Teekay Corp

Teekay LNG Partners (TGP) was the best-performing stock in 2017 among the LNG carrier companies. TGP reported a year-to-date return of 36.6% on December 20, 2017.

China’s crude oil import: The most important factor An indicator that has a first-degree (direct) influence on tanker rates is China’s crude oil import volume. When import volume rises, more tankers will be in use, which pushes up shipping rates. Conversely, lower import volume means an increased number of idled ships, which leads to increased […]

Teekay is one of the world’s largest marine energy transportation, storage, and production companies. It was the NYSE’s top gainer last week.

WTI crude oil futures for June delivery increased by 2.81% on Thursday, April 23. Oil prices surged on the consensus of supply disruption from the Middle East.

June WTI crude oil futures declined by 1.99% and settled at $55.26 per barrel on Tuesday, April 21. Oil prices fell due to increasing stockpile data.

In 4Q14, LR2 product tanker rates touched their highest levels since 4Q08. Record high levels of Asian naphtha imports from the West supported LR2 rates.

Teekay Tankers’s recent delivery of LR2 vessels were already trading in its Taurus pool. The fleet started generating revenues immediately upon delivery.

The global tanker fleet is forecast to grow by 1.7% in 2015, with higher growth weighted toward the product sectors.

The impact of low prices and development of floating storage in 1Q15 are expected to support positive tanker demand in the first half of 2015.

TNK CEO Kevin Mackay noted that in the past three months, average crude spot tanker rates were at their highest since the strong 2008 winter tanker market .

Spot exposure for the Teekay Tankers fleet increased by ~3,900 revenue days for 2015. If the spot market rates rise, TNK can earn higher revenues.

Since October 2014, Teekay Tankers has secured time charter-in contracts for two additional Aframax vessels and one additional LR2 vessel.

TNK’s chartering strategy includes vessel employment via a mix of short- or medium-term fixed-rate time charter contracts and spot tanker market trading.

The international LPG shipping market is volatile in profitability, charter rates, and vessel values, adversely affecting businesses during downturns.

The Baltic Dirty Tanker Index widened to 862 on December 24, 2014, from 639 on October 1. It recorded a 34.9% increase as China increased imports of raw goods.

Magnetar reduced its position in AAL in the third quarter. The position accounts for 1.17% of the fund’s total portfolio in the third quarter.

Magnetar increased its position in TK in the third quarter. The position accounts for 7.67% of the fund’s total portfolio in the third quarter.

The revenue mix for Teekay Tankers Ltd. (TNK) is largely contributed by the net pool revenues. The company has developed secured charter-in contracts and created a significant base for the company’s future growth.

On July 28, 2014, the board of directors of Scorpio Tankers (STNG) approved a new stock buyback program with authorization to purchase up to $150 million of its common stock.

Dorian will be registering for resale, under the Securities Act of 1933 as amended, all the Dorian shares that Scorpio Tankers (STNG) owns. Scorpio Tankers currently owns approximately 9.4 million shares, or 16.3%, of Dorian.

Scorpio Tankers’ management believes that with the newbuilding program, the company over the summer finally turned the corner of having more ships on the water than vessels under construction at shipyards.

For the third quarter of 2014, the charter hire expense increased $1.1 million to $32.9 million, from $31.9 million in the year ago quarter.

SFL has five drilling units on long-term fixed-rate bareboat contracts. The rigs generated approximately $80 million in aggregate EBITDA in 2Q2014.

Industry analysts believe that stronger oil demand, contained growth in crude tanker fleets, and improving economic conditions should support the average spot tanker rates remaining firm in 2014.

With TK evolving from a small player to global marine midstream service provider, the company has garnered significant advantages and a strong standing in the industry.

With a significant interest alignment of Teekay Tankers and Teekay Corporation, TNK acts like the growth vehicle for TK’s tanker franchise.

Teekay Corp (TK) is a brand new position initiated by Eton Park in the fourth quarter. It accounts for 2.70% of the fund’s portfolio.

Eric Mindich’s Eton Park Capital Management posted 22.3% returns in 2013, the fund told investors in a letter cited by news websites.

Magnetar Financial LLC opened a brand new position in Gaming and Leisure Properties (GLPI) that accounts for 0.75% of the fund’s 4Q portfolio.

Magnetar initiated a brand new position in Plains GP Holdings LP (PAGP) that accounts for 2.06% of the fund’s 4Q portfolio.

As oil production appears to be lagging oil rig count by two to three years, U.S. oil production growth could start to show signs of slowing in 2014. That could be positive for demand for crude tanker companies.

Why ship prices (value) matter Ship prices (values) are often good indicators of financial health in the shipping industry. When shipping demand grows more than the supply of ships, shipping companies place additional orders of ships, which drives up purchase prices. Additionally, when firms are able to charge higher prices for transporting goods across the […]

Update to Shipping capacity growth drops but outpaces demand, negative for tanker stocks The importance of capacity In a highly commoditized industry, like the shipping industry, capacity is an important metric that directly impacts companies’ top line, or revenue performance. When capacity grows faster than demand, competition will rise among individual shipping firms as they try […]

Continued from Why oil price is a key driver of tanker stocks The impact of China’s financial industry The financial industry is an essential part of any economy. Without a stable financial system—one that supplies liquidity to businesses and individuals and bridges the gap between savers and borrowers—an economy can’t function as efficiently and productively […]

US oil rig count is a leading indicator of US oil production and oil imports. Since 2008, a boom in US oil industry has negatively impacted demand for tankers (see Tankers will likely underperform dry bulk ships in 2013)— vessels that transport oil across ocean. Higher US oil production, due to application of technologies called […]