Penny stocks in the shipping industry may not appear to be the most exciting, however, they can return some of the biggest dividends to investors.
Costamare Inc. (NYSE:CMRE) is one of the world’s leading owners and providers of containerships for charter. It is not a young company either. With 44 years of expertise behind it and a fleet of 73 containers, Athens-based Costamare has analysts on the edge of their seats.
Penny Stocks in Shipping
This penny stock has literally been straddling the $5 USD price mark for almost a month now. Today, they are valued at $5.08 USD per share, but on Wednesday shares closed at $4.96. Monday was a similar story. However, back in August CMRE stock was trading hands for over $7.50 a share.
The current climate suggests the CMRE penny stock may not remain so penny for long, and investors may want to act before it’s too late. Analysts at Forbes consider the current period a ‘buy’ period with statements like:
“Profitability for this stock looks strong, with both the operating and EBIT margin outperforming the sector at 64.56 to 14.65 and 39.32 to 9.19 respectively.”
It seems this penny stock offers great value compared to competitors in the industrial sector. For the lower-price point at present, Costamare has been turning over impressive results.
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Earnings Results
Costamare posted its most recent earnings results last week on January 23rd. It reported $0.12 earnings per share for the quarter, beating the consensus estimate of $0.10. It also brought in $103.90 million USD in revenue, also beating analyst expectations of $97.39 million. This figure was a 6% increase on the same period last year.
Now, a number of equities research analysts have upgraded this penny stock from a hold rating to a buy rating. These include Zacks Investment Research and Morgan Stanley.
But what do you think? Is the CMRE penny stock a good investment opportunity? Do you think these shares will continue to straddle the $5 mark?
Featured Image: Costamare
