CMB.TECH (NYSE:CMBT) Issues Earnings Results, Beats Expectations By $0.38 EPS

CMB.TECH (NYSE:CMBT) announced its quarterly earnings results on Thursday. The company reported $1.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.88 by $0.38, Zacks reports. CMB.TECH had a return on equity of 18.25% and a net margin of 24.94%.The firm had revenue of $703.94 million during the quarter, compared to the consensus estimate of $574.37 million.

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 Stock Performance

NYSE:CMBT opened at $18.30 on Friday. The company has a debt-to-equity ratio of 1.59, a current ratio of 0.95 and a quick ratio of 0.85. The firm has a 50-day moving average of $15.91 and a two-hundred day moving average of $14.61. The stock has a market cap of $3.65 billion, a P/E ratio of 10.83 and a beta of 0.12. CMB.TECH has a 1-year low of $7.99 and a 1-year high of $18.52.

Wall Street Analysts Forecast Growth

CMBT has been the subject of a number of recent research reports. Weiss Ratings reiterated a “hold (c+)” rating on shares of CMB.TECH in a research note on Tuesday. Wall Street Zen raised CMB.TECH from a “hold” rating to a “buy” rating in a research report on Saturday, May 30th. Two research analysts have rated the stock with a Strong Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Buy”.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of CMBT. Summit Financial LLC acquired a new stake in CMB.TECH during the 4th quarter valued at approximately $482,000. Engineers Gate Manager LP purchased a new stake in CMB.TECH during the 4th quarter worth approximately $482,000. JPMorgan Chase & Co. raised its position in shares of CMB.TECH by 41.3% in the 3rd quarter. JPMorgan Chase & Co. now owns 43,449 shares of the company’s stock valued at $408,000 after purchasing an additional 12,697 shares in the last quarter. Squarepoint Ops LLC acquired a new position in shares of CMB.TECH in the 3rd quarter valued at approximately $312,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in shares of CMB.TECH by 328.4% during the 3rd quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 24,793 shares of the company’s stock valued at $233,000 after buying an additional 19,005 shares during the last quarter.

About CMB.TECH

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.