NYSE:SB

Stock Analysis Report

Executive Summary

Safe Bulkers, Inc. provides marine drybulk transportation services worldwide.

Snowflake

Fundamentals

Very undervalued with reasonable growth potential.

Risks

  • Safe Bulkers has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.0%

NYSE:SB

3.2%

US Shipping

1.1%

US Market


1 Year Return

-25.2%

NYSE:SB

-3.4%

US Shipping

2.1%

US Market

SB underperformed the Shipping industry which returned -3.5% over the past year.

SB underperformed the Market in United States of America which returned 2% over the past year.


Share holder returns

SBIndustryMarket
7 Day-1.0%3.2%1.1%
30 Day12.0%13.2%3.7%
90 Day41.4%13.8%2.3%
1 Year-25.2%-25.2%-1.6%-3.4%4.4%2.1%
3 Year37.6%37.6%19.9%10.8%47.0%37.4%
5 Year-70.3%-70.9%-65.6%-68.2%61.6%43.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Safe Bulkers 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

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

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


Price Based on Earnings

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

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


Price Based on Expected Growth

Safe Bulkers is good value based on expected growth next year.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is Safe Bulkers expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

71.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Safe Bulkers's revenue is expected to grow by 10.5% yearly, however this is not considered high growth (20% yearly).

Safe Bulkers's earnings are expected to grow significantly at over 20% yearly.

Safe Bulkers's revenue growth is expected to exceed the United States of America market average.

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

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


Earnings per Share Growth Estimates


Future Return on Equity

Safe Bulkers is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Safe Bulkers performed over the past 5 years?

-15.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

Safe Bulkers has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

Safe Bulkers has become profitable in the last year making it difficult to compare the US Shipping industry average.


Return on Equity

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


Return on Assets

Safe Bulkers used its assets more efficiently than the US Shipping industry average last year based on Return on Assets.


Return on Capital Employed

Safe Bulkers has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).


Next Steps

Financial Health

How is Safe Bulkers's financial position?


Financial Position Analysis

Safe Bulkers is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

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


Debt to Equity History and Analysis

Safe Bulkers's level of debt (113.3%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (73.3% vs 113.3% today).

Debt is not well covered by operating cash flow (12.1%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 1.9x 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 0.2x debt.


Next Steps

Dividend

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

3.41%

Expected Dividend Yield


Dividend Yield and Payments Analysis

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

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (4.1x coverage).


Next Steps

Management

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

11.7yrs

Average management tenure


CEO

Polys Hajioannou (52yo)

11.7yrs

Tenure

0

Mr. Polys Hajioannou has been the Chairman and Chief Executive Officer of Safe Bulkers, Inc. since 2008. Mr. Hajioannou serves at Safety Management Overseas S.A. He also serves at Alassia Steamship Co., Lt ...


Management Age and Tenure

11.7yrs

Average Tenure

56yo

Average Age

The average tenure for the Safe Bulkers management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

11.3yrs

Average Tenure

60yo

Average Age

The average tenure for the Safe Bulkers 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

  • Polys Hajioannou (52yo)

    Chairman & CEO

    • Tenure: 11.7yrs
  • Konstantinos Adamopoulos (56yo)

    CFO & Director

    • Tenure: 11.7yrs
  • Loukas Barmparis (56yo)

    President

    • Tenure: 11.7yrs
  • John Foteinos (60yo)

    COO & Director

    • Tenure: 10.6yrs

Board Members

  • Frank Sica (68yo)

    Director

    • Tenure: 8.3yrs
  • Polys Hajioannou (52yo)

    Chairman & CEO

    • Tenure: 11.7yrs
  • Konstantinos Adamopoulos (56yo)

    CFO & Director

    • Tenure: 11.7yrs
  • Ole Wikborg (63yo)

    Director

    • Tenure: 11.7yrs
  • Loukas Barmparis (56yo)

    President

    • Tenure: 11.7yrs
  • John Foteinos (60yo)

    COO & Director

    • Tenure: 10.6yrs
  • Chris Megalou (60yo)

    Director

    • Tenure: 3yrs

Company Information

Safe Bulkers, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Safe Bulkers, Inc.
  • Ticker: SB
  • Exchange: NYSE
  • Founded: 2007
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: US$207.606m
  • Shares outstanding: 101.27m
  • Website: https://www.safebulkers.com

Number of Employees


Location

  • Safe Bulkers, Inc.
  • Les Acanthes
  • Apartment D11
  • Monaco
  • 98000
  • Monaco

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SBNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 2008
SBLDB (Deutsche Boerse AG)YesCommon StockDEEURMay 2008
SB.PRCNYSE (New York Stock Exchange)RED PERP PFD C%USUSDMay 2014
SB.PRDNYSE (New York Stock Exchange)PERP PFD SER DUSUSDJun 2014

Biography

Safe Bulkers, Inc. provides marine drybulk transportation services worldwide. It owns and operates drybulk vessels for transporting bulk cargoes primarily coal, grain, and iron ore. As of February 14, 2019 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 00:06
End of Day Share Price2019/09/16 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.