- Danaos offers good value here going for a low P/E multiple of 5.
- With a reopening trade and future opportunities to reinvest earnings at a high ROCE, management can use this as an opportunity to turn this company around.
- DAC has been up over 2200% since the last market crash in March and this makes for a good trend-following/momentum play to the upside.
- Danaos is also developing a moat which should let it be valued at a higher earnings multiple than the 5x earnings it is currently being valued at.
For further details see:
Danaos: Up 2200% And Still Likely To Go Higher