Diana Shipping (DSX, Financial) successfully conducted its Annual Meeting of Shareholders on May 28, using an online-only format. Broadridge Financial Solutions supervised the proceedings. During the meeting, important proposals were passed as outlined in the company's Proxy Statement, distributed to shareholders in late April.
Key outcomes included the election of three Class II Directors, who will serve until the Annual Meeting in 2028. Additionally, Deloitte Certified Public Accountants were confirmed as the company's independent auditors for the fiscal year concluding on December 31. The shareholders also approved an amendment to the company's Articles of Incorporation, permitting the Board of Directors to execute one or more reverse stock splits of the company's common shares, with the total ratio not exceeding 1-for-100. The exact ratio will be determined by the Board at their discretion.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 3 analysts, the average target price for Diana Shipping Inc (DSX, Financial) is $2.30 with a high estimate of $2.80 and a low estimate of $1.50. The average target implies an upside of 58.62% from the current price of $1.45. More detailed estimate data can be found on the Diana Shipping Inc (DSX) Forecast page.
Based on the consensus recommendation from 2 brokerage firms, Diana Shipping Inc's (DSX, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Diana Shipping Inc (DSX, Financial) in one year is $1.95, suggesting a upside of 34.48% from the current price of $1.45. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Diana Shipping Inc (DSX) Summary page.
DSX Key Business Developments
Release Date: May 29, 2025
- Time Charter Revenues: $54.9 million for Q1 2025, a decrease of 5% from $57.6 million in Q1 2024.
- Adjusted EBITDA: $23.3 million for Q1 2025, down 6% from $24.9 million in Q1 2024.
- Net Income: Increased to $3 million in Q1 2025 from $2.1 million in Q1 2024.
- Earnings Per Share (Diluted): $0.01 for Q1 2025, unchanged from Q1 2024.
- Cash Reserves: $187.7 million as of March 31, 2025, down from $207.2 million as of December 31, 2024.
- Long-term Debt: $623.9 million as of March 31, 2025, a decrease from $637.5 million as of December 31, 2024.
- Fleet Utilization: 99.6% for Q1 2025, up from 99.1% in Q1 2024.
- Time Charter Equivalent Rate: $15,739 per day for Q1 2025, up 5% from $15,051 per day in Q1 2024.
- Daily Operating Expenses: Increased to $5,866 per day in Q1 2025 from $5,735 per day in Q1 2024.
- Quarterly Cash Dividend: $0.01 per common share, totaling approximately $1.2 million.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Diana Shipping Inc (DSX, Financial) achieved a fleet utilization rate of 99.6% for the first quarter of 2025, demonstrating effective vessel management.
- The company has secured $86.8 million of contracted revenues for 66% of the remaining ownership days of 2025, providing revenue visibility.
- Diana Shipping Inc (DSX) declared a quarterly cash dividend of $0.01 per common share, continuing its commitment to shareholder returns.
- The company has a strong cash reserve of $187.7 million, supporting its financial stability.
- Diana Shipping Inc (DSX) has a disciplined chartering strategy focusing on staggered medium- to long-term charters, ensuring earnings visibility and resilience against market downturns.
Negative Points
- Time charter revenues for the first quarter decreased by about 5% compared to the same quarter last year, indicating a decline in revenue generation.
- The dry bulk market has been uninspiring with significant volatility, impacting overall market sentiment.
- The company's cash decreased from $207.2 million at the end of 2024 to $187.7 million as of March 31, 2025, due to share repurchases.
- Global seaborne dry bulk trade is expected to drop by 1% this year, presenting challenges for market demand.
- Diana Shipping Inc (DSX) faces headwinds from geopolitical and economic uncertainties, including tariffs and trade restrictions, affecting market conditions.
