DCIX - Performance Shipping: A Well-Timed Foray Into Tankers

Note:

I have covered Performance Shipping (DCIX) previously, so investors should view this as an update to my earlier articles on the company.

Four months ago, I provided my initial assessment of Performance Shipping's surprise acquisition of two 2011-built Aframax tankers from Maersk:

Overall, I view the transaction as a mixed bag given the rather high vessel purchase price, material dilution well below net asset value per share and increased business risk while on the other hand I applaud the move to diversify into a more promising market segment which could yield material short-term results

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