The growth of the EPS is critical in understanding the current valuation of Golden Ocean Group Limited. The EPS growth rate, as it is usually called, is typically displayed as a percentage, which at this time is hard to estimate, but revenue growth has been 31.30 % over the last twelve months. The higher the EPS growth rate, the higher the value that is added to shareholders and a good reflection on the performance of the management at Golden Ocean Group Limited.



Golden Ocean Group Limited is part of the industrials sector and is in the transportation and logistics industry. Golden Ocean Group is a dry bulk shipping company based in Bermuda, mainly operating in the Capesize and Panamax market segments.

Previous Intraday Performance:

The GOGL shares had a previous change of -2.43% which opened at 7.44 and closed at 7.22. It moved to an intraday high of 7.49 and a low of 7.20.

SeekingAlpha:  Golden Ocean goes ex-dividend tomorrow

Historical Performance:

Over the last five trading days, GOGL shares returned -4.37% and in the past 30 trading days it returned -7.26%. Over three months, it changed -23.89%. In one year it has changed -8.61% and within that year its 52-week high was 10.05 and its 52-week low was 6.24. GOGL stock is 15.71% above its 52 Week Low.

Our calculations result in a 200 day moving average of 8.44 and a 50 day moving average of 8.09. Right now, GOGL stock is trading -14.47% below its 200 day moving average and may not be a great opportunity to buy as it may continue to trend down.

SeekingAlpha:  Golden Ocean goes ex-dividend tomorrow

Liquidity:

The company has a market cap of $1.0b with 144.2m shares outstanding and a float of 144.2m shares. Trading volume was 238,819 shares and has experienced an average volume of 205,333 shares. Our calculation, using the current average volume and close price, leads me to believe that the liquidity is bad, highly speculative and an investor may want to avoid this stock.

Earnings:

The last annual reported EPS for Golden Ocean Group Limited was 0 which ended on 31st of December 2017, which according to the previous close, that is a PE of inf. Based on 3 analyst estimates, the consensus EPS for the next quarter is 0.16. The trailing twelve month EPS is 0.62, which comes to a trailing twelve month PE of 11.65.

Below was the last reported quarterly earnings per share:
09-30-2018:  0.24
06-30-2018:  0.07
03-31-2018:  0.12
12-31-2017:  0.19



The dividend per share is currently 0.60, which is a dividend yield of 8.31%. GOGL stock may not have sufficient earnings to cover future dividends and still be able to invest in and grow the business, therefore in the future the dividend may be reduced.

Base on our calculations, the intrinsic value per share is 21.10, which means it might be undervalued and has a margin of safety of 65.79%

Indicators Also to Watch:

Based on the latest filings, there is 37.00% of institutional ownership. Short-interest was 0, which was 0.00% of shares outstanding. The short-interest ratio or days-to-cover ratio was 0.00.

I calculated the beta to be 2.33

Business Wire:  Kennedy Wilson Acquires 222-Unit Multifamily Property in Salt Lake City, Utah, for $49 Million

Fundamental Numbers:

Based on last reported financials, the company’s return on equity is 6.12%, return on assets is 3.08%, profit margin is 13.83%, price-to-sales is 0.21 and price-to-book is 0.69.

Company Score Card:

Results are out of six:
 3  : Growth Expectations Result
 1  : Financial Safety Result
 3  : Past Performance Result
 5  : Valuation Result
 4  : Dividend Safety Result
 3  : Overall Result

Related Tags: , , ,

Jake McWilliams
I am an independent trader, analyst and algorithmic trading expert, having worked both for the sell side (brokerage) and the buy side (fund administration). I have been trading professionally for about 20 years. I trade stocks and forex and I play both long and short positions in underlying asset or through options. I have experience with discretionary and fully automated systems (Metatrader and Quantshare).

LEAVE A REPLY

Please enter your comment!
Please enter your name here