NYSE:DAC

Stock Analysis Report

Executive Summary

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

Snowflake

Fundamentals

Undervalued with limited growth.

Risks

  • Danaos has significant price volatility in the past 3 months.
  • Danaos is covered by less than 3 analysts.

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


Market Performance


7 Day Return

3.3%

NYSE:DAC

7.2%

US Shipping

2.9%

US Market


1 Year Return

-65.1%

NYSE:DAC

-16.5%

US Shipping

0.2%

US Market

DAC underperformed the Shipping industry which returned -17.7% over the past year.

DAC underperformed the Market in United States of America which returned -0.7% over the past year.


Share holder returns

DACIndustryMarket
7 Day3.3%7.2%2.9%
30 Day-14.8%-3.5%-2.3%
90 Day-40.7%4.9%3.1%
1 Year-65.1%-65.1%-15.1%-16.5%2.4%0.2%
3 Year-84.6%-84.6%11.5%2.9%41.7%32.4%
5 Year-90.9%-90.9%-70.9%-72.9%55.1%37.9%

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 based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Danaos's share price is below the future cash flow value, and at a moderate discount (> 20%).

Danaos's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Danaos is good value based on earnings compared to the US Shipping industry average.

Danaos is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Danaos, we can't assess if its growth is good value.


Price Based on Value of Assets

Danaos is good value based on assets compared to the US Shipping industry average.


Next Steps

Future Growth

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

18.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Danaos's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Danaos's earnings are expected to grow by 18.2% yearly, however this is not considered high growth (20% yearly).

Danaos's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Danaos's earnings growth is expected to exceed the United States of America market average.

Danaos's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Danaos will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Danaos performed over the past 5 years?

-11.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Danaos's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Danaos's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Danaos's 1-year earnings growth is negative, it can't be compared to the US Shipping industry average.


Return on Equity

Danaos has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Danaos used its assets less efficiently than the US Shipping industry average last year based on Return on Assets.


Return on Capital Employed

Danaos's use of capital has not improved over the past 3 years (Return on Capital Employed).


Next Steps

Financial Health

How is Danaos's financial position?


Financial Position Analysis

Danaos's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Danaos's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Danaos's level of debt (189.6%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (482.2% vs 189.6% today).

Debt is not well covered by operating cash flow (15.4%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.7x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Danaos's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Danaos's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Danaos has not reported any payouts.

Unable to verify if Danaos's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Danaos has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Danaos's salary, the management and board of directors tenure and is there insider trading?

11.2yrs

Average board tenure


CEO

John Coustas (63yo)

0.0yrs

Tenure

0

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 Age and Tenure

11.2yrs

Average Tenure

68yo

Average Age

The average tenure for the Danaos board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Iraklis Prokopakis (68yo)

    Senior VP

    • Tenure: 21.6yrs
  • John Coustas (63yo)

    Chairman

    • Tenure: 0.0yrs
  • Evangelos Chatzis (46yo)

    CFO & Secretary

    • Tenure: 8.1yrs
  • Dimitris Vastarouchas (51yo)

    Deputy Chief Operating Officer

    • Tenure: 8.6yrs

Board Members

  • Myles Itkin (71yo)

    Director

    • Tenure: 12.8yrs
  • Miklós Konkoly-Thege (76yo)

    Director

    • Tenure: 12.8yrs
  • William Repko (70yo)

    Director

    • Tenure: 5.1yrs
  • George Economou (66yo)

    Director

    • Tenure: 9.6yrs
  • Iraklis Prokopakis (68yo)

    Senior VP

    • Tenure: 21.6yrs
  • John Coustas (63yo)

    Chairman

    • Tenure: 0.0yrs
  • Petros Christodoulou (58yo)

    Director

    • Tenure: 1.2yrs

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$112.785m
  • Shares outstanding: 15.37m
  • Website: https://www.danaos.com

Number of Employees


Location

  • Danaos Corporation
  • 14 Akti Kondyli
  • 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 Analysis2019/08/22 00:01
End of Day Share Price2019/08/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.