Analyzing Diana Shipping (NYSE:DSX) and Euronav (NYSE:CMBT)

Euronav (NYSE:CMBT) and Diana Shipping (NYSE:DSX) are both transportation companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Euronav and Diana Shipping, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Euronav	0	0	0	0	N/A
Diana Shipping	0	1	0	0	2.00

Diana Shipping has a consensus price target of $3.00, suggesting a potential upside of 18.58%. Given Diana Shipping’s higher probable upside, analysts clearly believe Diana Shipping is more favorable than Euronav.

Institutional & Insider Ownership

48.7% of Diana Shipping shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Euronav and Diana Shipping”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Euronav	$1.04 billion	3.19	$858.03 million	N/A	N/A
Diana Shipping	$235.73 million	1.34	$49.84 million	$0.22	11.50

Euronav has higher revenue and earnings than Diana Shipping.

Profitability

This table compares Euronav and Diana Shipping’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Euronav	112.38%	22.35%	11.43%
Diana Shipping	6.81%	5.34%	2.26%

Dividends

Euronav pays an annual dividend of $0.75 per share and has a dividend yield of 4.6%. Diana Shipping pays an annual dividend of $0.30 per share and has a dividend yield of 11.9%. Diana Shipping pays out 136.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Volatility and Risk

Euronav has a beta of -0.08, indicating that its share price is 108% less volatile than the S&P 500. Comparatively, Diana Shipping has a beta of 1.15, indicating that its share price is 15% more volatile than the S&P 500.

Summary

Euronav beats Diana Shipping on 7 of the 12 factors compared between the two stocks.

About Euronav

Euronav NV, together with its subsidiaries, engages in the transportation and storage of crude oil worldwide. The company offers floating, storage, and offloading (FSO) services. It also owns and operates a fleet of vessels. The company was incorporated in 2003 and is headquartered in Antwerp, Belgium. As of March 15, 2024, Euronav NV operates as subsidiary of CMB NV.

About Diana Shipping

Diana Shipping Inc. provides shipping transportation services. The company transports a range of dry bulk cargoes, including commodities, such as iron ore, coal, grain, and other materials in shipping routes worldwide. As of March 1, 2024, it operated a fleet of 38 dry bulk vessels, including 4 Newcastlemax, 8 Capesize, 5 Post-Panamax, 6 Kamsarmax, 9 Ultramax, and 6 Panamax. The company was formerly known as Diana Shipping Investments Corp. and changed its name to Diana Shipping Inc. in February 2005. Diana Shipping Inc. was incorporated in 1999 and is based in Athens, Greece.