Shipping companies

(3/14/16) Capesize drybulk shipping rates tank 27.5% overnight (or -$6,606) to $17,452/day. Drybulk shipping rates start 2014 on a bad note, driven by capesize rate performance : The overall Baltic Dry Index (BDI) dropped 11% overnight to 1,512. Panamax rates fell 1.5% to $12,921/day and supramax rates rose 0.2% (or $29) to $12,448/day.

Capesize rates have declined in every session so far in 2014 and just got slammed overnight, which is negative for related shippers (see below for who has what exposure).

Exposure of ships by company is as follows:

• The companies with capesize ships include DSX, DRYS, GNK, SBLK, NMM and NM
• Shippers that have Panamax ships are DRYS, DSX, GNK, NM, PRGN, NMM and SB
• Shippers that have Supramax ships are EGLE
• Shipping companies with exposure to both Capesize and Panamax ships include DRYS, DSX, NMM and NM

Description of ship type:

• Capesize ships haul coal, iron ore and other related commodity raw materials across the ocean
• Panamax ships mainly carry coal, grain and, to a lesser extent, minor bulks, including steel products, forest products and fertilizers
• Supramax mainly carry dry cargo such as iron ore, cement, fertilizers, coal and food grains

Performance

• 1 year:    http://finviz.com/screener.ashx?v=141&f=ind_shipping,sh_avgvol_o100&ft=4&o=-perf52w
• YTD:    http://finviz.com/screener.ashx?v=141&f=ind_shipping,sh_avgvol_o100&ft=4&o=-perfytd

change from open - finviz http://finviz.com/screener.ashx?v=211&ta=0&o=-changeopen&t=DSX,DRYS,GNK,SBLK,NMM,NM,PRGN,SB,EGLE

by average vol (3 months):

      

The Maersk Triple E class is a family of large, fuel-efficient container ships, designed as a successor to the Maersk E-class. In February and June 2011, Maersk awarded Daewoo Shipbuilding two US$1.9 billion contracts ($3.8bn total) to build twenty of the ships.  The name "Triple E" is derived from the class's three design principles: "Economy of scale, Energy efficient and Environmentally improved". These ships are expected to be not only the world's longest ships in service, but also the most efficient container ships per twenty-foot equivalent unit (TEU) of cargo.

(computer-generated image) 

The largest ship: The Maersk Triple E ships can carry 18,000 20-foot containers. With a draft of 14.5 metres (48 ft), they are too deep to cross the Panama Canal, but can transit the Suez Canal when sailing between Europe and Asia.

Tanker stocks (oil & gas transportation)

• Frontline (NYSE:FRO)
• Nordic American Tanker (NYSE:NAT)
• Teekay Tankers Ltd.(NYSE:TNK)
• Euronav (NYSE:EURN)
• DHT Holdings (NYSE:DHT)

++Ardmore Shipping Corporation (ASC) - oil tankers

Global LNG Market

The Monaco-based GasLog (GLOG) is an international owner and operator of Liquefied Natural Gas ("LNG") vessels. The company owns, operates, and manages highest-quality, modern high-spec fleet of LNG carriers.

The company owns 18 modern, high-spec LNG vessels, and most of them are built at Samsung Heavy Industries (OTC:SMSHF), the world's leading LNG shipbuilder. Eight of the company's vessels are currently in the water, while further seven new vessels are expected to be delivered in the next 2 years. The company also recently bought 3 second-hand vessels, which will be delivered in 2Q14. 

Foredeck of an oil tanker

Dry-Bulk Rates Follow Stock Price Rebound

Shares of commodity-tanker owners may have foreshadowed this week’s rebound in shipping costs from a quarter-century low.

     Bloomberg index of dry-bulk shipping stocks started rebounding from a record low seven weeks before the Baltic Dry Index did the same. The chart tracks the two indicators since 2008, when calculations of the stock gauge begin.

     

Bloomberg’s global index of 14 shippers reached a record low on Dec. 19, when the Baltic Dry Index recorded the sixth of 33 straight losses. The gauge of shipping rates sank 66 percent during the streak to 647, the lowest reading since August 1986.

 

     Lower transportation costs reflect an excess of tankers available to carry iron ore and other commodities rather than a decline in the amount of cargo, Polys Hajioannou, chairman and chief executive officer of Safe Bulkers Inc., said yesterday during a Bloomberg Radio interview.

 

     “Demand is improving, but supply does not allow the freight market to do what it usually does,” Hajioannou said. He estimated that commodity shipments are climbing by 7 percent to 8 percent annually, and added that he expects tanker rates to move higher from next year onward.

 

     Shares of Safe Bulkers, based in Athens, rose 18 percent through yesterday from their price when the Bloomberg index set its low. The stock gauge advanced even more, 24 percent, during the period.