Nordic American Tanker (NAT) AI Stock Analysis

• Market Cap: $796.18M
• Dividend Yield: 7.18%
• Average Volume (3M): 2.64M
• Price to Earnings (P/E): 58.9
• Beta (1Y): 0.66
• Revenue Growth: -12.89%
• EPS Growth: -78.39%
• Country: US
• Employees: 15
• Sector: Energy
• Sector Strength: 52
• Industry: Marine Shipping
• EPS (TTM): -0.01
• Shares Outstanding: 211,750,660
• 10 Day Avg. Volume: 3,064,686
• 30 Day Avg. Volume: 2,636,043
• PEG Ratio: -0.21
• Price to Book (P/B): 1.03
• Price to Sales (P/S): 2.32
• P/FCF Ratio: 4.17
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $3.00
• Price Target Upside: -20.21% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: $3.50 ▼(-6.91% Downside)

Nordic American Tanker's overall stock score is primarily influenced by its challenging financial performance, characterized by declining revenues and cash flow issues. While technical analysis shows positive momentum, the high P/E ratio suggests potential overvaluation. The attractive dividend yield provides some balance, offering income potential to investors.

Positive Factors

Dividend Consistency

Consistent dividend payments over decades indicate strong cash flow management and commitment to returning value to shareholders, enhancing investor confidence.

Fleet Positioning

Strategic fleet positioning in a market with limited new capacity supports long-term operational efficiency and potential revenue growth as demand for oil transport increases.

Management Commitment

Significant insider buying by the CEO demonstrates strong confidence in the company's future prospects and aligns management interests with shareholders.

Negative Factors

Revenue Decline

A significant decline in revenue growth indicates challenges in maintaining market share and could impact long-term profitability if not addressed.

Cash Flow Challenges

Severe cash flow challenges can hinder operational flexibility and limit the company's ability to invest in growth opportunities, impacting long-term stability.

Increased Leverage

Higher leverage increases financial risk and could strain resources if market conditions worsen, affecting the company's ability to service debt.

Nordic American Tanker Business Overview & Revenue Model

Company Description

Nordic American Tankers Limited, a tanker company, acquires and charters double-hull tankers in Bermuda and internationally. It operates a fleet of 24 Suezmax crude oil tankers. The company was formerly known as Nordic American Tanker Shipping Limited and changed its name to Nordic American Tankers Limited in June 2011. The company was incorporated in 1995 and is based in Hamilton, Bermuda.

How the Company Makes Money

NAT generates revenue primarily through the chartering of its fleet to oil companies and traders, who pay for the transportation of crude oil across international waters. The company's revenue model is largely based on time charters and spot charters, where it earns fees based on the duration of the lease or the prevailing market rates for oil transport. Key revenue streams include long-term contracts with established oil producers and opportunistic spot market transactions, which can vary significantly based on market conditions and demand for oil shipping. The company's earnings are influenced by fluctuations in oil prices, shipping rates, and operational efficiency, as well as its ability to maintain a well-managed fleet and capitalize on favorable market trends.

Nordic American Tanker Financial Statement Overview

Summary

Nordic American Tanker is facing a challenging financial environment with declining revenues and increased leverage. Despite positive operational margins, significant cash flow challenges and increased debt levels pose risks to financial stability.

Income Statement

Nordic American Tanker has shown a significant decline in revenue growth, with a TTM revenue decrease of 24.62%. Margins have also contracted, with the TTM gross profit margin at 38.94% and net profit margin at 7.58%, both lower than the previous year. Despite these challenges, the company maintains a positive EBIT margin of 25.58% and EBITDA margin of 33.44%, indicating operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has increased to 0.91 in the TTM, indicating higher leverage compared to the previous year. However, the equity ratio remains stable, and the return on equity is positive at 2.67%. The balance sheet reflects a cautious approach to managing debt, but the increased leverage could pose risks if not managed carefully.

Cash Flow

Nordic American Tanker faces challenges in cash flow management, with a significant decline in free cash flow growth by 197.57% in the TTM. The operating cash flow to net income ratio is 0.85, suggesting that cash flow from operations is not fully covering net income. The negative free cash flow to net income ratio indicates potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	176.52M	225.10M	391.69M	339.34M	195.76M	354.62M
Gross Profit	68.74M	162.29M	150.78M	54.97M	-68.53M	98.81M
EBITDA	87.44M	133.46M	179.29M	89.00M	-79.53M	149.25M
Net Income	13.38M	46.64M	98.71M	15.10M	-119.48M	50.03M
Balance Sheet
Total Assets	957.39M	817.59M	879.20M	880.74M	903.06M	974.35M
Cash, Cash Equivalents and Short-Term Investments	94.49M	39.18M	31.08M	59.58M	34.74M	57.85M
Total Debt	442.30M	269.70M	301.60M	306.04M	320.96M	356.71M
Total Liabilities	472.35M	308.77M	340.89M	340.75M	352.93M	375.22M
Stockholders Equity	485.05M	508.81M	538.30M	539.98M	550.13M	599.13M
Cash Flow
Free Cash Flow	-81.42M	125.54M	65.78M	-71.28M	-62.19M	92.87M
Operating Cash Flow	54.79M	128.16M	139.44M	24.13M	-44.46M	110.94M
Investing Cash Flow	-89.46M	-2.62M	-73.67M	-14.34M	-3.46M	-17.48M
Financing Cash Flow	80.56M	-115.05M	-95.67M	9.01M	30.51M	-93.08M

Nordic American Tanker Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.76
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NAT, the sentiment is Positive. The current price of 3.76 is above the 20-day moving average (MA) of 3.70, above the 50-day MA of 3.49, and above the 200-day MA of 2.81, indicating a bullish trend. The MACD of 0.09 indicates Positive momentum. The RSI at 57.54 is Neutral, neither overbought nor oversold. The STOCH value of 54.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NAT.

Nordic American Tanker Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ECO	78 Outperform	kr1.06B	15.97	―	4.67%	-12.47%	-34.41%
SB	71 Outperform	$549.46M	14.74	5.58%	4.07%	-13.74%	-59.37%
ASC	70 Outperform	$500.49M	15.82	5.28%	2.44%	-26.81%	-78.30%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
NAT	63 Neutral	$796.18M	58.93	2.65%	7.18%	-12.89%	-78.39%
GNK	61 Neutral	$707.54M	47.21	-0.78%	3.98%	-24.58%	-110.22%
SFL	58 Neutral	$1.08B	―	-0.15%	12.24%	-11.10%	-101.57%

Nordic American Tanker Corporate Events

Nordic American Tankers Announces AGM Date for November 2025

Nordic American Tankers Limited announced on September 29, 2025, that its Annual General Meeting of Shareholders is scheduled for November 21, 2025. The record date for determining shareholders entitled to vote at the meeting was set for September 12, 2025. This announcement is significant for stakeholders as it outlines the timeline for shareholder engagement and decision-making processes, which are crucial for the company’s governance and future strategic directions.

Nordic American Tankers Reports Q2 2025 Results and Dividend Increase

On August 28, 2025, Nordic American Tankers announced its financial results for the second quarter of 2025, reporting a net loss of $0.9 million due to reduced trading days from scheduled dry docks and fleet adjustments. Despite these challenges, NAT increased its dividend to $0.10 per share, marking its 112th consecutive quarterly dividend. The company remains optimistic about future growth, citing strong demand for oil and favorable market conditions, particularly in emerging economies. NAT’s fleet consists of 20 Suezmax tankers, and the company is strategically positioned to benefit from limited new shipbuilding capacity and geopolitical developments that may increase oil volumes available for transport.