Sept. 4 (Bloomberg) — A.P. Moeller-Maersk A/S, owner of the world’s largest container line, rose the most in more than two weeks in Copenhagen trading after Goldman Sachs Group Inc. said investors should buy the stock as cost cuts boost profits.
Maersk jumped as much as 2.3 percent, the most since Aug. 19. The stock gained 1.3 percent to 49,560 kroner at 10:36 a.m. local time, with trading volume at 42 percent of the three-month daily average. The advance made the share today’s biggest winner in the Nasdaq OMX Copenhagen 20 index.
Maersk Line reported last month rising profits and said 2013 net income will be “significantly above” that of 2012, compared with a previous forecast of earnings “above” last year’s level. Goldman has added the share to its conviction list and repeated a buy recommendation saying the Copenhagen-based company will continue to benefit from “a very competitive cost base,” according to a note distributed today.
“We believe Maersk can achieve significant earnings growth and a step-up in return on capital,” Goldman analysts, including Nick Edelman, said in the note. “We believe Maersk’s second-quarter 2013 results confirmed its ability to achieve a structural improvement in profitability.”
Maersk Line has trimmed its fleet and slowed sailing speeds to curb capacity as falling consumer demand hurts cargo volumes and carriage prices. The shipping line cut unit costs by 12.7 percent in the second quarter as bunker costs slumped 31 percent because of lower consumption and fuel-price declines, the company reported Aug. 16.
Goldman raised its 12-month share price estimate to 62,000 kroner from 53,000 kroner. That’s the second-highest price target among 26 analysts tracking the stock, according to data compiled by Bloomberg. Danske Markets in Copenhagen has the highest price estimate of 65,000 kroner, according to the data.
(Bloomberg) — Ukraine’s fight against Russia’s invasion has entered a new phase, pitting homegrown drone technology against a 2,000 kilometer (1,200 mile) swathe of largely Soviet-era oil facilities. At least...
March 19 (Reuters) – Tanker company Euronav will exit Belgium’s blue-chip Bel-20 index after just two days of trading, as it no longer meets the membership conditions after its takeover by Compagnie Maritime...
MOSCOW, March 19 (Reuters) – The new head of Russia’s Navy was formally presented in his new role for the first time on Tuesday at a pomp-filled ceremony, the state RIA news agency reported,...
March 19, 2024
Total Views: 2487
Why Join the gCaptain Club?
Access exclusive insights, engage in vibrant discussions, and gain perspectives from our CEO.
This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.