Danaos Corp's shares reached a 52-week high of $152.63 on Tuesday, extending gains that have pushed the stock up 63.4% year-to-date and nearly 68% over the past year.
The maritime shipping company's shares were last trading at $152.68, within 1% of the peak, following a second-quarter earnings report that exceeded Wall Street expectations. Adjusted earnings came in at $7.29 per share, surpassing the $6.47 estimate. Revenue totaled $274.37 million, above the forecast of $255.41 million.
Analysts at Freedom Broker upgraded Danaos to a "buy" rating from "hold" and raised the price target to $155 from $140. The upgrade cited strong performance in the dry bulk segment and stability in the container business, alongside firmer dry bulk shipping rates and reduced net interest expense.
Danaos operates in the dry bulk and container shipping sectors, with operational improvements driving the recent outperformance. The company's valuation remains low relative to peers, with a trailing price-to-earnings ratio of 5.14.
