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Global Ship Lease Inc (GSL)
NYSE:GSL
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Global Ship Lease (GSL) AI Stock Analysis

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GSL

Global Ship Lease

(NYSE:GSL)

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Outperform 81 (OpenAI - 4o)
Rating:81Outperform
Price Target:
$38.00
▲(17.57% Upside)
Global Ship Lease's strong financial performance and positive earnings call are the most significant factors contributing to its high score. The company's robust profitability, improved leverage, and strategic positioning in the market are commendable. While technical indicators show bullish momentum, caution is advised due to overbought signals. The low P/E ratio and high dividend yield further enhance the stock's attractiveness.

Global Ship Lease (GSL) vs. SPDR S&P 500 ETF (SPY)

Global Ship Lease Business Overview & Revenue Model

Company DescriptionGlobal Ship Lease, Inc. owns and charters containerships of various sizes under fixed-rate charters to container shipping companies. As of March 10, 2022, it owned 65 mid-sized and smaller containerships with an aggregate capacity of 342,348 twenty-foot equivalent units. The company was founded in 2007 and is based in London, the United Kingdom.
How the Company Makes MoneyGlobal Ship Lease generates revenue primarily through long-term charters of its containership fleet to various shipping companies. The company earns money by leasing its vessels, which are often chartered on multi-year contracts, providing predictable and stable cash flows. Key revenue streams include fixed monthly charter rates and additional revenue from service agreements related to vessel management. The company benefits from strategic partnerships with leading shipping lines, which enhance its market presence and allow for consistent utilization of its fleet. Additionally, the demand for container shipping, driven by global trade growth and e-commerce, serves as a significant factor contributing to GSL's earnings.

Global Ship Lease Earnings Call Summary

Earnings Call Date:Aug 05, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 05, 2025
Earnings Call Sentiment Positive
The earnings call presented a positive outlook for Global Ship Lease with strong charter coverage, increased dividends, and solid financial health. Despite facing market volatility and limited new building opportunities, the company has outperformed the market and maintained strong operational metrics.
Q2-2025 Updates
Positive Updates
Strong Charter Coverage
Secured nearly $400 million of additional charter coverage in the first half of the year, closing out 2025 market exposure and bringing 2026 coverage to 80%.
Dividend Increase
Increased annualized dividend payment to $2.10 per common share, providing an attractive total return to shareholders.
Record Forward Contracted Revenue
$1.73 billion in forward contracted revenues with an average remaining contract cover of 2.1 years.
Financial Health
Gross debt decreased from a year ago, strong cash position of $511 million, and successful $85 million refinancing achieved.
Outperformance in Market
Outperformed peer group and the S&P 500 by approximately 4x this year.
Negative Updates
Market Volatility and Uncertainty
Continued uncertainty and volatility related to tariffs, trade disruptions, and geopolitical tensions impacting the global container shipping industry.
Limited New Building Opportunities
Challenges in making risk and return numbers work for new building acquisitions, indicating limited opportunities in this space.
Minimal Scrapping Activity
Very low scrapping activity despite high asset prices, with only 6,800 TEU of capacity scrapped in the first half of the year.
Company Guidance
During the Global Ship Lease Q2 2025 Earnings Conference Call, the company highlighted several key metrics and guidance. They secured nearly $400 million in additional charter coverage in the first half of the year, effectively closing out any 2025 market exposure and bringing 2026 coverage to 80%. Forward contracted revenues stood at $1.73 billion as of June 30, with an average remaining contract cover of 2.1 years. The company reported a strong cash position of $511 million, with $80 million restricted, ensuring full coverage of covenants and providing capital for opportunistic investments. Additionally, they completed an $85 million refinancing, extending their weighted average debt maturity to 4.9 years and reducing the weighted average cost of debt to 4.18%. The company also increased its annualized dividend to $2.10 per common share, providing attractive total returns to shareholders. Furthermore, Global Ship Lease's net debt-to-EBITDA ratio was reduced to 0.7x, showcasing their commitment to deleveraging and building equity value. Despite market volatility, the company remains confident in its strategic positioning, focusing on optionality, disciplined fleet renewal, and capital returns.

Global Ship Lease Financial Statement Overview

Summary
Global Ship Lease demonstrates strong financial health with robust profitability and improved leverage. The company has managed to grow its revenue and maintain high margins, which is commendable in the marine shipping industry. While cash flow generation is solid, the company should focus on sustaining free cash flow growth to support long-term investments and reduce potential risks associated with high leverage.
Income Statement
85
Very Positive
Global Ship Lease shows strong profitability with a high net profit margin of 53.73% in TTM, supported by consistent revenue growth. The gross profit margin remains robust, indicating effective cost management. EBIT and EBITDA margins are also healthy, reflecting operational efficiency. However, the revenue growth rate has slowed compared to previous years, which could be a concern if the trend continues.
Balance Sheet
78
Positive
The company has improved its debt-to-equity ratio to 0.49 in TTM, indicating better leverage management compared to previous years. Return on equity is strong at 26.79%, showcasing effective use of equity capital. The equity ratio is stable, reflecting a balanced capital structure. However, the industry remains capital-intensive, and any increase in debt could pose risks.
Cash Flow
72
Positive
Operating cash flow is strong, with a healthy ratio to net income, indicating good cash generation from operations. Free cash flow growth has rebounded positively in TTM, although the free cash flow to net income ratio is moderate at 0.29. The company needs to maintain this positive trend to ensure liquidity and fund future growth.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue733.60M705.53M666.72M604.49M402.52M282.81M
Gross Profit401.05M390.75M372.19M334.59M197.56M121.85M
EBITDA547.75M494.30M441.50M449.47M302.34M153.40M
Net Income392.54M353.63M304.50M292.93M171.50M41.56M
Balance Sheet
Total Assets2.64B2.37B2.17B2.11B1.99B1.27B
Cash, Cash Equivalents and Short-Term Investments464.59M167.53M209.44M128.68M75.18M80.76M
Total Debt761.52M684.06M812.43M934.39M1.07B769.46M
Total Liabilities1.00B909.76M987.39M1.14B1.28B809.45M
Stockholders Equity1.64B1.46B1.18B966.49M712.55M464.74M
Cash Flow
Free Cash Flow141.97M187.65M222.53M318.25M-226.91M57.98M
Operating Cash Flow445.92M430.15M375.01M351.94M263.95M104.43M
Investing Cash Flow-212.47M-254.64M-151.98M-34.34M-474.35M-39.59M
Financing Cash Flow-34.84M-208.59M-212.24M-243.31M321.68M-120.21M

