Critical Review: Golden Ocean Group Limited (GOGL) & Its Competitors

Golden Ocean Group Limited (NASDAQ: GOGL) is one of 27 publicly-traded companies in the “Deep Sea Freight” industry, but how does it weigh in compared to its peers? We will compare Golden Ocean Group Limited to related businesses based on the strength of its analyst recommendations, dividends, earnings, institutional ownership, risk, valuation and profitability.

Valuation & Earnings

This table compares Golden Ocean Group Limited and its peers revenue, earnings per share (EPS) and valuation.

Gross Revenue NetIncome Price/Earnings Ratio
Golden Ocean Group Limited $257.81 million -$127.71 million -16.52
Golden Ocean Group Limited Competitors $220.64 million -$76.22 million -2.25

Golden Ocean Group Limited has higher revenue, but lower earnings than its peers. Golden Ocean Group Limited is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Golden Ocean Group Limited and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Golden Ocean Group Limited -14.69% -3.91% -2.02%
Golden Ocean Group Limited Competitors -84.73% -15.18% -5.29%

Volatility and Risk

Golden Ocean Group Limited has a beta of 2.37, suggesting that its stock price is 137% more volatile than the S&P 500. Comparatively, Golden Ocean Group Limited’s peers have a beta of 2.06, suggesting that their average stock price is 106% more volatile than the S&P 500.

Institutional & Insider Ownership

9.9% of Golden Ocean Group Limited shares are owned by institutional investors. Comparatively, 56.2% of shares of all “Deep Sea Freight” companies are owned by institutional investors. 4.1% of shares of all “Deep Sea Freight” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and target prices for Golden Ocean Group Limited and its peers, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Golden Ocean Group Limited 0 1 6 0 2.86
Golden Ocean Group Limited Competitors 146 479 592 5 2.37

Golden Ocean Group Limited currently has a consensus price target of $11.33, indicating a potential upside of 49.12%. As a group, “Deep Sea Freight” companies have a potential upside of 27.52%. Given Golden Ocean Group Limited’s stronger consensus rating and higher probable upside, analysts clearly believe Golden Ocean Group Limited is more favorable than its peers.

Summary

Golden Ocean Group Limited beats its peers on 8 of the 12 factors compared.

Golden Ocean Group Limited Company Profile

Golden Ocean Group Limited, formerly Knightsbridge Shipping Limited, is an international dry bulk shipping company. The Company is engaged in the transportation of dry bulk cargoes. It owns and operates a fleet of dry bulk carrier vessels, focusing on the Capesize, Panamax and Supramax markets. Its vessels transport a range of major and minor bulk commodities, including ores, coal, grains and fertilizers. Its fleet includes owned vessels, bareboat vessels, chartered vessels, commercial management vessels and newbuildings. It owns over 40 dry bulk carriers and has contracts for over 20 newbuildings. It also has over 10 vessels chartered-in (of which over eight are chartered in from Ship Finance and over five are chartered in from third parties) and over one vessel chartered-in through a joint venture. Approximately six of the vessels are chartered-out on fixed rate time charters and the other operates in the spot market or fixed on index-linked time charter contracts.

What are top analysts saying about Golden Ocean Group Limited? - Enter your email address in the form below to receive our free daily email newsletter that contains the latest headlines and analysts' recommendations for for Golden Ocean Group Limited and related companies.

Comments

Leave a Reply


share news on Facebook
tweet this investment news
share on linkedin
share on StockTwits
share on Google Plus
share on reddit