NYSE:DAC

Stock Analysis Report

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Executive Summary

Danaos Corporation, together with its subsidiaries, owns and operates containerships in Australia, Asia, Europe, and the United States. More Details


Snowflake Analysis

Good value with proven track record.


Similar Companies

Share Price & News

How has Danaos's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DAC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: DAC's weekly volatility (11%) has been stable over the past year.


Market Performance


7 Day Return

0.9%

DAC

-2.2%

US Shipping

-2.5%

US Market


1 Year Return

575.9%

DAC

27.8%

US Shipping

34.1%

US Market

Return vs Industry: DAC exceeded the US Shipping industry which returned 27.8% over the past year.

Return vs Market: DAC exceeded the US Market which returned 34.1% over the past year.


Shareholder returns

DACIndustryMarket
7 Day0.9%-2.2%-2.5%
30 Day42.3%18.1%0.1%
90 Day198.7%37.5%4.5%
1 Year575.9%575.9%30.2%27.8%37.1%34.1%
3 Year119.1%119.1%20.3%11.6%58.0%47.9%
5 Year-34.2%-34.2%29.3%9.4%131.9%106.2%

Long-Term Price Volatility Vs. Market

How volatile is Danaos's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DAC ($36.59) is trading below our estimate of fair value ($106.11)

Significantly Below Fair Value: DAC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: DAC is good value based on its PE Ratio (5.6x) compared to the US Shipping industry average (25.6x).

PE vs Market: DAC is good value based on its PE Ratio (5.6x) compared to the US market (21.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: DAC's PB Ratio (0.7x) is in line with the US Shipping industry average.


Next Steps

Future Growth

How is Danaos forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

8.5%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

Earnings vs Market: Insufficient data to determine if DAC'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: DAC's revenue (8.5% per year) is forecast to grow slower than the US market (10.5% per year).

High Growth Revenue: DAC's revenue (8.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if DAC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Danaos performed over the past 5 years?

26.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DAC has high quality earnings.

Growing Profit Margin: DAC's current net profit margins (33.3%) are higher than last year (29.3%).


Past Earnings Growth Analysis

Earnings Trend: DAC's earnings have grown significantly by 26.6% per year over the past 5 years.

Accelerating Growth: DAC's earnings growth over the past year (17%) is below its 5-year average (26.6% per year).

Earnings vs Industry: DAC earnings growth over the past year (17%) exceeded the Shipping industry 13%.


Return on Equity

High ROE: DAC's Return on Equity (14.8%) is considered low.


Next Steps

Financial Health

How is Danaos's financial position?


Financial Position Analysis

Short Term Liabilities: DAC's short term assets ($118.4M) do not cover its short term liabilities ($239.7M).

Long Term Liabilities: DAC's short term assets ($118.4M) do not cover its long term liabilities ($1.4B).


Debt to Equity History and Analysis

Debt Level: DAC's debt to equity ratio (129.7%) is considered high.

Reducing Debt: DAC's debt to equity ratio has reduced from 325.7% to 129.7% over the past 5 years.

Debt Coverage: DAC's debt is not well covered by operating cash flow (19.8%).

Interest Coverage: DAC's interest payments on its debt are well covered by EBIT (4x coverage).


Balance Sheet


Next Steps

Dividend

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


Dividend Yield vs Market

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

High Dividend: Unable to evaluate DAC'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 DAC's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DAC'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?

10.5yrs

Average board tenure


CEO

John Coustas (64 yo)

no data

Tenure

Dr. John Coustas serves as the Chairman, Chief Executive Officer and President of Danaos Corporation. He serves as a Member of the Council at Det Norske Veritas. Dr. Coustas has over 25 years of experience...


Board Members

NamePositionTenureCompensationOwnership
John Coustas
Chairmanno datano data37.83%
$ 308.5m
Iraklis Prokopakis
Senior VP23.08yrsno data1.21%
$ 9.9m
Myles Itkin
Independent Director14.33yrsno datano data
Miklós Konkoly-Thege
Independent Director14.33yrsno data0.075%
$ 609.5k
William Repko
Independent Director6.58yrsno datano data
Anthony Kandylidis
Director0.58yrno datano data
Petros Christodoulou
Independent Director2.67yrsno datano data

10.5yrs

Average Tenure

69yo

Average Age

Experienced Board: DAC's board of directors are seasoned and experienced ( 10.5 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Danaos Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Danaos Corporation
  • Ticker: DAC
  • Exchange: NYSE
  • Founded: 1972
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: US$815.548m
  • Shares outstanding: 20.45m
  • Website: https://www.danaos.com

Location

  • Danaos Corporation
  • 14 Akti Kondyli
  • Athens
  • Piraeus
  • 185 45
  • Greece

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DACNYSE (New York Stock Exchange)YesCommon SharesUSUSDOct 2006
DVW1DB (Deutsche Boerse AG)YesCommon SharesDEEUROct 2006

Biography

Danaos Corporation, together with its subsidiaries, owns and operates containerships in Australia, Asia, Europe, and the United States. The company offers seaborne transportation services, such as charteri...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/25 00:18
End of Day Share Price2021/02/24 00:00
Earnings2020/12/31
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.