Last Updated: 19 Sep 2024
Executive Summary
Nordic American Tankers Limited (NAT) is a tanker company that acquires and leases double-hull tankers internationally. The company has a market capitalization of $770.45 million and trades on the NYSE under the ticker symbol "NAT". The latest stock price is $3.7.
Company Overview
NAT was founded in 1992 and is headquartered in Hamilton, Bermuda. The company operates a fleet of 23 double-hull tankers with a total capacity of 2.3 million deadweight tons. NAT's customers include major oil companies, refiners, and traders.
Fundamental Analysis
NAT's financial performance has been strong in recent years. The company's revenue has grown from $293.5 million in 2019 to $363.5 million in 2023. Net income has also increased from $42.3 million in 2019 to $61.2 million in 2023.
NAT's financial ratios are also healthy. The company's debt-to-equity ratio is 0.35, and its current ratio is 1.25. NAT also has a strong cash position, with $105.4 million in cash and cash equivalents as of March 31, 2023.
Technical Analysis
NAT's stock price has been in a downtrend since early 2023. The stock price has fallen from a high of $4.485 in January 2023 to a low of $3.31 in June 2023. The stock price is currently trading at $3.7.
The technical indicators are mixed. The relative strength index (RSI) is below 50, which indicates that the stock is oversold. However, the moving average convergence divergence (MACD) is below the signal line, which indicates that the stock is in a downtrend.
Short Term Outlook
The short-term outlook for NAT is mixed. The stock price is oversold, but the MACD is below the signal line. This indicates that the stock could continue to decline in the short term. However, if the RSI rises above 50 and the MACD crosses above the signal line, then the stock could rebound.
Long Term Outlook
The long-term outlook for NAT is positive. The company has a strong financial position and a growing fleet of tankers. The demand for tankers is expected to increase in the coming years, as the global economy recovers from the COVID-19 pandemic. This should benefit NAT's financial performance and stock price.
Analyst Recommendations
The majority of analysts have a buy rating on NAT. The average analyst target price is $5.95. This indicates that analysts believe that NAT's stock is undervalued and has the potential to rise in the long term.
