fertilizers. Eagle Bulk Shipping has a market cap of $22.9 million and is part of the services sector. Shares are down 73.6% year-to-date as of the close of trading on Friday. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings rates Eagle Bulk Shipping as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, generally high debt management risk, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself. Highlights from TheStreet Ratings analysis on EGLE go as follows: