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Mar 26 2020

Cmre financial #Cmre #financial



Cmre financial


Very undervalued with reasonable growth potential. “>

Costamare Inc. owns and charters containerships to liner companies worldwide. The last earnings update was 47 days ago. More info.

CMRE Share Price and Events
7 Day Returns close price of last trading day (2019/04/22).” target=”_blank”>
1 Year Returns
CMRE Shareholder Return
1 Year Return vs Industry and Market
  • CMRE underperformed the Shipping industry which returned -9% over the past year.
  • CMRE underperformed the Market in United States of America which returned 7% over the past year.
Price Volatility
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CMRE Value

INTRINSIC VALUE BASED ON FUTURE CASH FLOWS

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Costamare.

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Discounted Cash Flow Calculation for NYSE:CMRE using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Costamare is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Current Discount Checks
  • Costamare’s share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Costamare’s share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET

We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

Price based on past earnings

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Costamare.

= NYSE:CMRE Share Price ÷ EPS (both in USD)

  • Costamare is good value based on earnings compared to the US Shipping industry average.
  • Costamare is good value based on earnings compared to the United States of America market.
Price based on expected Growth

*Line of best fit is calculated by linear regression .

= PE Ratio ÷ Net Income Annual Growth Rate

  • Costamare is good value based on expected growth next year.
Price based on value of assets

= NYSE:CMRE Share Price ÷ Book Value per Share (both in USD)

* Primary Listing of Costamare.

  • Costamare is good value based on assets compared to the US Shipping industry average.
Value checks

We assess Costamare’s value by looking at:

  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation.)
  2. Is the PE ratio less than the market average, and/ or less than the Shipping industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Shipping industry average (and greater than 0)? (1 check) Costamare has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

CMRE Future Performance

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!

Earnings growth vs Low Risk Savings
  • Costamare’s earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Costamare’s earnings growth is expected to exceed the United States of America market average.
  • Costamare’s revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison

*Line of best fit is calculated by linear regression .

Analysts growth expectations

*GAAP earnings excluding extraordinary items.

High Growth Checks ” rel=”tooltip”>
  • Costamare’s earnings are expected to grow significantly at over 20% yearly.
  • Costamare’s revenue is expected to grow by 8.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share

All data from Costamare Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

*GAAP earnings excluding extraordinary items.

Performance in 3 years
  • Costamare is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Future performance checks

We assess Costamare’s future performance by looking at:

  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)

Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Costamare has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

CMRE Past Performance

Past earnings growth
Past Earnings growth analysis
  • Costamare’s year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Costamare’s 1-year earnings growth is negative, it can’t be compared to the 5-year average.
  • Costamare’s 1-year earnings growth is negative, it can’t be compared to the US Shipping industry average.
Earnings and Revenue History

All data from Costamare Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

*GAAP earnings excluding extraordinary items.

Performance last year
  • Costamare has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Costamare used its assets less efficiently than the US Shipping industry average last year based on Return on Assets.
  • Costamare’s use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks

We assess Costamare’s performance over the past 5 years by checking for:

  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Shipping industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)

The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Costamare has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

CMRE Health

A company’s financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities) .

The boxes below represent the relative size of what makes up Costamare’s finances.

The net worth of a company is the difference between its assets and liabilities.

  • Costamare’s short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Costamare’s long term commitments exceed its cash and other short term assets.
Balance sheet
Liabilities and shares
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.1x debt.
Historical Debt

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.

All data from Costamare Company Filings, last reported 3 months ago.

  • Costamare’s level of debt (121.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (299.5% vs 121.4% today).
  • Debt is not well covered by operating cash flow (8.5%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2x annual interest expense, ideally 3x coverage).
Financial health checks

We assess Costamare’s financial health by checking for:

  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Costamare has a total score of 1/6, see the detailed checks below.

For companies that are loss making and have been so on average in the past we replace the last 2 checks with:

  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)

CMRE Dividends

Annual Dividend Income
Dividend Amount
  • Costamare’s pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.39%).
  • Costamare’s dividend is above the markets top 25% of dividend payers in United States of America (3.62%).
Annualized Historical and Future Dividends

It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.

Note all dividend per share amounts are annualized and not quarterly or other period.

  • Costamare has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Costamare has only been paying a dividend for 8 years, and since then dividends per share have fallen.
Current Payout to shareholders
  • Dividends paid are not well covered by earnings (0.8x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.3x coverage).
Income/ dividend checks

We assess Costamare’s dividend by checking for:

  1. Firstly is the company paying a notable dividend (greater than 0.8%) – if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Costamare afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Costamare has a total score of 3/6, see the detailed checks below.

CMRE Management

Mr. Konstantinos Konstantakopoulos has been the Chairman and Chief Executive Officer of Costamare Partners GP LLC, the General Partner of Costamare Partners LP since August 04, 2014. Mr. Konstantakopoulos has been the Chairman and Chief Executive Officer of Costamare Inc. since April 2008. Mr. Konstantakopoulos serves as President and Chief Executive Officer of Costamare Shipping, which he joined in 1992 (and where he worked part-timebeforehand). In 2001, Mr. Konstantakopoulos founded CIEL and he has served as President of CIEL since its inception. In 2005, Mr. Konstantakopoulos founded Shanghai Costamare. He founded C-Man Maritime in 2006. Mr. Konstantakopoulos has served on the board of directors of the Union of Greek Ship-owners since 2006. Mr. Konstantakopoulos studied engineering at Université Paul Sabatier in France.