Global Ship Lease Technical Analysis

Technical Analysis Sentiment
Positive
Last Price32.32
Price Trends
50DMA
29.82
Positive
100DMA
27.25
Positive
200DMA
24.03
Positive
Market Momentum
MACD
0.79
Positive
RSI
62.05
Neutral
STOCH
53.17
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GSL, the sentiment is Positive. The current price of 32.32 is above the 20-day moving average (MA) of 31.40, above the 50-day MA of 29.82, and above the 200-day MA of 24.03, indicating a bullish trend. The MACD of 0.79 indicates Positive momentum. The RSI at 62.05 is Neutral, neither overbought nor oversold. The STOCH value of 53.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GSL.

Global Ship Lease Risk Analysis

Global Ship Lease disclosed 75 risk factors in its most recent earnings report. Global Ship Lease reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Global Ship Lease Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
83
Outperform
1.47B5.1712.73%3.71%-7.24%-16.39%
81
Outperform
$1.14B2.9626.40%6.03%4.43%17.82%
79
Outperform
1.37B4.7211.82%0.41%-0.47%-22.23%
74
Outperform
2.19B18.1112.28%3.99%2.95%-61.74%
67
Neutral
801.62M53.481.73%5.19%-17.15%2.40%
58
Neutral
210.70M13.962.52%2.15%-4.90%21.09%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GSL
Global Ship Lease
32.32
8.60
36.26%
CMRE
Costamare
12.40
1.35
12.22%
DAC
Danaos
92.66
10.59
12.90%
NMM
Navios Maritime Partners
48.37
-14.51
-23.08%
SFL
SFL Corporation
7.90
-2.25
-22.17%
SBLK
Star Bulk Carriers
19.79
-1.94
-8.93%

Global Ship Lease Corporate Events

Global Ship Lease Declares Quarterly Dividend for Series B Preferred Shares
Sep 12, 2025

On September 10, 2025, Global Ship Lease announced a quarterly cash dividend of $0.546875 per depositary share for its 8.75% Series B Cumulative Redeemable Perpetual Preferred Shares. This dividend covers the period from July 1, 2025, to September 30, 2025, and will be paid on October 1, 2025, to shareholders of record as of September 24, 2025. This announcement underscores the company’s commitment to providing returns to its investors and may positively impact its market positioning by reinforcing investor confidence.

Global Ship Lease Releases Mid-Year Financial Analysis Amid Global Challenges
Aug 6, 2025

On August 6, 2025, Global Ship Lease, Inc. released its management’s discussion and analysis of financial condition and results of operations for the six months ended June 30, 2025. The report highlights various risks and uncertainties facing the company, including geopolitical tensions, potential disruptions in shipping routes, and financial market conditions. These factors could significantly impact the company’s operations and its ability to secure profitable employment for its vessels, affecting stakeholders’ interests.

Global Ship Lease Reports Strong Q2 2025 Financial Results Amid Volatile Market
Aug 6, 2025

Global Ship Lease, Inc. reported its financial results for the second quarter and first half of 2025, showing significant growth in revenue and net income compared to the previous year. The company achieved a 9.7% increase in operating revenue for the second quarter and an 8.0% increase for the first half, with net income rising by 8.8% and 22.3% respectively. The company has secured substantial forward contract cover, ensuring 96% coverage for 2025 and 80% for 2026, and has added $397 million in contracted revenues during the first half of 2025. Despite a volatile macroeconomic environment, Global Ship Lease remains committed to returning capital to shareholders and maintaining financial resilience, supported by a strong credit rating and a low cost of debt.

Global Ship Lease’s Credit Ratings Affirmed by Leading Agencies
Jul 10, 2025

On July 8, 2025, Global Ship Lease announced that its credit ratings and outlooks have been affirmed by Moody’s, S&P, and KBRA, highlighting the company’s strong cash flow, low leverage strategy, and revenue stability through multi-year charters. The affirmation reflects the company’s resilience during industry disruptions, strong earnings, and strategic focus on mid-sized and smaller containerships, which are less exposed to fleet growth. This recognition underscores Global Ship Lease’s ongoing success in strengthening its balance sheet and generating consistent cash flows, offering flexibility in a volatile industry.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 19, 2025