GE Shipping - Offshore Strengthening Further; Shipping To Remain Tight: Motilal Oswal

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

The Great Eastern Shipping Company Ltd.’s market cap has quadrupled in the last three years as its Ebitda has improved amid a tight shipping market.

We met with the company’s management recently and following are our key takeaways:

demand-supply fundamentals remain robust across crude/product/dry-bulk segments; commentary from global shipping companies affirms our view that markets will remain tight over the next two years;
offshore charter rates continue to hit new highs, with only a marginal impact from Saudi Arabia’s decision to defer oil capacity expansion;
~20% of the company’s shipping fleet is now on time charter, improving earnings visibility, while its offshore fleet continues to get re-priced at charter rates, which are 40-80% higher.

Click on the attachment to read the full report:

Motilal Oswal GE Shipping Company Update.pdf

Read Document

Also Read: TCS Q1 Results Review - Discretionary Spending Remains Lukewarm: Motilal Oswal

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.