Dahlman Rose: Genco's 4Q11 Better than Forecast

In a research report published earlier today by Dahlman Rose, Genco Shipping & Trading

reported 4Q11 EPS ahead of Street expectations. Dahlman Rose commented in the report, “GNK's fleet-wide TCE earnings averaged $17,005/day, just shy of our $17,208/day forecast. EBITDA of $57.3MM was little changed from 3Q11's $57.9MM, though we expect it will drop significantly in the coming quarters due to much softer spot rates. We forecast EBITDA at $19.7MM in 1Q and at $107.7MM for the full-year (FY2011 EBITDA was $249.0MM). Management has maintained a more short-term approach to chartering its ships in order to capitalize on potential future upswings in the spot market. We estimate its spot exposure at 80% of its fleet operating days for 2012.” Dahlman Rose maintains its Hold rating on Genco, which closed yesterday at $8.35.