(EDRY) EuroDry - Ratings and Ratios

EuroDry Ltd. (NASDAQ:EDRY) operates as a global provider of ocean-going drybulk transportation services, specializing in the movement of major and minor bulk cargoes. The companys fleet, as of March 31, 2024, comprises 13 drybulk carriers, including five Panamax, two Kamsarmax, five Ultramax, and one Supramax vessel, with a combined cargo capacity of 918,502 deadweight tons. This diversified fleet allows EuroDry to serve a wide range of cargo types, including iron ore, coal, grains, bauxite, phosphate, and fertilizers. Incorporated in 2018 and headquartered in Marousi, Greece, the company is strategically positioned to capitalize on global drybulk shipping demand.

From a technical standpoint, EDRYs average 20-day trading volume is 7,794 shares, with a last price of $11.18 as of the latest data. The stock is currently trading below its 20-day SMA of $10.78 but slightly above its 50-day SMA of $11.06, while significantly below its 200-day SMA of $17.47. This indicates potential short-term bearish momentum but long-term support. The ATR of 0.44 reflects relatively low volatility in recent trading activity.

Fundamentally, EuroDry has a market capitalization of $30.42 million, with a forward P/E ratio of 12.76, suggesting potential undervaluation relative to future earnings expectations. The P/B ratio of 0.32 indicates the stock is trading below its book value, while the P/S ratio of 0.50 reflects a low valuation relative to its revenue. However, the negative Return on Equity (RoE) of -5.85% highlights profitability challenges.

3-Month Forecast: Based on the intersection of technical and fundamental factors, EDRY is likely to experience sideways trading with potential volatility. The stocks undervaluation metrics, such as the forward P/E and P/B ratios, suggest upside potential, particularly if global drybulk demand stabilizes. However, the negative RoE and low P/S ratio may limit near-term upside. Technically, the stock may face resistance at the 50-day SMA ($11.06) and support at the 200-day SMA ($17.47). Expect moderate trading activity with a focus on macroeconomic trends in the drybulk shipping sector.