Dryships posts huge loss

dryspr032409.pdf (application/pdf Object).

The link above is the 4th quarter and year end financial results for Dryships Inc. DRYS. For the 4th quarter DRYS has reported a loss of $18.42 per share and a negative $8.11 for the full year. During the g0-go days of dry shipping I considered Dryships to be overly aggressive, overly leveraged and growing too fast. The market loved the stock, however, and at one point DRYS traded for $116.43 per share!

Now the company’s agressive ways has been shot down by the contraction in shipping values and revenues and they are taking their medicine. They have cancelled over $2 billion in new ship orders. The management spin is that the company has a lot of locked in revenues over the next several years and they will recover nicely. My opinion is that there are more attractive companies in the shipping space!

More on this topic (What's this?)
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Read more on DryShips, Shipping at Wikinvest
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