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Global Ship Lease (GSL) Gains But Lags Market: What You Should Know

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In the latest trading session, Global Ship Lease (GSL - Free Report) closed at $18.05, marking a +0.33% move from the previous day. The stock lagged the S&P 500's daily gain of 0.84%. At the same time, the Dow added 0.96%, and the tech-heavy Nasdaq gained 0.81%.

Heading into today, shares of the containership owner had lost 8.63% over the past month, lagging the Transportation sector's loss of 5.68% and the S&P 500's gain of 0.19% in that time.

Global Ship Lease will be looking to display strength as it nears its next earnings release. In that report, analysts expect Global Ship Lease to post earnings of $2.16 per share. This would mark a year-over-year decline of 9.24%. Meanwhile, our latest consensus estimate is calling for revenue of $163.42 million, down 5.29% from the prior-year quarter.

GSL's full-year Zacks Consensus Estimates are calling for earnings of $8.68 per share and revenue of $648.28 million. These results would represent year-over-year changes of +6.5% and +0.41%, respectively.

It is also important to note the recent changes to analyst estimates for Global Ship Lease. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. Global Ship Lease is holding a Zacks Rank of #3 (Hold) right now.

Valuation is also important, so investors should note that Global Ship Lease has a Forward P/E ratio of 2.07 right now. This valuation marks a discount compared to its industry's average Forward P/E of 6.87.

The Transportation - Shipping industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 203, which puts it in the bottom 20% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

To follow GSL in the coming trading sessions, be sure to utilize Zacks.com.


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