Pyxis Tankers Inc PXS shares more than doubled last Friday, closing at $4.10, up 103 percent from the previous session. The spike isn't supported by the fundamentals at Pyxis, according to Maxim Group.
The Analyst
Maxim Group analyst James Jang downgraded Pyxis Tankers from Buy to Hold, citing the stock's move above its $3 price target on unusual volumes without the backing of fundamentals.
The Thesis
Maxim Group has been unable to substantiate Pyxis' price movement using its source and channel checks, Jang said in a Monday note.
The product tanker sector has been steady since Maxim's Nov. 10 note on Pyxis, the analyst said.
Last week had some news flow in the sector, including Greenbriar's exit from its Ardmore Shipping Corp ASC investment and Scorpio Tankers Inc. STNG's $90 million offering. These two events, though not related to Pyxis, may have triggered interest in the sector and led to the unusual volume and sharp price movement in Pyxis shares, Jang said.
The Price Action
Pyxis stock, by virtue of last Friday's steep ascent, is up about 104 percent year-to-date. The stock rallied to an intraday high of $9.20 in the session, with roughly 14 million shares exchanging hands compared to the average volume of 266,136.
At the time of writing, Pyxis shares were rallying 37.56 percent to $5.64.
Related News:
UBS Expects A Scorpio Tankers Inflection Point In 2018
The Transportation Sector Just Had Its Best Day Of 2017
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
