We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
International Seaways Inc. (INSW) Hits Fresh High: Is There Still Room to Run?
Read MoreHide Full Article
Shares of International Seaways (INSW - Free Report) have been strong performers lately, with the stock up 19% over the past month. The stock hit a new 52-week high of $62.95 in the previous session. International Seaways has gained 37.9% since the start of the year compared to the 0.3% move for the Zacks Transportation sector and the 19% return for the Zacks Transportation - Shipping industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on May 8, 2024, International Seaways reported EPS of $2.92 versus consensus estimate of $2.38 while it beat the consensus revenue estimate by 10.18%.
For the current fiscal year, International Seaways is expected to post earnings of $10.07 per share on $1.01 billion in revenues. This represents a -10.49% change in EPS on a -5.63% change in revenues. For the next fiscal year, the company is expected to earn $8.27 per share on $926.69 million in revenues. This represents a year-over-year change of -17.9% and -8.38%, respectively.
Valuation Metrics
International Seaways may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
International Seaways has a Value Score of A. The stock's Growth and Momentum Scores are C and A, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 6.2X current fiscal year EPS estimates, which is not in-line with the peer industry average of 8.5X. On a trailing cash flow basis, the stock currently trades at 4.7X versus its peer group's average of 3.4X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, International Seaways currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if International Seaways fits the bill. Thus, it seems as though International Seaways shares could have potential in the weeks and months to come.
How Does INSW Stack Up to the Competition?
Shares of INSW have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Costamare Inc. (CMRE - Free Report) . CMRE has a Zacks Rank of # 1 (Strong Buy) and a Value Score of A, a Growth Score of D, and a Momentum Score of A.
Earnings were strong last quarter. Costamare Inc. beat our consensus estimate by 5%, and for the current fiscal year, CMRE is expected to post earnings of $3.08 per share on revenue of $1.6 billion.
Shares of Costamare Inc. have gained 29.5% over the past month, and currently trade at a forward P/E of 4.56X and a P/CF of 3.44X.
The Transportation - Shipping industry is in the top 27% of all the industries we have in our universe, so it looks like there are some nice tailwinds for INSW and CMRE, even beyond their own solid fundamental situation.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
International Seaways Inc. (INSW) Hits Fresh High: Is There Still Room to Run?
Shares of International Seaways (INSW - Free Report) have been strong performers lately, with the stock up 19% over the past month. The stock hit a new 52-week high of $62.95 in the previous session. International Seaways has gained 37.9% since the start of the year compared to the 0.3% move for the Zacks Transportation sector and the 19% return for the Zacks Transportation - Shipping industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on May 8, 2024, International Seaways reported EPS of $2.92 versus consensus estimate of $2.38 while it beat the consensus revenue estimate by 10.18%.
For the current fiscal year, International Seaways is expected to post earnings of $10.07 per share on $1.01 billion in revenues. This represents a -10.49% change in EPS on a -5.63% change in revenues. For the next fiscal year, the company is expected to earn $8.27 per share on $926.69 million in revenues. This represents a year-over-year change of -17.9% and -8.38%, respectively.
Valuation Metrics
International Seaways may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
International Seaways has a Value Score of A. The stock's Growth and Momentum Scores are C and A, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 6.2X current fiscal year EPS estimates, which is not in-line with the peer industry average of 8.5X. On a trailing cash flow basis, the stock currently trades at 4.7X versus its peer group's average of 3.4X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, International Seaways currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if International Seaways fits the bill. Thus, it seems as though International Seaways shares could have potential in the weeks and months to come.
How Does INSW Stack Up to the Competition?
Shares of INSW have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Costamare Inc. (CMRE - Free Report) . CMRE has a Zacks Rank of # 1 (Strong Buy) and a Value Score of A, a Growth Score of D, and a Momentum Score of A.
Earnings were strong last quarter. Costamare Inc. beat our consensus estimate by 5%, and for the current fiscal year, CMRE is expected to post earnings of $3.08 per share on revenue of $1.6 billion.
Shares of Costamare Inc. have gained 29.5% over the past month, and currently trade at a forward P/E of 4.56X and a P/CF of 3.44X.
The Transportation - Shipping industry is in the top 27% of all the industries we have in our universe, so it looks like there are some nice tailwinds for INSW and CMRE, even beyond their own solid fundamental situation.