- Danaos soared 13.5% yesterday due to the continuation of the Baltic Exchange Dry Index's rally, and therefore, investors' expectations of DAC beating its revenue and EPS forecasts.
- Compared to its main peers, the company looks undervalued to EV/EBITDA and Price-to-Book multiples.
- BDIY's behavior explains the variance of the stock price by 72.63%. According to the constructed model, DAC should trade 7.72% higher.
- Despite the risks involved, I recommend buying DAC ahead of its 1Q report (May 10, 2021).
For further details see:
Danaos Is Still A Buy After The Recent Jump