Seanergy Maritime (SHIP) AI Stock Analysis

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Seanergy Maritime

(NASDAQ:SHIP)

Rating:74Outperform

Price Target:

$7.00

▲(9.03%Upside)

Seanergy Maritime demonstrates robust financial performance and attractive valuation, suggesting it is well-positioned for future growth. Despite recent challenges in earnings and market conditions, strategic initiatives and a positive outlook for the Capesize market enhance its long-term prospects. However, low free cash flow and market volatility remain concerns.

Positive Factors

Financial Performance

SHIP reported 1Q25 results above expectations, with adjusted EBITDA significantly exceeding consensus.

Future Growth

SHIP anticipates continued generation of free cash flow and has access to debt to acquire more ships and refinance maturing debt.

Market Demand

Resilient demand from China for dry bulk and an increase in the Baltic Capesize Index positively influence shipping rates.

Negative Factors

Demand Decline

Lower demand from China for dry bulk imports such as coal and iron has pressured shipping rates.

Dividend Reduction

The quarterly dividend was reduced by 50%, leading to a lower expected annualized yield.

Market Challenges

Daily rates for Capesize dry bulk ships have dropped significantly due to lower demand from China.

Seanergy Maritime (SHIP) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$134.19M

Dividend Yield9.89%

Average Volume (3M)97.56K

Price to Earnings (P/E)5.1

Beta (1Y)1.04

Revenue Growth17.53%

EPS Growth58.04%

CountryUS

Employees93

SectorIndustrials

Sector Strength91

IndustryMarine Shipping

Share Statistics

EPS (TTM)-0.27

Shares Outstanding20,902,365

10 Day Avg. Volume131,958

30 Day Avg. Volume97,556

Financial Highlights & Ratios

PEG Ratio-0.27

Price to Book (P/B)0.44

Price to Sales (P/S)0.00

P/FCF Ratio14.19

Enterprise Value/Market Cap2.63

Enterprise Value/Revenue0.58

Enterprise Value/Gross Profit3.69

Enterprise Value/Ebitda1.26

Forecast

1Y Price Target

$10.13

Price Target Upside57.79% Upside

Rating ConsensusModerate Buy

Number of Analyst Covering2

Seanergy Maritime Business Overview & Revenue Model

Company DescriptionSeanergy Maritime Holdings Corp. (NASDAQ: SHIP) is a Greece-based shipping company primarily engaged in the seaborne transportation of dry bulk commodities. The company operates a fleet of Capesize vessels, which are among the largest dry bulk carriers, and transports commodities such as coal, iron ore, and grain. Seanergy Maritime is focused on providing reliable and efficient maritime logistics services, primarily serving charterers and leading industrial players worldwide.

How the Company Makes MoneySeanergy Maritime generates revenue primarily through time charter agreements and spot market voyages. The company leases its vessels to customers, who charter them for a set period under time charter agreements, providing a stable and predictable income stream. Additionally, Seanergy participates in the spot market, where vessels are hired for single voyages based on prevailing market rates, allowing the company to capitalize on favorable shipping market conditions. The company's revenue is also influenced by global demand for dry bulk commodities, shipping rates, and fleet utilization rates. Strategic partnerships and long-term contracts with major charterers play a significant role in sustaining its revenue model.

Seanergy Maritime Earnings Call Summary

Earnings Call Date:May 27, 2025

(Q1-2025)

% Change Since: 6.64%|

Next Earnings Date:Aug 06, 2025

Earnings Call Sentiment Neutral

The earnings call presented a mixed sentiment. Seanergy Maritime highlighted strategic fleet expansions, successful refinancing, and improved operational efficiency, reflecting a positive outlook and long-term confidence in the Capesize market. However, the company faced challenges with a net loss, revenue decline, and temporary market corrections in the first quarter. Despite these challenges, the overall tone suggested optimism for future profitability and market recovery.

Q1-2025 Updates

Positive Updates

Strategic Fleet Expansion

Seanergy took delivery of two high-quality Japanese-built Capesize vessels, the Blue Ship and the May Ship, both employed under favorable contracts, aligning with the company's focus on modern, fuel-efficient tonnage.

Successful Refinancing Transactions

Completed transactions totaling $88.1 million to refinance existing debt and fund new acquisitions, removing all debt maturities for the next four quarters and improving financial flexibility.

Improved Operational Efficiency

Achieved a 7% reduction in daily operating expenses year-over-year, enhancing operational efficiency and financial resilience.

Positive Market Outlook

Capesize daily charter rates rebounded from $6,000 to $23,000 within the quarter, with long-term fundamentals supported by constrained vessel supply and resilient demand.

Strategic Hedging and Coverage

About 39% of Q2 operating days hedged at $22,700, and one-third of available days throughout the year secured at rates exceeding $22,000, ensuring profitable cash flows.

Negative Updates

Net Loss in Q1 2025

Recorded a net loss of $6.8 million in the first quarter, attributed to a softer earnings environment and temporary market corrections.

Decline in Revenue and TCE

Revenue decreased to $24.2 million from $38.3 million year-over-year, and Time Charter Equivalent (TCE) fell to $13,400 per day from $24,100.

Challenges in Capesize Market

Temporary correction in the Capesize market due to severe weather disruptions in Australia and high coal inventories, affecting charter rates.

