CMB.TECH (NYSE:CMBT) Issues Quarterly Earnings Results

CMB.TECH (NYSE:CMBT) posted its earnings results on Thursday. The company reported $1.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.88 by $0.38, Zacks reports. The firm had revenue of $703.94 million during the quarter, compared to analysts’ expectations of $574.37 million. CMB.TECH had a return on equity of 31.18% and a net margin of 37.19%.

Here are the key takeaways from CMB.TECH’s conference call:

• Q2 net profit reached $364.4 million and EBITDA was $552 million, supported by revenue above $700 million and $127 million in gains from vessel sales.
• Cmb.Tech intends to distribute $0.64 per share and indicated that a roughly 50% payout of net profit, including vessel-sale gains, remains a useful target, although the policy remains discretionary.
• CapEx commitments have declined to less than $1 billion, with only $119 million currently unfunded, while the company plans to repay its September bond maturity from cash rather than refinance it.
• Management remains optimistic on dry bulk, citing growing iron ore, bauxite, coal and grain demand, an aging fleet, and potential additional Capesize ton-mile demand from African exports such as Simandou.
• Tanker markets are currently exceptionally strong, but management is increasingly cautious because VLCC and Suezmax orderbooks exceed 30% of fleet and could lead to substantial oversupply in 2027–2028; a normalization of Middle East trading could also reduce freight demand.

CMB.TECH Price Performance

NYSE:CMBT opened at $18.34 on Friday. CMB.TECH has a 12-month low of $8.34 and a 12-month high of $18.85. The firm has a market capitalization of $3.66 billion, a price-to-earnings ratio of 6.30 and a beta of 0.12. The stock’s 50 day moving average price is $15.99 and its two-hundred day moving average price is $14.63. The company has a quick ratio of 0.85, a current ratio of 0.95 and a debt-to-equity ratio of 1.59.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Goldman Sachs Group Inc. lifted its stake in shares of CMB.TECH by 17.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 248,014 shares of the company’s stock worth $2,252,000 after buying an additional 37,356 shares during the last quarter. JPMorgan Chase & Co. grew its position in CMB.TECH by 3,978.5% during the second quarter. JPMorgan Chase & Co. now owns 30,752 shares of the company’s stock worth $277,000 after buying an additional 29,998 shares in the last quarter. Legal & General Group Plc increased its stake in CMB.TECH by 221.3% during the 2nd quarter. Legal & General Group Plc now owns 6,529 shares of the company’s stock worth $59,000 after acquiring an additional 4,497 shares during the period. Raymond James Financial Inc. acquired a new position in CMB.TECH in the 2nd quarter valued at $27,000. Finally, Orion Porfolio Solutions LLC acquired a new position in CMB.TECH in the 2nd quarter valued at $98,000.

Analysts Set New Price Targets

Several analysts have issued reports on the company. Wall Street Zen raised CMB.TECH from a “hold” rating to a “buy” rating in a research note on Saturday, May 30th. Weiss Ratings reiterated a “hold (c+)” rating on shares of CMB.TECH in a report on Tuesday. Two investment analysts have rated the stock with a Strong Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat, CMB.TECH currently has a consensus rating of “Buy”.

CMB.TECH Company Profile

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.