In this article, we will take a look at the five shipping stocks that pay dividends. If you want to read our analysis of the shipping industry, head over to 9 Best Shipping Stocks That Pay Dividends.
5. Golden Ocean Group Limited (NASDAQ:GOGL)
Number of Hedge Fund Holders: 15
Dividend Yield as of June 10, 2022: 14.58%
Golden Ocean Group Limited (NASDAQ:GOGL) is a dry bulk shipping vessel operator that is headquartered in Bermuda. The company owns some of the largest vessels in the world, belonging to the Ultramax category. It transports goods such as commodities and operates in the spot and charter markets.
Golden Ocean Group Limited (NASDAQ:GOGL) posted $265 million in revenue and $0.62 in GAAP EPS for its first quarter earnings, in a strong set of results that saw it beat analyst estimates for both the metrics. H.C. Wainwright increased the company’s share price target to $18 from $13 in May 2022, outlining that capesize freight rates will help the company.
As of June 10, 2022, Golden Ocean Group Limited (NASDAQ:GOGL) had a dividend yield of 14.58%, one of the highest on our list. 15 out of the 912 hedge funds part of Insider Monkey’s Q1 2022 survey had bought the company’s shares.
Golden Ocean Group Limited (NASDAQ:GOGL)’s largest investor is Jim Simons’s Renaissance Technologies which owns 3.6 million shares that are worth $45 million.
4. Scorpio Tankers Inc. (NYSE:STNG)
Number of Hedge Fund Holders: 18
Dividend Yield as of June 10, 2022: 1.07%
Scorpio Tankers Inc. (NYSE:STNG), as the name suggests, is a shipping company that transports petroleum products. The company is based in Monaco and it has hundreds of tankers in its portfolio.
BTIG raised Scorpio Tankers Inc. (NYSE:STNG)’s share price target to $42 from $31 in June 2022, outlining that the company’s cash flows are benefiting from the rate increases in product tankers. The company had a dividend yield of 1.07% as of June 2022.
As its fiscal Q1 came to an end, Scorpio Tankers Inc. (NYSE:STNG) had raked in $174 million in revenue and -$0.27 in non-GAAP EPS, beating analyst estimates for both metrics. By the end of this year’s first quarter, 18 out of 912 hedge funds profiled by Insider Monkey had invested in the firm’s shares.
Jeremy Hosking’s Hosking Partners is Scorpio Tankers Inc. (NYSE:STNG)’s largest investor. It holds a $14 million stake in the company which comes through 695,899 shares.
3. Genco Shipping & Trading Limited (NYSE:GNK)
Number of Hedge Fund Holders: 19
Dividend Yield as of June 10, 2022: 13.25%
Genco Shipping & Trading Limited (NYSE:GNK) is an American dry bulk ocean transportation company. It has more than four million tons of aggregate capacity and operates some of the largest ships in the world. The company is headquartered in New York, New York.
Genco Shipping & Trading Limited (NYSE:GNK) reported $136 million in revenue and $0.97 in GAAP EPS for its fiscal first quarter, managing to beat analyst revenue estimates for both metrics. B. Riley increased the company’s share price target to $31 from $27 in May 2022, as it explained that the company is maximizing operational cash flows for healthy dividend rates. This is reflected in its latest dividend yield, which stands at 13.25%.
Insider Monkey conducted in depth research of 912 hedge fund portfolios for Q1 2022. Through this, we discovered that 19 had invested in Genco Shipping & Trading Limited (NYSE:GNK).
Out of these, Mark T. Gallogly’s Centerbridge Partners is Genco Shipping & Trading Limited (NYSE:GNK)’s largest investor through owning a $107 million stake.
2. Danaos Corporation (NYSE:DAC)
Number of Hedge Fund Holders: 20
Dividend Yield as of June 10, 2022: 3.99%
Danaos Corporation (NYSE:DAC) is another Greek shipping company that is headquartered in Piraeus. It primarily focuses on operating containerships and provides its services to companies in Australia, Europe, Asia, and the United States of America.
Danaos Corporation (NYSE:DAC) announced in April 2022 that it had placed an order for 7,200 twenty-foot equivalents (TEU) containerships that will be built according to modern standards. This marks the company’s optimism in the shipping industry recovering from the devastating blow of the coronavirus. Citi increased its price target to $115 from $90 in February 2022, stating that strong charting activity is helping the company.
For its fiscal first quarter results, Danaos Corporation (NYSE:DAC) earned $229 million in revenue and $11.36 in non-GAAP EPS, boosting its ability to pay dividends. The firm’s dividend yield stood at 3.99% as of June 10, 2022, and 20 out of 912 hedge funds part of Insider Monkey’s Q1 2022 research had bought its shares.
Danaos Corporation (NYSE:DAC)’s largest investor is Robert Bishop’s Impala Asset Management which owns 769,471 shares that are worth $78 million.
1. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)
Number of Hedge Fund Holders: 32
Dividend Yield as of June 10, 2022: 19.5%
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) is an Israeli container shipping company. It operates more than a hundred different vessels, for transporting cars and other goods.
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) raked in $3.7 billion in revenue and $14.19 in GAAP during its first fiscal quarter, in a record set of results that also beat analyst estimates for both the metrics. The company announced a massive $10.31 dividend per share for shareholders in March 2022.
Jefferies raised its price target on the stock to $120 from $100 in March 2022, stating that strong dividends and earnings influenced the decision. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) has the highest dividend yield of 19.5% on our list, with 32 out of the 912 hedge funds analyzed by Insider Monkey for this year’s March quarter having held a stake in the company.
Jim Simons’s Renaissance Technologies is ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)’s largest investor. It holds a $295 million stake that comes through 4 million shares.
Disclosure: None. You can also take a look at 10 Best Recession Stocks To Buy and 10 Best ETFs to Invest In for Retirement.
