Danaos Co. (NYSE:DAC) Increases Dividend to $0.85 Per Share

Danaos Co. (NYSE:DAC) declared a quarterly dividend on Tuesday, November 12th,Wall Street Journal reports. Stockholders of record on Monday, November 25th will be paid a dividend of 0.85 per share by the shipping company on Wednesday, December 4th. This represents a $3.40 annualized dividend and a dividend yield of 3.95%. The ex-dividend date is Monday, November 25th. This is a positive change from Danaos’s previous quarterly dividend of $0.80.

Danaos has a payout ratio of 11.6% meaning its dividend is sufficiently covered by earnings. Analysts expect Danaos to earn $27.18 per share next year, which means the company should continue to be able to cover its $3.20 annual dividend with an expected future payout ratio of 11.8%.

Danaos Price Performance

Shares of DAC traded up $3.44 during mid-day trading on Wednesday, hitting $86.13. The company’s stock had a trading volume of 242,800 shares, compared to its average volume of 106,300. The firm has a 50-day moving average price of $82.71 and a 200 day moving average price of $85.13. The stock has a market capitalization of $1.67 billion, a price-to-earnings ratio of 2.98 and a beta of 1.47. The company has a debt-to-equity ratio of 0.17, a current ratio of 4.18 and a quick ratio of 4.04. Danaos has a fifty-two week low of $64.96 and a fifty-two week high of $98.25.

Danaos (NYSE:DAC) last announced its quarterly earnings data on Tuesday, November 12th. The shipping company reported $6.50 earnings per share (EPS) for the quarter, missing the consensus estimate of $6.86 by ($0.36). The business had revenue of $256.18 million during the quarter, compared to analyst estimates of $251.16 million. Danaos had a return on equity of 17.00% and a net margin of 56.16%. During the same period in the prior year, the firm earned $7.26 EPS. On average, research analysts predict that Danaos will post 28.01 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on DAC shares. StockNews.com downgraded shares of Danaos from a “buy” rating to a “hold” rating in a research report on Tuesday. Jefferies Financial Group reissued a “buy” rating and issued a $105.00 target price on shares of Danaos in a research report on Tuesday.

Danaos Company Profile

Danaos Corporation, together with its subsidiaries, provides container and drybulk vessels services in Australia, Asia, and Europe. The company offers seaborne transportation services by operating vessels in the containership and drybulk sectors of the shipping industry. As of April 03, 2024, it had a fleet of 68 containerships aggregating 421,293 twenty-foot equivalent units in capacity.