Tsakos Energy Navigation Ltd

For the week ending July 27, oil prices rose 2%. Oil prices were supported by EIA’s (U.S. Energy Information Administration) weekly report.

According to Weber’s report, the Suezmax rates on the West Africa-UK route fell from $7,184 to $6,451 per day on July 20–27.

In week 30, the week ending July 27, the BDTI rose to 759 from 723. The BDTI has risen ~8.4% in 2018.

China released its June PMI on July 1. In June, China’s manufacturing PMI was 51.5. The PMI fell 0.4% from the previous month.

China (FXI) released its key economic data for June—import and export data, auto sales data, and the manufacturing index.

On July 12–19, bunker fuel’s average price fell to $478.5 per ton from $504 per ton. The bunker fuel prices at Rotterdam fell to $416 per ton.

According to Weber’s weekly report, the VLCC (very large crude carrier) demand was stronger in week 29, which led to a rebound in VLCC rates.

The BDTI can be used to assess the crude tanker industry. In week 29 (week ending July 20), the BDTI fell from 744 to 723.

Between July and July 12, bunker fuel’s average price fell to $504 from $505.25 per ton.

According to Charles R. Weber’s weekly report, VLCC (very large crude carrier) demand across all key global markets was muted last week, softening rates.

The consensus 12-month target price for Tsakos Energy Navigation is $5.05, which implies a potential upside of 44.7% from its market price on July 12.

In week 26, which ended on June 29, none of the analysts revised their recommendations or target prices for crude tanker companies.

In week 26, which ended on June 29, the BDTI fell from 754 to 712. In week 25, the index dropped by one point.

Previously, we discussed analysts’ recommendations for crude tanker stocks. Let’s now compare analysts’ revenue and EBITDA estimates for these companies in Q2 2018.

Previously, we compared five crude tanker companies’ Q1 2018 revenue. In this article, we’ll look at their Q1 2018 EBITDA.

In this article, we’ll compare five crude tanker companies’ Q1 2018 revenue.

The VLCC fixture tally in the Middle East market was 28 in week 25—a weekly gain of one. In the West Africa market, the VLCC fixture tally was seven.

In dollar terms, China’s (FXI) exports rose 12.6% YoY (year-over-year) while its imports rose 26% in May.

China, which has the second-largest economy in the world, also has a significant impact on the crude oil tanker industry.

On June 15, Evercore reduced the target price for Tsakos Energy Navigation to $5 from $6 and maintained an “outperform” rating.

Wall Street analysts expect net revenue of $100.8 million for Tsakos Energy Navigation (TNP) in the first quarter.

Tsakos Energy Navigation (TNP) is expected to release its first-quarter results on June 15. The stock has fallen 5.6% YTD as of May 30.

According to Reuters, the consensus rating for Tsakos Energy Navigation is two, which means a “buy.”

For Teekay Tankers, one analyst recommended a “strong buy,” two recommended a “buy,” four recommended a “hold,” and one recommended a “sell.”

On May 24, the average bunker fuel price was $512.25 per ton compared to $509.25 per ton on May 17.

Most of the crude tanker stocks rose in week 21. Euronav and DHT Holdings were the best performers in the sector.

On May 29, DNB Market raised the target price for Frontline to 60 Norwegian kroner from 40 Norwegian kroner.

In week 20, the VLCC rates for the route from the Arabian Gulf to China rose to $8,526 per day on May 18 from $7,360 per day on May 11.

China, which has the second-largest economy in the world, has a significant impact on the crude tanker industry.

In week 19, average VLCC (very large crude carrier) rates dropped from the previous week and are again below $10,000.

According to Weber’s weekly report, VLCC (very large crude carrier) rates lacked a clear direction in week 17 with positive and negative pressure.

Euronav (EURN) and Gener8 Maritime Partners’ (GNRT) merger should close towards the end of 2Q18—subject to Gener8 shareholders’ vote.

On April 20, JPMorgan Chase upgraded Navios Maritime Midstream Partners (NAP) by two notches to “overweight” from “underweight.”

According to Weber’s weekly report, VLCC demand was slower than expected last week.

VLCC rates for the route from the Arabian Gulf to China fell to $14,531 per day on April 6, 2018, from $15,949 per day on March 29.

