We provide trade recommendations to complement the recent
expert consensus on Overseas Shipholding. Our dynamic recommendation engine exercises a multidimensional algorithm to analyze the firm's potential to grow using all technical and fundamental data available at the time.
Typically, a company's
financial statements are the reports that show the
financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Overseas Shipholding income statement, its balance sheet, and the statement of cash flows. Potential Overseas Shipholding investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Overseas Shipholding investors may use each financial statement separately, they are all related. The changes in Overseas Shipholding's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Overseas Shipholding's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our
technical analysis and
fundamental analysis pages.
The goal of Overseas Shipholding
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Overseas Shipholding performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Overseas Shipholding shares is the value that is considered the true value of the share. If
the intrinsic value of Overseas is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Overseas Shipholding. Please read more on our
fundamental analysis page.
And What about dividends?
A dividend is the distribution of a portion of Overseas Shipholding earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Overseas Shipholding dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Overseas one year expected dividend income is about USD0.04 per share.
Investing in stocks that pay
dividends, such as stock of Overseas Shipholding Group, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Overseas Shipholding must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Overseas Shipholding. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.
How important is Overseas Shipholding's Liquidity
Overseas Shipholding
financial leverage refers to using borrowed capital as a funding source to finance Overseas Shipholding Group ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Overseas Shipholding financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Overseas Shipholding's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Overseas Shipholding's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Overseas Shipholding's total debt and its cash.
Another Deeper Perspective
Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Overseas Shipholding is not uncomon. Institutional investors typically avoid acquiring a high percentage of Overseas Shipholding stocks because performing such an act may violate securities laws. They are usually not investing their own money, but rather making investments on behalf of their clients. Let's take a look at how the ownership of Overseas is distributed among investors.
Ownership Allocation
Overseas Shipholding has a total of 86.86 Million outstanding shares. Overseas Shipholding has significant amount of outstanding shares owned by
insiders. An
insider is usually defined as a CEO, other corporate executive, director, or
institutional investor who own at least 10% of the company outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.
| Retail Investors23.51% | Insiders27.08% | Institutions49.41% |
| Retail Investors | 23.51 |
| Insiders | 27.08 |
| Institutions | 49.41 |
| 2018 | 2019 | 2020 | 2021 (projected) |
Interest Expense | 30.89 M | 25.63 M | 23.07 M | 23.68 M | Gross Profit | 100.4 M | 110.16 M | 99.14 M | 128.03 M |
Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Overseas Shipholding has an asset utilization ratio of 12.96 percent. This indicates that the company is making $0.13 for each dollar of assets. An increasing asset utilization means that Overseas Shipholding Group is more efficient with each dollar of assets it utilizes for everyday operations.
| Current Assets | 91.01 Million | 6.73 |
| Assets Non Current | 1.23 Billion | 90.65 |
| Goodwill | 34.32 Million | 2.54 |
| Tax Assets | 1.1 Million | 0.0814 |
Analysis of Overseas Shipholding
Latest coefficient of variation is at 1661.16.
As of the 6th of August, Overseas Shipholding holds the Semi Deviation of 1.78,
coefficient of variation of 1661.16, and Risk Adjusted Performance of 0.0531. Compared to
fundamental indicators, the
technical analysis model allows you to check existing technical drivers of Overseas Shipholding, as well as the relationship between them. Put it differently, you can use this information to find out if the company will indeed mirror its model of past market data, or the prices will eventually revert. We are able to interpolate and collect nineteen
technical drivers for Overseas Shipholding, which can be compared to its competitors. Please check
Overseas Shipholding information ratio, as well as the
relationship between the potential upside and
kurtosis to decide if Overseas Shipholding is priced some-what accurately, providing market reflects its current price of 2.64 per share. Please also confirm Overseas Shipholding
total risk alpha, which is currently at 0.1378 to check out the company can sustain itself at a future point.
The Bottom Line
Although many other companies in the oil & gas midstream industry are either recovering or due for a correction, Overseas may not be as strong as the others in terms of longer-term growth potentials. To conclude, as of the 6th of August 2021, our up-to-date 90 days buy-hold-sell recommendation on the firm is
Strong Buy. We believe Overseas Shipholding is currently
undervalued with
close to average probability of bankruptcy for the next two years.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Overseas Shipholding Group. Please refer to our
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