Diana Story

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DSX -- USA Stock  

USD 1.41  0.01  0.71%

With so much uncertainty about the industrials space, it is fair to break down Diana Shipping against current market trends. As we have suggested previously, Diana Shipping is beginning its slide as investors shift to be more bearish due to the increased sector volatility. The returns on investing in Diana Shipping and the market returns of the last few months appear uncorrelated. Weak basic indicators of the company may also suggest signs of long term losses for Diana investors. Diana Shipping is scheduled to announce its earnings today. The next earnings report is expected on the 7th of December 2020.
Published over two months ago
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Our current technical analysis of Diana Shipping (NYSE:DSX)
The company's average rating is Hold from 2 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on Diana Shipping market sentiment investors' perception of the future value of Diana. Let us look at a few aspects of Diana technical analysis. The company has Net Profit Margin of (56.97) %, which means that it does not effectively control expenditures or properly executes on its pricing strategies. This is way below average. In the same way, it shows Net Operating Margin of 9.98 %, which entails that for every 100 dollars of revenue, it generated 0.1 of operating income.
Using predictive technical analysis, we will analyze different prices and returns patterns and diagnose historical swings to determine the real value of Diana Shipping. In general, we focus on analyzing Diana Shipping stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Diana Shipping's daily price indicators and compare them against related drivers such as momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis and fundamental analysis, we attempt to find the most accurate representation of Diana Shipping's intrinsic value. In addition to deriving basic predictive indicators for Diana Shipping, we also check how macroeconomic factors affect Diana Shipping price patterns. Please read more on our technical analysis page or use our predictive modules below to complement your research.

Watch out for price decline

Please consider monitoring Diana Shipping on a daily bases if you are holding a position in it. Diana Shipping is trading at a penny-stock level, and the possibility of delisting is much higher compared to other equities. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as Diana Shipping stock to be traded above the $1 level to remain listed. If Diana Shipping stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.

How does Diana Stands against Peers?

Analyzing Diana Shipping competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to Diana Shipping across multiple sectors and thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be.
Check out Diana Shipping Competition Details

How Diana utilizes its cash?

To perform a cash flow analysis of Diana Shipping, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Diana Shipping is receiving and how much cash it distributes out in a given period. The Diana Shipping cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Diana Shipping Net Cash Flow from Operations is fairly stable at the moment as compared to the past year. Diana Shipping reported Net Cash Flow from Operations of 49.88 Million in 2019

Breaking down Diana Shipping Indicators

Diana Shipping has a beta of 0.0212. Let's try to break down what Diana's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Diana Shipping will likely underperform. The beta indicator helps investors understand whether Diana Shipping moves in the same direction as the rest of the market, and how volatile (i.e., risky) it is compared to the market (i.e., selected benchmark). In other words, if Diana deviates very little from the market, it does not add much risk to the portfolio, but it also doesn't increase the expected returns. Diana Shipping price decrease over the last few months could raise concerns from investors as the firm closed today at a share price of 1.38 on 438,268 in volume. The company executives were not very successful in positioning the firm resources to exploit market volatility in June. However, diversifying your holdings with Diana Shipping or similar stocks can still protect your portfolio during high-volatility market scenarios. The stock standard deviation of daily returns for 30 days investing horizon is currently 4.48. This high volatility is attributed to the latest market swings and not so good earnings reports for some of the Diana Shipping partners.

Diana Shipping has 89 percent chance to finish above $1.37 in August

The standard deviation is down to 4.64 as of today. Diana Shipping exhibits very low volatility with skewness of 0.65 and kurtosis of 3.74. However, we advise investors to further study Diana Shipping technical indicators to make sure all market info is available and is reliable.

The Bottom Line

While many of the other players in the marine shipping industry are either recovering or due for a correction, Diana may not be as strong as the others in terms of longer-term growth potentials. The inconsistency in the assessment between current Diana valuation and our trade advice on Diana Shipping is due to the recent market swings and your selection of investing horizon. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Diana Shipping.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Diana Shipping. Please refer to our Terms of Use for any information regarding our disclosure principles.

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