It’s hard to understand markets prudence in giving a better valuation to Great Eastern. Management doesn’t give guidance coz it’s hard to predict the spot market but the valuation is as per the assumption that shipping cycle has topped out . Whereas the cycle has already lasted two financial years , PAT growth in FY-23 was 4x YoY but the share price didn’t rise proprtionalely. OS and LPG segments are doing exceedingly good and dry bulk is getting better.
The stock has downside protection as it is undervalued today if in case there is 40% EPS degrowth at constant price than P/E only increases to 9 which is in line with the entire industry infact cheaper than SCI. NAV / share and P/B remain favorable in a down cycle. I am losing in my mind as to why there is no buying interest.
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