DHT Holdings has the best YTD return as of April 5, 2018, among its peers. Analysts’ consensus rating for DHT Holdings (DHT) is 2.25.

Tsakos Energy Navigation’s (TNP) YTD returns were -12.8% as of April 5, 2018. Tsakos Energy Navigation is the fifth-best performer among its peers YTD.

On March 23, 2018, JPMorgan Chase reduced Tsakos Energy Navigation’s (TNP) target price to $5 from $5.5.

On March 22, 2018, the average bunker fuel price was $423 per ton—compared to $413 per ton on March 15.

On March 22, 2018, President Trump announced the imposition of up to $60.0 billion on China’s imports. China plans $3 billion in retaliatory tariffs.

In week 11, the week ending March 16, 2018, none of the analysts revised their recommendations or target prices for crude tanker companies.

On March 15, 2018, the average bunker fuel price was $413 per ton—compared to $411 per ton on March 8.

In the Middle East market, 21 VLCC fixtures were recorded in week 11—the week ending March 16, 2018.

In February 2018, China’s manufacturing PMI (purchasing managers’ index) was 50.3.

Suezmax rates on the route from West Africa to the United Kingdom dropped from $13,860 per day on March 2 to $10,553 per day on March 9, 2018.

In week 10, the week ending March 9, 2018, one analyst revised Tsakos Energy Navigation’s (TNP) target price.

On March 8, 2018, the average bunker fuel price was $411 per ton—compared to $409.5 per ton on March 1.

Of the 13 analysts covering Tsakos Energy Navigation, two of them have recommended a “strong buy,” while six have recommended a “buy.”

Analysts’ EBITDA estimate for 4Q17 is $55.3 million, which would mean a 17.2% rise from $47 million in the previous quarter.

Wall Street analysts expect Tsakos Energy Navigation’s (TNP) net revenue to be $107 million in 4Q17.

In week 9 of 2018, one analyst revised Frontline’s (FRO) target price. On March 1, Evercore reduced Frontline’s target price to $3.5 from $4.

The average Aframax rates rose to $12,929 per day on March 2—compared to $9,837 per day on February 23.

In week 8, the week ending February 23, 2018, one analyst revised the target price for Frontline (FRO).

The China Association of Automobile Manufacturers predicts 3% auto sales growth in 2018—the same as the growth rate in 2017.

In January 2018, China’s manufacturing PMI (purchasing managers’ index) was 51.3. The PMI fell from 51.6 in December.

China released its trade data for January. In dollar terms, China’s exports rose 11.1% YoY (year-over-year), while its imports rose 36.9%.

In week 7 of 2018, which ended on February 16, the BDTI rose to 649 from 642. In week 6, the index fell by 16 points.

Navios Maritime Midstream Partners’ (NAP) 4Q17 revenue of $22.7 million fell $0.1 million from the $22.8 million revenue recorded in 4Q16.

VLCC rates for the route from the Arabian Gulf to China dropped from $10,925 per day on January 26 to $8,274 per day on February 2.

Euronav had a liquidity of $754 million at the end of the fourth quarter. Euronav has been working to strengthen its liquidity position.

Euronav’s vessel operating expenses fell to ~$33.9 million in 4Q17—compared to ~$37.3 million in 4Q16 and $37.9 million in 3Q17.

According to Weber’s weekly report, VLCC fundamentals weakened considerably in last week. Souring fundamentals pushed the rates down.

Analysts expect revenues of $21.18 million for Navios Maritime Midstream Partners in 4Q17—compared to $20.7 million in the previous quarter.

According to the Weber weekly report, VLCC (very large crude carriers) rates moved broadly higher on the back of narrowing availability of vessels in the Middle East market.

The average target price for Euronav is $9.9—compared to its current market price of $8.95. It implies a potential upside of 10.6%.

Since analysts estimate a rise in Euronav’s revenue compared to 3Q17, they also expect the EBITDA to rise.

Wall Street analysts expect revenues of $118.9 million for Euronav (EURN) in 4Q17—compared to $104.8 million in the previous quarter.

In December 2017, China’s auto sales rose 0.1% YoY (year-over-year) to 3.1 million. China’s automobile sales have been rebounding since June.

In December 2017, China’s manufacturing PMI (purchasing managers’ index) was 51.6. The PMI fell from 51.8 in October.

