tiprankstipranks
Pacific Basin Shipping Limited (PCFBY)
OTHER OTC:PCFBY
US Market
Want to see PCFBY full AI Analyst Report?

Pacific Basin Shipping (PCFBY) AI Stock Analysis

20 Followers

Top Page

PCFBY

Pacific Basin Shipping

(OTC:PCFBY)

Select Model
Select Model
Select Model
Outperform 71 (OpenAI - 5.2)
Rating:71Outperform
Price Target:
$9.50
â–²(12.83% Upside)
Action:Upgraded
Date:08/07/26
Overall score is driven primarily by solid financial stability (notably low and improving leverage plus continued positive cash generation) and a strongly positive earnings update with robust liquidity and shareholder returns. Technicals are supportive with price above key moving averages and positive momentum indicators. The main constraint is valuation, with a high P/E that reduces the overall attractiveness despite a moderate dividend yield.
Positive Factors
Conservative Balance Sheet
Very low leverage and a sizable equity base provide durable financial flexibility for a cyclical shipping business. This allows Pacific Basin to absorb freight-rate downturns, fund staged newbuilding payments, repay loans, and prioritize dividends or buybacks without forcing distress asset sales.
Negative Factors
Post-cycle Revenue & Margin Compression
Revenue and margin normalization from prior peak levels reduces earnings resilience and the margin buffer against cost shocks. If freight rates stay subdued, persistently thin margins limit free cash flow upside, constrain reinvestment and can pressure shareholder distributions over multiple quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative Balance Sheet
Very low leverage and a sizable equity base provide durable financial flexibility for a cyclical shipping business. This allows Pacific Basin to absorb freight-rate downturns, fund staged newbuilding payments, repay loans, and prioritize dividends or buybacks without forcing distress asset sales.
Read all positive factors

Pacific Basin Shipping (PCFBY) vs. SPDR S&P 500 ETF (SPY)

Pacific Basin Shipping Business Overview & Revenue Model

Company Description
Pacific Basin Shipping Limited functions as an investment holding group with a primary focus on worldwide dry bulk cargo transportation. Beyond its core shipping activities, the company offers a comprehensive range of maritime services, encompassi...
How the Company Makes Money
Pacific Basin primarily makes money by providing ocean freight transportation for dry bulk cargoes and earning shipping revenue based on freight rates and vessel utilization. Its core revenue streams generally come from (1) operating its owned ves...

Pacific Basin Shipping Earnings Call Summary

Earnings Call Date:Aug 06, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Feb 25, 2027
Earnings Call Sentiment Positive
The call presents a strongly positive operational and financial performance: substantial year-on-year profit growth (>300% net profit increase), robust liquidity, consistent commercial outperformance (TCE gains and outperformance vs spot), disciplined capital allocation and active shareholder returns. The company also highlighted growth optionality through newbuilds and purchase options and maintained cost discipline. Key negative factors discussed include ongoing geopolitical volatility (Arabian Gulf/Strait of Hormuz), weather and logistical risks (El Nino, Panama Canal drafts), increased charter costs, elevated asset prices and industry fleet growth that could pressure rates if disruptions subside. On balance, the favorable earnings, cash generation, balance sheet strength and consistent outperformance outweigh the risks described.
Positive Updates
Strong Profitability and Margin Expansion
EBITDA of USD 197.8 million, underlying profit of USD 94.9 million and net profit of USD 105 million (net profit up >300% year-on-year), reflecting strong market conditions and commercial outperformance.
Negative Updates
Geopolitical Volatility and Market Disruption
Ongoing conflict in the Arabian Gulf and intermittent closure of the Strait of Hormuz created market volatility, bunker price swings and rerouting; minor bulk volumes declined ~6% in H1 while disruptions altered trade flows (tonne-mile only down ~1%).
Read all updates
Q2-2026 Updates
Negative
Strong Profitability and Margin Expansion
EBITDA of USD 197.8 million, underlying profit of USD 94.9 million and net profit of USD 105 million (net profit up >300% year-on-year), reflecting strong market conditions and commercial outperformance.
Read all positive updates
Company Guidance
Management reiterated a positive, resilient outlook while flagging key metrics: H1 EBITDA of USD197.8m, underlying profit USD94.9m and net profit USD105m; net cash USD157.2m, operating cash flow USD143.5m and available committed liquidity ~USD674m (cash-in-hand USD207m + undrawn facilities USD467m); H1 revenue USD1.1bn (+9% YoY) and TCE earnings >USD660m (+20% YoY). They announced an interim dividend HKD0.155/share (USD102.2m), repurchased ~9.5m shares (USD3.5m) and will return ~USD106m (103% of net profit). Fleet total 254 vessels (107 owned, 13 LT chartered, 134 ST chartered), 10 newbuilds on order (+2 DF options = 12) with delivery 2028–H1 2029, plus purchase options on 13 LT‑chartered vessels (declarable 2026–2031). Operationally, Handysize TCEs were USD14,150/day (+29% YoY) vs spot USD12,200 (+40% YoY), Supramax TCEs USD16,550/day (+35%) vs spot USD14,180 (+62%), outperformance of USD1,950/day (16%) and USD2,370/day (17%); Q3 cover ~78% Handysize at USD15,810/day and ~82% Supramax at USD18,680/day. They expect markets to remain supported but noted risks from geopolitics, fleet deliveries and weather, and emphasized disciplined capital allocation, fleet renewal, fuel transition and digital/AI to sustain outperformance.

