Top 5 Crude Tanker Stocks in 2017 by Market Returns



Crude tanker industry in 2017

It hasn’t been a good year for the crude tanker industry. Tanker rates experienced a steep fall this year. VLCC (very large crude carrier) rates have fallen almost 70% YTD (year-to-date). Suezmax rates have fallen 41% since the beginning of the year.

Why did the rates fall?

Tanker rates mainly fell due to high fleet growth and OPEC’s production cut. The VLCC (very large crude carrier) fleet has grown 7%, while the Suezmax fleet has grown 10% year-over-year. On the other hand, oil supply has fallen and exports from Saudi Arabia have dropped significantly. All of these factors had a negative impact on the crude tanker industry.

Crude tanker stocks in 2017

Just like the crude tanker rates, it hasn’t been a good year for crude tanker stocks. Most crude tanker stocks traded in the red this year. Now, we’ll analyze the top five YTD stock market returns from companies in the crude tanker industry.

Top five crude tanker stocks

Euronav (EURN) was the only company that had a positive YTD return. As of December 18, Euronav has returned 3.7% since the beginning of the year. Gener8 Maritime Partners (GNRT) was the second-best performer with a YTD return of -0.89%. Navios Maritime Midstream Partners (NAP) and DHT Holdings (DHT) were in the third and fourth spots with YTD returns of -13.5% and 13.7%, respectively. Tsakos Energy Navigation (TNP) was fifth with a YTD return of -16.2%.

Other companies

Some of the crude tanker companies that didn’t make it into the top five are Teekay Tankers (TNK), Frontline (FRO), and Nordic American Tankers (NAT). As of December 18, they had YTD returns of -34.5%, -34.6%, and -68.8%, respectively.

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