In December, China’s crude oil imports were 33.7 million tons—down from 37.04 million tons in the previous month.

China (FXI) released key economic data for December 2017—import and export data, auto sales data, and the manufacturing index.

According to the Gibson report, Suezmax rates on the West Africa to United Kingdom route fell to $6,500 per day on January 11, 2018.

According to Weber’s report for week 1 of 2018, VLCC rates continued to sour due to the rising level of surplus availability in the Middle East market.

None of the analysts revised their recommendations or target prices for crude (DBO) tanker companies in week 51 (week ending December 22, 2017).

Analysts’ consensus target price is $9.5 as of December 19. NAP is trading at $9.21, which implies a 3.1% return in the next 12 months at the current price.

Euronav was the best performing stock in 2017 among its peers. Analysts’ consensus rating for Euronav (EURN) is 2.17, which means a “buy.”

Gener8 Maritime Partners (GNRT) YTD (year-to-date) returns were -0.89% as of December 18, 2017. It was the second-best performer among its peers in 2017.

Euronav’s (EURN) YTD (year-to-date) returns were 3.7% as of December 18, 2017. It was the best performer among its peers in 2017.

It hasn’t been a good year for the crude tanker industry. Tanker rates experienced a steep fall this year. VLCC rates have fallen almost 70% year-to-date.

In November 2017, China’s manufacturing PMI (purchasing managers’ index) was 51.8. The PMI rose from 51.6 in October.

In November, China’s crude imports rose to the second-highest level on record. In November, China’s crude oil imports were 37.04 million tons.

China (FXI) released key economic data for November 2017—import and export data, auto sales data, and the manufacturing index.

In week 49, which ended on December 8, one analyst revised its target price for Frontline. Deutsche Bank raised Frontline’s target price to $5 from $3.

Tsakos Energy Navigation’s (TNP) operating cash flow for 3Q17 was $28.6 million—compared to $58.4 million in the previous quarter.

Currently, Tsakos Energy Navigation has 51 vessels on a time charter contract out of its 65 vessels. The current time charter tenure is 2.5 years.

Nordic American Tankers (NAT) announced on December 1, 2017, that it has secured financing for three of its newbuilds under construction.

On November 24, 2017, Euronav (EURN) sold its VLCC (very large crude carrier) Artois. It was 298,330 DWT (deadweight tonnage) and wholly owned by Euronav.

Frontline had 61 vessels in its fleet on September 30. The 61 vessels include 22 VLCCs, 18 Suezmax tankers, 20 LR2/Aframax tankers, and one MR vessel.

Of the 11 analysts covering Tsakos Energy Navigation, two analysts gave it a “strong buy,” six gave it a “buy,” and three gave it a “hold.”

Tsakos Energy Navigation stock reached a 52-week low of $4.06 on November 16, 2017. The company’s stock has fallen 9.6% as of September 27, 2017.

In October 2017, China’s automobile sales rose 2% YoY (year-over-year) to 2.7 million. China’s automobile sales have been rebounding since June.

In October 2017, China’s manufacturing PMI was 51.6, which was higher than Reuters’ forecast of 52. The PMI fell from 52.4 in September.

In October, China’s crude imports fell to the lowest level in the last 13 months. In October, China’s crude oil imports were 31.03 million tons.

According to Drewry’s shipping analyst, China’s stocking activity will fall to 0.25 Mbpd in 2018 from an average of 0.75 Mbpd in 2017.

According to Weber’s week 46 report, VLCC rates largely remained range bound. In week 46, 16 VLCC fixtures were recorded in the Middle East market.

Teekay Tankers’ (TNK) central cash costs include voyage expenses and vessel operating expenses.

In its third quarter conference call, Teekay Tankers (TNK) gave insights on the tanker market, how it fared in the third quarter, and the outlook for the coming quarters.

In week 45, which ended on November 10, 2017, the BDTI fell to 803 from 843. In week 44, it fell by 71 points.

Nordic American Tankers (NAT) reported revenues of $23.6 million—10.8% lower than Reuters’ estimate. Its EBITDA was 168% lower than the estimate.

In 3Q17, Euronav repaid all its outstanding debt and associated liabilities, which amounted to $30.2 million on FSO (floating storage and offloading) joint ventures.