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DHT Holdings: Analysts Recommend a ‘Buy’

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Consensus rating

According to Reuters, the consensus rating for DHT Holdings (DHT) is 2.46, which means a “buy.”

Out of the 13 analysts that gave recommendations on DHT Holdings, 46% of the analysts are bullish on the stock. One analyst gave a “strong buy,” five gave a “buy,” and seven gave a “hold” rating for DHT Holdings. None of the analysts recommended a “strong sell” or “sell” for DHT Holdings.

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Target price

The consensus 12-month target price for DHT Holdings is $5.45, which implies a potential upside of 51.4% from the market price of $3.6 on December 27, 2017.

Analysts’ estimates for 4Q17

Wall Street analysts expect DHT Holdings’ revenue to be $65.5 million in 4Q17—an increase from its 3Q17 revenue of $54.7 million. However, it’s expected to be 3% lower year-over-year. For 2017, DHT Holdings’ revenue is expected to be $251 million, which is 14% lower than its 2016 revenue of $290.6 million. It’s expected to rise to $306 million in 2018.

For 4Q17, analysts estimate that DHT Holdings’ EBITDA (earnings before interest, tax, depreciation, and amortization) will be $40.7 million—an increase from $31.3 million in 3Q17 and a fall from $46.6 million in 4Q16. The EBITDA for 2017 is estimated at $160 million, which is lower than $209.0 million reported in 2016. In 2018, the EBITDA is expected to rise to $187 million.

DHT Holdings’ peers

Below are the 2017 EBITDA estimates for DHT Holdings’ peers:

  • Frontline (FRO) – $206 million, 35% lower YoY (year-over-year)
  • Nordic American Tankers (NAT) – $65 million, 55% lower YoY
  • Navios Maritime Midstream Partners (NAP) – $57 million, 9.5% lower YoY
  • Euronav (EURN) – $223 million, 53% lower YoY

Next, we’ll discuss analysts’ recommendations for Nordic American Tankers.

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