CEO Compensation
  • Insufficient data for Konstantinos to compare compensation growth.
  • Insufficient data for Konstantinos to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team

Konstantinos Konstantakopoulos

Chairman & CEO

Gregory Zikos

CFO & Director

Anastassios Gabrielides

General Counsel & Secretary
Board of Directors

Konstantinos Konstantakopoulos

Chairman & CEO

Gregory Zikos

CFO & Director

Charlotte Stratos

Independent Director

Konstantinos Zacharatos

Vagn Møller

Independent Director
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Management checks

We assess Costamare’s management by checking for:

  1. Is the CEO’s compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO’s compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check) Costamare has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.

Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Simply Wall St News

If You Had Bought Costamare (NYSE:CMRE) Stock Five Years Ago, You’d Be Sitting On A 74% Loss, Today

One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … During the five years over which the share price declined, Costamare’s earnings per share (EPS) dropped by 25% each year. … In this case, the EPS change is really very close to the share price drop of 23% a year.

Simply Wall St – 1 week ago – Full article

An Examination Of Costamare Inc. (NYSE:CMRE)

Looking at the company as a whole, as a potential stock investment, I believe CMRE has a lot to offer. … is a company with … In the following section, I expand a bit more on these key aspects.

Simply Wall St – 3 weeks ago – Full article

How Financially Strong Is Costamare Inc. (NYSE:CMRE)?

While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is. … We’ll look at some basic checks that can form a snapshot the company’s financial strength.

Simply Wall St – 1 month ago – Full article

How Much Of Costamare Inc. (NYSE:CMRE) Do Insiders Own?

So it’s nice to see some insider ownership, because it may suggest that management is owner-oriented. … Costamare is not a large company by global standards. … Let’s take a closer look to see what the different types of shareholder can tell us about CMRE

Simply Wall St – 2 months ago – Full article

Is There Now An Opportunity In Costamare Inc. (NYSE:CMRE)?

(NYSE:CMRE), which is in the shipping business, and is based in Monaco,. … saw a decent share price growth in the teens level on the NYSE over the last few months. … With many analysts covering the stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price?

Simply Wall St – 2 months ago – Full article

What You Must Know About Costamare Inc.’s (NYSE:CMRE) Beta Value

Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … A stock with a beta greater than one is more sensitive to broader market movements than a stock with a beta of less than one.

Simply Wall St – 3 months ago – Full article

Don’t Sell Costamare Inc. (NYSE:CMRE) Before You Read This

To keep it practical, we’ll show how Costamare Inc.’s (NYSE:CMRE) P/E ratio could help you assess the value on offer. … Costamare has a price to earnings ratio of 22.09, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St – 3 months ago – Full article

Understanding Your Return On Investment In Costamare Inc (NYSE:CMRE)

You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Therefore, looking at how efficiently Costamare is able to use capital to create earnings will help us understand your potential return. … Investors use many different metrics but the analysis below focuses on return on capital employed (ROCE).

Simply Wall St – 4 months ago – Full article

Costamare Inc (NYSE:CMRE): Time For A Financial Health Check

While small-cap stocks, such as Costamare Inc (NYSE:CMRE) with its market cap of US$604m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Evaluating financial health as part of your investment thesis is. … Here are few basic financial health checks you should consider before taking the plunge.

Simply Wall St – 5 months ago – Full article

Does Costamare Inc (NYSE:CMRE) Fall With The Market?

If you’re interested in Costamare Inc (NYSE:CMRE), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Beta is a widely used metric to measure a stock’s exposure to market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St – 7 months ago – Full article

CMRE Company Info

Description

Costamare Inc. owns and charters containerships to liner companies worldwide. As of February 27, 2019, it had a fleet of 78 containerships with a total capacity of approximately 548,000 twenty foot equivalent unit (TEU), including 73 vessels in the water, aggregating approximately 484,000 TEU; and 5 new build vessels of 64,000 TEU. The company was founded in 1974 and is based in Monaco.

Number of employees
Current staff
Company Analysis and Financial Data Status

All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Related Companies

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Copyright © 2019, Standard & Poor’s Financial Services LLC. Reproduction of S&P Capital IQ in any form is prohibited except with the prior written permission of S&P. S&P does not guarantee the accuracy, adequacy, completeness or availability of any information and is not responsible for any errors or omissions, regardless of the cause or for the results obtained from the use of such information. S&P DISCLAIMS ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall S&P be liable for any direct, indirect, special or consequential damages, costs, expenses, legal fees, or losses (including lost income or lost profit and opportunity costs) in connection with subscriber’s or others’ use of S&P Capital IQ. (2019)


SOURCE: http://simplywall.st/stocks/us/transportation/nyse-cmre/costamare

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