Pacific Basin Shipping Financial Statement Overview

Summary
Financials reflect a cyclical normalization: profitability and revenue momentum weakened in the most recent year (2025 revenue down ~10% vs. 2024; modest 2025 gross margin ~3.6% and net margin ~2.8%). Offsetting this, the balance sheet is a clear strength with conservative and improving leverage (debt-to-equity down to ~0.13 in 2025) and cash flow remains positive with operating cash flow and free cash flow still positive despite trending down.
Income Statement
62
Positive
Balance Sheet
78
Positive
Cash Flow
66
Positive
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.08B2.58B2.30B3.28B2.97B
Gross Profit75.83M135.24M130.95M732.08M739.34M
EBITDA259.67M357.43M349.99M924.66M1.03B
Net Income58.17M131.70M109.38M701.86M844.81M
Balance Sheet
Total Assets2.28B2.41B2.43B2.65B2.75B
Cash, Cash Equivalents and Short-Term Investments270.57M282.04M261.40M443.82M459.67M
Total Debt230.43M344.36M366.25M471.90M648.59M
Total Liabilities453.46M587.39M634.53M741.33M914.21M
Stockholders Equity1.83B1.83B1.80B1.91B1.83B
Cash Flow
Free Cash Flow147.87M180.93M101.33M850.60M625.94M
Operating Cash Flow264.27M309.33M353.40M935.32M850.42M
Investing Cash Flow-54.43M-87.40M-61.17M63.18M-334.00M
Financing Cash Flow-230.25M-214.40M-389.73M-949.13M-433.03M

Pacific Basin Shipping Technical Analysis

Technical Analysis Sentiment
Positive
Last Price8.42
Price Trends
50DMA
7.92
Positive
100DMA
7.88
Positive
200DMA
7.48
Positive
Market Momentum
MACD
0.38
Negative
RSI
79.09
Negative
STOCH
100.65
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCFBY, the sentiment is Positive. The current price of 8.42 is above the 20-day moving average (MA) of 8.42, above the 50-day MA of 7.92, and above the 200-day MA of 7.48, indicating a bullish trend. The MACD of 0.38 indicates Negative momentum. The RSI at 79.09 is Negative, neither overbought nor oversold. The STOCH value of 100.65 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PCFBY.

Pacific Basin Shipping 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
$2.56B4.6713.97%2.57%2.45%21.62%
82
Outperform
$2.26B6.6410.71%0.27%5.87%8.14%
81
Outperform
$1.52B4.0321.99%5.50%5.55%-3.50%
71
Outperform
$2.45B18.742.51%2.31%-6.50%38.96%
65
Neutral
$1.77B5.4915.97%2.99%-52.60%11.51%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
54
Neutral
$3.24B30.742.48%7.99%-29.06%-95.84%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PCFBY
Pacific Basin Shipping
10.01
4.32
76.01%
CMRE
Costamare
14.43
4.13
40.11%
DAC
Danaos
138.32
47.35
52.06%
GSL
Global Ship Lease
41.88
13.74
48.83%
NMM
Navios Maritime Partners
78.80
35.37
81.44%
ZIM
ZIM
25.21
8.32
49.24%
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: Aug 07, 2026