Navios Maritime Midstream Partners (NAP), an MLP, hasn’t had a good run this year. NAP stock has a negative return of 30.9% as of October 1, 2017. The Alerian MLP Index (or AMZ) has a year-to-date negative return of 10.1%. NAP and AMZ have both underperformed the S&P 500 Index (SPX-INDEX), which has returned 13.0% since the start of the year.
NAP is generally first among the crude oil tanker companies to release its quarterly earnings. Its 3Q17 results are expected to be released on October 24, 2017.
Revenue and earnings estimate
Wall Street analysts estimate that NAP’s revenue will be ~$21.4 million in the third quarter compared to $18.5 million in 2Q17 and ~$22.2 million in 3Q16. NAP’s revenues come from long-term contracts, so the company’s revenues are very stable and predictable. Its revenues in the fourth quarter are expected to again be $21.4 million. NAP’s vessels are booked for 2017 as well as 2018.
Analysts expect the company’s 3Q17 EBITDA (earnings before interest, tax, depreciation, and amortization) to be $14.6 million compared to $11.4 million in 2Q17 and $15.6 million in 3Q16. Analysts expect fiscal 2017 EBITDA to be $55.7 million compared to $63.5 million in 2016.
Only four analysts are covering Navios Maritime Partners. Of those, three of them have rated the company a “hold,” while one has given it a “sell.” The consensus 12-month target price for NAP is $9.33, which implies an upside potential of 25.9% compared to the current price of $7.4 as of October 3, 2017.
In the next parts of this series, we’ll see analyst estimates and recommendations for Tsakos Energy Navigation (TNP), Frontline (FRO), Nordic American Tankers (NAT), DHT Holdings (DHT), and other crude tanker companies.