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ESEA

EuroseasNasdaqCM:ESEA Stock Report

Market Cap

US$186.0m

7D

2.7%

1Y

527.6%

Updated

01 Dec, 2021

Data

Company Financials +
ESEA fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance5/6
Financial Health2/6
Dividends0/6

ESEA Stock Overview

Euroseas Ltd. provides ocean-going transportation services worldwide.

Euroseas Competitors

Costamare

NYSE:CMRE

US$1.5b

Danaos

NYSE:DAC

US$1.4b

Performance Shipping

NasdaqCM:PSHG

US$24.4m

Price History & Performance

Summary of all time highs, changes and price drops for Euroseas
Historical stock prices
Current Share PriceUS$25.67
52 Week HighUS$39.17
52 Week LowUS$3.59
Beta0.62
1 Month Change-17.75%
3 Month Change9.33%
1 Year Change527.63%
3 Year Change262.57%
5 Year Change67.12%
Change since IPO-98.30%

Recent News & Updates

Nov 28

Euroseas: Set For Record Profitability But Trades At 45% Discount To NAV

Euroseas should report record net income levels in Q4, FY2022, and potentially FY2023. The company trades at a steep discount to NAV, and at a record-low forward EV/EBITDA ratio. Euroseas does not return capital to shareholders which could make it look like an inferior pick compared to its industry peers. Still, significant upside potential remains.

Nov 17

Euroseas: Post-Earnings Sell-Off Provides Decent Buying Opportunity

Company reports Q3 results below expectations mostly due to higher insurance premiums, increased drydocking expense and elevated COVID-related crewing costs. Discussing latest fleet additions and charter contracts. At current charter rates, adjusted EBITDA for FY2022 would calculate to approximately $135 million, a year-over-year increase of almost 150%. Cash flow from operations for the next two years could be well in excess of $200 million, higher than the company's current market capitalization. Get long Euroseas due to discounted valuation and strong outlook with a short-term price target of $35 going into the company's Q4 earnings release in February.

Oct 15
Is Euroseas (NASDAQ:ESEA) A Risky Investment?

Is Euroseas (NASDAQ:ESEA) A Risky Investment?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

ESEAUS ShippingUS Market
7D2.7%-0.7%-2.8%
1Y527.6%59.4%20.0%

Return vs Industry: ESEA exceeded the US Shipping industry which returned 59.4% over the past year.

Return vs Market: ESEA exceeded the US Market which returned 20% over the past year.

Price Volatility

Is ESEA's price volatile compared to industry and market?
ESEA volatility
ESEA Average Weekly Movement14.2%
Shipping Industry Average Movement8.2%
Market Average Movement6.0%
10% most volatile stocks in US Market15.0%
10% least volatile stocks in US Market2.3%

Stable Share Price: ESEA is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: ESEA's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
2005n/aAristides Pittashttps://www.euroseas.gr

Euroseas Ltd. provides ocean-going transportation services worldwide. The company owns and operates containerships that transport dry and refrigerated containerized cargoes, including manufactured products and perishables. As of May 6, 2021, it had a fleet of 14 vessels, including 9 feeder containerships and 5 intermediate container carriers with a cargo capacity of 42,281 teu.

Euroseas Fundamentals Summary

How do Euroseas's earnings and revenue compare to its market cap?
ESEA fundamental statistics
Market CapUS$185.98m
Earnings (TTM)US$20.01m
Revenue (TTM)US$67.67m

9.3x

P/E Ratio

2.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ESEA income statement (TTM)
RevenueUS$67.67m
Cost of RevenueUS$32.57m
Gross ProfitUS$35.10m
ExpensesUS$15.10m
EarningsUS$20.01m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)2.76
Gross Margin51.87%
Net Profit Margin29.56%
Debt/Equity Ratio110.2%

How did ESEA perform over the long term?

See historical performance and comparison

Valuation

Is Euroseas undervalued compared to its fair value and its price relative to the market?

9.3x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ESEA's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ESEA's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ESEA is poor value based on its PE Ratio (9.3x) compared to the US Shipping industry average (5.5x).

PE vs Market: ESEA is good value based on its PE Ratio (9.3x) compared to the US market (16.8x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ESEA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ESEA is overvalued based on its PB Ratio (3.4x) compared to the US Shipping industry average (0.9x).


Future Growth

How is Euroseas forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

21.8%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if ESEA's forecast earnings growth is above the savings rate (2%).

Earnings vs Market: Insufficient data to determine if ESEA's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ESEA's revenue (21.8% per year) is forecast to grow faster than the US market (10.1% per year).

High Growth Revenue: ESEA's revenue (21.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ESEA's Return on Equity is forecast to be high in 3 years time (31.3%)


Past Performance

How has Euroseas performed over the past 5 years?

79.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ESEA has high quality earnings.

Growing Profit Margin: ESEA's current net profit margins (29.6%) are higher than last year (3.7%).


Past Earnings Growth Analysis

Earnings Trend: ESEA has become profitable over the past 5 years, growing earnings by 79.7% per year.

Accelerating Growth: ESEA's earnings growth over the past year (892.8%) exceeds its 5-year average (79.7% per year).

Earnings vs Industry: ESEA earnings growth over the past year (892.8%) exceeded the Shipping industry 517.7%.


Return on Equity

High ROE: Whilst ESEA's Return on Equity (38.47%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Euroseas's financial position?


Financial Position Analysis

Short Term Liabilities: ESEA's short term assets ($10.9M) do not cover its short term liabilities ($21.6M).

Long Term Liabilities: ESEA's short term assets ($10.9M) do not cover its long term liabilities ($44.4M).


Debt to Equity History and Analysis

Debt Level: ESEA's net debt to equity ratio (99.3%) is considered high.

Reducing Debt: ESEA's debt to equity ratio has increased from 52.4% to 110.2% over the past 5 years.

Debt Coverage: ESEA's debt is well covered by operating cash flow (46.1%).

Interest Coverage: ESEA's interest payments on its debt are well covered by EBIT (10.6x coverage).


Balance Sheet


Dividend

What is Euroseas's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ESEA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ESEA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ESEA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ESEA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: ESEA is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ESEA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

16.5yrs

Average management tenure


CEO

Aristides Pittas (61 yo)

16.5yrs

Tenure

Mr. Aristides J. Pittas has been the Chairman and Chief Executive Officer at Euroseas, Ltd. since May 5, 2005 and serves as its President. Mr. Pittas has been the President of Eurochart S.A., since 1997.H...


Leadership Team

Experienced Management: ESEA's management team is seasoned and experienced (16.5 years average tenure).


Board Members

Experienced Board: ESEA's board of directors are seasoned and experienced ( 16.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15%.


Top Shareholders

Company Information

Euroseas Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Euroseas Ltd.
  • Ticker: ESEA
  • Exchange: NasdaqCM
  • Founded: 2005
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: US$185.976m
  • Shares outstanding: 7.24m
  • Website: https://www.euroseas.gr

Location

  • Euroseas Ltd.
  • 4 Messogiou & Evropis Street
  • Marousi
  • 151 24
  • Greece

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/01 00:06
End of Day Share Price2021/11/30 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.