Economic Slowdown Contributes To NOL's Downgrade

Tuesday, July 10, 2001
GK Goh Securities has downgraded Neptune Orient Lines (NOL), the world's sixth largest container shipper, to hold from buy due to the economic slowdown that is expected to hurt capacity levels and dent earnings.

"The expected pick-up in summer shipping activity does not appear to be coming through," an analyst said in a recent report.

"Capacity utilization is now under pressure, reversing a two-year trend of container trade growth outpacing capacity expansion."

Although NOL remained undervalued compared with its peers, analysts said high utilization - a major factor driving its profits - was expected to come off as liners cut rates to fill ships.

Earnings per share were projected at $.07 for fiscal year 2001 and $.05 for 2002, down 58 percent and 70 percent respectively.

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Seaspan Takes Delivery of New Containership

Seaspan Corporation (SSW) has accepted delivery of a 14000 TEU containership, the YM Wellhead.    The new containership, which was constructed at Hyundai Heavy Industries Co.

'Make in India’ - the Newbuzzword in Indian Shipping Sector

The Prime Minister Narendra Modi's  'Make in India’ initiative offers a plethora of opportunities in the maritime sector, particularly in shipbuilding, with the

Baltic Index Perks up on Increased Rates for Bigger Vessels

The Baltic Exchange's main sea freight index, which tracks rates for ships carrying dry bulk commodities, edged higher on Thursday as rates for bigger vessels rose.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Naval Architecture Offshore Oil Pipelines Pod Propulsion Port Authority Salvage Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1339 sec (7 req/sec)