Head-To-Head Comparison: Diana Shipping (NYSE:DSX) vs. Nippon Yusen Kabushiki Kaisha (OTCMKTS:NPNYY)

Diana Shipping (NYSE:DSX) and Nippon Yusen Kabushiki Kaisha (OTCMKTS:NPNYY) are both transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, valuation, risk and earnings.

Profitability

This table compares Diana Shipping and Nippon Yusen Kabushiki Kaisha’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Diana Shipping	9.36%	4.09%	1.76%
Nippon Yusen Kabushiki Kaisha	16.48%	13.49%	9.11%

Volatility & Risk

Diana Shipping has a beta of 0.82, suggesting that its share price is 18% less volatile than the S&P 500. Comparatively, Nippon Yusen Kabushiki Kaisha has a beta of 1.12, suggesting that its share price is 12% more volatile than the S&P 500.

Dividends

Diana Shipping pays an annual dividend of $0.04 per share and has a dividend yield of 2.4%. Nippon Yusen Kabushiki Kaisha pays an annual dividend of $0.44 per share and has a dividend yield of 6.6%. Diana Shipping pays out 66.7% of its earnings in the form of a dividend. Nippon Yusen Kabushiki Kaisha pays out 34.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Nippon Yusen Kabushiki Kaisha is clearly the better dividend stock, given its higher yield and lower payout ratio.

Insider & Institutional Ownership

48.7% of Diana Shipping shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Diana Shipping and Nippon Yusen Kabushiki Kaisha”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Diana Shipping	$224.19 million	0.87	$12.75 million	$0.06	28.00
Nippon Yusen Kabushiki Kaisha	$17.00 billion	0.85	$1.51 billion	$1.26	5.29

Nippon Yusen Kabushiki Kaisha has higher revenue and earnings than Diana Shipping. Nippon Yusen Kabushiki Kaisha is trading at a lower price-to-earnings ratio than Diana Shipping, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and target prices for Diana Shipping and Nippon Yusen Kabushiki Kaisha, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diana Shipping	1	0	0	0	1.00
Nippon Yusen Kabushiki Kaisha	0	1	0	0	2.00

Summary

Nippon Yusen Kabushiki Kaisha beats Diana Shipping on 10 of the 13 factors compared between the two stocks.

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.

About Nippon Yusen Kabushiki Kaisha

Nippon Yusen Kabushiki Kaisha provides various logistics services worldwide. It operates through Liner & Logistics Business, Bulk Shipping Business, and Other Business segments. The company offers liner trading services, such as container shipping, and terminal and stevedoring services for containerships, car carriers, and cruise ships; and air cargo transportation services. It also provides bulk shipping services comprising transport services for finished automobiles, heavy construction machines, and used cars; transportation services for bulk freight, including iron ore, coal, and wood chips; and transportation services for crude oil, petroleum products, chemicals, liquefied petroleum gas, liquefied natural gas, and coal. In addition, the company is involved in the upstream areas of the supply chain for oil and natural gas. Further, it operates Asuka II, a luxury cruise ship; and manages commercial and residential buildings. Nippon Yusen Kabushiki Kaisha was incorporated in 1885 and is headquartered in Tokyo, Japan.