The BDI index is sharply higher this morning.
The rising day rates literally go straight to the bottom line. This is very bullish for a number of companies.
Here’s a look at the fleets of some of the more prominent dry bulk names.
Top picks: BALT, EGLE
Let it be noted, the only reason why I sold EGLE is due to fear of a secondary being announced. Unlike BALT, many of the dry bulk names NEED to raise capital to improve their balance sheets. In the long run, this is incredibly bullish for the industry. They need this respite to fix their financials. However, in the short run, companies with maturing debt and stretched debt/equity levels are dilution risks to shareholders.
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u da man, flea
it’s time to take off the white gloves and fight the good fight, sir.
Panama canal expansion will make the existing panamax fleets obsolete.
I have found the BDI is a LAGGING indicator. The stocks move way before the BDI moves. just an fyi,
Not when they are in the black