In a report released on May 21, Tate Sullivan from Maxim Group maintained a Buy rating on Heidmar Maritime Holdings Corp. (HMR – Research Report), with a price target of $7.00.
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Tate Sullivan’s rating is based on several factors, including the anticipated increase in demand for Heidmar Maritime Holdings Corp.’s shipping pools due to changes in U.S. tariff policies. Despite the company’s 2H24 results falling short of expectations, Sullivan expects that the threat of higher U.S. tariffs will lead to changes in international trading patterns, thereby boosting demand for Heidmar’s asset-light global shipping services. These services, which include dry bulk and tanker contract pools, are seen as a way to diversify risk for shipowners.
Additionally, Heidmar’s financial position, with $20.0 million in cash and $6.6 million in debt as of the end of 2024, is expected to improve as the company uses free cash flow to reduce debt and increase cash reserves. The stock is trading at 7.1 times the 2025 EBITDA forecast, and Sullivan maintains a Buy rating with a price target of $7.00, representing 13.5 times the 2026 EBITDA estimate. The expected volatility in shipping rates and the entry of more newbuilds into the market are also seen as opportunities for Heidmar to expand its service business and capitalize on global contracting trends.
Sullivan covers the Industrials sector, focusing on stocks such as Euroseas, BWX Technologies, and NeoVolta. According to TipRanks, Sullivan has an average return of -11.4% and a 35.48% success rate on recommended stocks.