Positive comments from yesterday's container panel at Marine Money Week bolsters outlook. Container market remains firm and favorable market thesis intact. Symeon Pariaros, Chief Administrative Officer of Euroseas participated on the panel entitled "The Containership Supply Squeeze" and confirmed that container vessel availability remains tight. While the past two years were negatively impacted by extreme factors, the container supply/demand fundamentals appear more favorable and viability has markedly improved.Higher container rates positive for upcoming charters. Charters on four feeders and one intermediate expire before yearend 2021 and the renewal prospects remain strong. We estimate that the feeders (Spetses/Diamantis/Corfu/Evridiki) will secure longer term work at charter rates in the $20.0k-$25.0k/day range. At the same time, charter rates for the Oakland, an intermediate, appear to have moved up into the more than $40.0k/day range. Based on recent comments, our estimates might be conservative.Visibility into next year is the highest in more than a decade. No change in 2021 EBITDA estimate of $44.1 million based on forward cover of 89% and TCE rates of $17.4k/day. No change to 2022 EBITDA estimate of $69.7 million based on forward cover of 55% and TCE rates of $22.3k/day.Capital structure moves should be positive this year due to stronger cash flow. Debt of $0.9 million was prepaid in May, the convertible preferred stock is now well in the money, and the capital structure could be net debt free by yearend 2022. With improved visibility and a stronger capital structure, a regular dividend or special dividend could be considered by yearend 2021.Maintain Outperform rating and increase price target to $30.00/share from $25.40/share. Our container market outlook remains favorable and new charters with longer terms at higher rates have created solid forward cash flow visibility. Even though the stock is up 342% this year and 53% in June, we believe that the current valuation remains attractive and the risk/reward profile warrants a positive rating. Moreover, improving operating results and declining financial leverage should allow shareholder friendly moves, like paying a regular and/or special dividend. Read More >>