GrowthTurtle
Data Science PhD & IEEE Fellow, Ex-Two Sigma
Okeanis Eco Tankers looks cheap against its earnings. It trades at 8x trailing and about 15x next year's earnings, versus the roughly 19x shipping operators usually get. Fair value is $99.15 to $126.19, based on 19x next year's $5.93 EPS, give or take 12%, which puts the stock about 12% below the low end. The case leans on forecasts, since forward earnings are 45% above trailing. Above $154.18 it would be expensive. x.com
Tanker companies such as International Seaways, Teekay Tankers, Nordic American, Okeanis Eco, DHT and Scorpio Tankers are a boring, underrated sector nobody talks about. Tankers are an absolute necessity, and while not a glamorous business like AI, they still produce great returns. x.com
Tanker rates will likely plummet within two years and stay down for ten as new supply overwhelms demand, hurting Frontline, Teekay Tankers and Scorpio Tankers. Per Hedgeye, oil supertanker orders have hit a new all-time high, and tanker managements just can't help themselves. x.com