Company Guidance

In the first quarter of 2025, Seanergy Maritime Holdings Corp. reported a revenue of $24.2 million, EBITDA of $6.6 million, and a net loss of $6.8 million, alongside a cash balance of $31 million. Despite a softer earnings environment, the company declared a dividend of $0.05 per common share, reflecting their commitment to shareholder returns. The company maintained a daily time charter equivalent (TCE) of $13,400, outperforming the Baltic Capesize Index by approximately 3%. Looking ahead, Seanergy provided guidance for Q2 with an expected TCE of about $19,100, supported by forward freight agreement (FFA) hedging, while 39% of Q2 operating days are hedged at an average rate of approximately $22,700. Additionally, Seanergy completed $88.1 million in refinancing transactions, reducing debt maturities for the next four quarters and positioning the company for capital returns and market opportunities. The strategic acquisition of two Japanese-built vessels, financed through a mix of cash and bank financing, aligns with their focus on modern, fuel-efficient tonnage. Seanergy is optimistic about long-term Capesize market fundamentals, driven by constrained vessel supply growth and steady demand for dry bulk commodities.

Seanergy Maritime Financial Statement Overview

Summary

Seanergy Maritime has shown commendable financial performance with strong revenue growth and profitability improvements. The income statement reflects a significant increase in revenue and net profit margin. The balance sheet indicates a stable financial position, though the company must monitor its debt levels. While operating cash flows are strong, the low free cash flow indicates a need for effective capital management strategies.

Income Statement

Positive

Seanergy Maritime has demonstrated strong revenue growth with a significant increase from $110.2M in 2023 to $167.5M in 2024, reflecting a 51.9% growth rate. The gross profit margin stands at 69.9%, and the net profit margin has improved to 25.9%. Additionally, the EBIT and EBITDA margins are solid at 37.4% and 55.2%, respectively. The company has shown impressive recovery and profitability over recent years, though it still needs to maintain this upward trajectory to cushion against market volatility.

Balance Sheet

Positive

The balance sheet indicates a reasonable debt-to-equity ratio of 0.98, reflecting a balanced approach to leveraging debt. The return on equity (ROE) is robust at 16.6%, showcasing efficient use of equity capital. Equity ratio stands at 48.0%, suggesting a stable financial structure with a solid buffer against liabilities. However, the company should remain cautious of increasing debt levels to avoid potential risks.

Cash Flow

Positive

Operating cash flow has improved significantly, reaching $75.3M in 2024, but free cash flow remains low at $927K. The operating cash flow to net income ratio is strong at 1.73, indicating good cash generation from operations. However, the free cash flow to net income ratio is weak at 0.02, highlighting potential challenges in cash retention after capital expenditures. Continuous focus on enhancing free cash flow is essential for long-term sustainability.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
167.46M	110.23M	125.02M	153.11M	63.34M
	Gross Profit
117.18M	40.45M	48.88M	80.36M	7.39M
	EBIT
62.57M	21.35M	9.50M	47.96M	-268.00K
	EBITDA
92.45M	45.22M	60.84M	79.07M	12.45M
	Net Income Common Stockholders
43.47M	2.28M	17.24M	41.35M	-28.84M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
34.92M	19.43M	32.48M	47.13M	23.65M
	Total Assets
545.85M	477.88M	513.60M	486.92M	295.25M
	Total Debt
257.87M	232.97M	314.68M	222.75M	184.28M
	Net Debt
236.00M	213.54M	282.20M	175.62M	160.63M
	Total Liabilities
283.67M	249.43M	291.90M	242.44M	199.55M
	Stockholders Equity
262.18M	228.44M	221.70M	244.48M	95.69M
Cash Flow		Free Cash Flow
927.00K	30.83M	-33.16M	-116.56M	-30.00M
	Operating Cash Flow
75.28M	31.32M	37.29M	80.76M	-9.73M
	Investing Cash Flow
-79.37M	17.75M	-56.26M	-184.62M	-21.86M
	Financing Cash Flow
14.08M	-56.62M	5.83M	127.44M	39.10M

Seanergy Maritime Technical Analysis

Technical Analysis Sentiment

Positive

Last Price6.42

Price Trends

50DMA

5.87

Positive

100DMA

6.39

Positive

200DMA

7.65

Negative

Market Momentum

MACD

0.16

Negative

RSI

62.79

Neutral

STOCH

67.27

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SHIP, the sentiment is Positive. The current price of 6.42 is above the 20-day moving average (MA) of 6.22, above the 50-day MA of 5.87, and below the 200-day MA of 7.65, indicating a neutral trend. The MACD of 0.16 indicates Negative momentum. The RSI at 62.79 is Neutral, neither overbought nor oversold. The STOCH value of 67.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SHIP.

Seanergy Maritime Risk Analysis

Seanergy Maritime disclosed 60 risk factors in its most recent earnings report. Seanergy Maritime reported the most risks in the “Production” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Seanergy Maritime Peers Comparison

Overall Rating

UnderperformOutperform

Sector (66)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESEA	82 Outperform	$286.22M	2.52	35.83%	6.00%	12.43%	-1.63%
GASS	76 Outperform	$232.23M	3.36	10.95%	―	14.08%	28.84%
SHIP	74 Outperform	$134.19M	5.11	10.11%	9.89%	17.53%	58.04%
Sector *	66 Neutral	$4.51B	12.29	5.40%	248.53%	4.14%	-12.41%
CTRM	63 Neutral	$21.84M	2.50	3.07%	―	-45.58%	45.06%
DSX	59 Neutral	$179.45M	22.53	2.79%	10.97%	-8.74%	-70.04%
GLBS	48 Neutral	$24.08M	55.98	0.24%	―	11.74%	-91.84%

* Industrials Sector Average

Performance Comparison

SHIP

Seanergy Maritime

6.42

-4.73

-42.42%

DSX

Diana Shipping

1.53

-1.28

-45.55%

ESEA

Euroseas

41.19

11.53

38.87%

GLBS

Globus Maritime

1.16

-0.92

-44.23%

GASS

StealthGas

6.25

-2.07

-24.88%

CTRM

Castor Maritime

2.26

-2.35

-50.98%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.