Danaos (DAC) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Danaos (DAC) closed at $90.83, marking a +0.65% move from the previous day. This move outpaced the S&P 500's daily gain of 0.43%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 0.2%.
Prior to today's trading, shares of the shipping company had lost 2.66% over the past month. This has was narrower than the Transportation sector's loss of 5.02% and lagged the S&P 500's gain of 3.69% in that time.
Investors will be hoping for strength from Danaos as it approaches its next earnings release. On that day, Danaos is projected to report earnings of $9.48 per share, which would represent year-over-year growth of 234.98%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $212.86 million, up 61.11% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $30.17 per share and revenue of $911.98 million. These totals would mark changes of +71.42% and +32.27%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Danaos. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Danaos is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, Danaos is holding a Forward P/E ratio of 2.99. This represents a discount compared to its industry's average Forward P/E of 4.11.
The Transportation - Shipping industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 77, which puts it in the top 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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