UPDATE: Citigroup Reduces PT to $2.50 on Genco Shipping & Trading on Weak Fundamentals

Citigroup reiterates its Sell rating on Genco Shipping & Trading

and reduced its price target from $4 to $2.50. Citigroup commented, "We are lowering our 2Q12 EPS estimate to a loss of $0.94, from a loss of $0.75, our 2012 estimate to a loss of $3.90, from a loss of $3.15, and for 2013 our estimate moves to a loss of $2.58, from a loss of $2.50. We are lowering our estimates further given continued weakness in spot rates and timecharter markets as dry bulk over capacity remains pronounced and demand in certain commodities are showing signs of softening. That said, we continue to model a modest improvement in rates throughout the year, particularly as the orderbook has fallen to 24% of the total fleet (down from 36% in January) and scrapping remains strong." Genco Shipping & Trading closed at $ on Tuesday.