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Why Castor Maritime Stock Dropped Again on Friday

·1 min read
Why Castor Maritime Stock Dropped Again on Friday

Just one day after Castor Maritime (NASDAQ: CTRM) shares surged in response to the company finally reporting a profit (after four straight quarters of trying), gravity reasserted its hold. As a shipper of dry bulk cargo, Castor Maritime's fortunes are intimately tied to the movements of the BDI, which tracks the rates that dry bulk shipping companies can charge for hauling dry bulk goods such as coal, iron pellets, and grain. Basically, the same BDI that reflected Castor Maritime's ability to charge enough for its services to earn a profit last quarter is now forecasting weaker pricing that may threaten Castor Maritime's ability to earn a profit this quarter.