GNK
Genco Shipping & Trading Limited
$25.57
Stable Earnings Power
40%
P/Adj-EPS × Normalized Multiple
Mild
·
Conviction
Fair Value
Trading 4.1% below fair value
You pay
$25.57
Bear
$21.33
Fair
$26.66
Bull
$31.99
Bear
$21.33
-16.6%
$1.75 × 12x P/E
Fair
$26.66
+4.3%
$1.75 × 15x P/E
Bull
$31.99
+25.1%
$1.75 × 18x P/E
Adjust Assumptions
15.2x
1.75$
Key Value Driver
Normalized P/E multiple (15x base case)
Implied Market Multiple
14.6x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (22 analysts)
$29.00
Divergence from AlphaVal
8%
Summary
Applying a 15x P/E to adjusted EPS of $1.75, the base-case value is $26.66 per share.
Key Risks
- Growth DCF inappropriate — terminal value assumptions dominate
- EV/EBITDA misleading for regulated businesses where capex is mandated
- Regulatory risk is a fat tail not visible in normal multiples