- global hunter securities officially unveiled its drybulk coverage, led by veteran analyst natasha boyden, who left cantor fitzgerald in march.
'the long nightmare may be coming to an end,' boyden wrote on the drybulk sector, initiating coverage of 12 listed players. 'in the current market environment, we believe companies with long-term charter coverage with credit-worthy and diverse counterparties, low leverage, modern fleets and experienced management teams should outperform the sector over the long term, and therefore deserve premium valuation multiples.
she continued: 'the drybulk market is at the low point of an extreme boom-bust cycle, driven primary by oversupply.'
boyden also said she believes that 'starting by mid-2013, it's possible that supply pressures could ease substantially and rates could then begin a sustainable, albeit slow, rebound.'
boyden predicted that capesize rates would average ?10,100 per day this year and ?16,000/day in 2013; that panamaxes would average ?9,575/day (2012) and ?12,500/day (2013); handymaxes ?10,175/day (2012) and ?12,250/day (2013); and handysizes ?8,725/day (2012) and ?10,500/day (2013).
boyden initiated a 'buy' rating on six drybulk stocks: baltic trading, d/s norden, dryships, diana shipping, navios maritime holdings and safe bulkers. She placed an 'accumulate' rating on navios maritime partners and star bulk, and a 'neutral' on paragon shipping.
in the negative column, she placed a 'reduce' rating on eagle bulk, excel maritime and genco shipping.