J.P. Morgan Downgrades Nordic American Tanker Shipping To Underweight (NAT)
January 21, 2011 12:06 PM
J.P. Morgan downgraded its rating of Nordic American Tanker Shipping (NYSE: NAT) to Underweight from Neutral in a research report published today.
In the report, J.P. Morgan states, "NAT has been often viewed as a relatively safe haven in the tanker world owing to its low (often complete lack of) financial leverage. However, with its final time-charter contract expiring and 100% of its fleet set to be exposed to an extremely soft Suezmax spot market, EPS and dividend comparisons are likely to be very unfavorable through the first half of this year, which could further pressure a stock that is currently trading near industry-high multiples on most valuation metrics."
Shares of Nordic American Tanker Shipping are currently trading at $24.40, down 4.84% from Thursday's market close.
