- Reflecting on disappointing share price performance following my upgrade to "speculative buy" in early August.
- Company reports respectable Q3 results highlighted by decent cash flow from operations.
- Recent weakness and stellar fleet value appreciation have resulted in the shares now trading at a more than 60% discount to net asset value.
- A host of China-related issues has impacted charter rates in recent weeks with weakness likely to continue throughout Q1. Medium-term fundamentals of the dry bulk market remain strong.
- While a trade going into anticipated strong Q4 results in late March could yield decent returns, investors looking for exposure to the dry bulk sector should rather consider dividend-paying quality names like Star Bulk Carriers, Golden Ocean Group, Eagle Bulk Shipping and Genco Shipping & Trading.
For further details see:
Castor Maritime - Cheap For A Reason