Globus Maritime (GLBS) AI Stock Analysis

• Market Cap: $23.46M
• Dividend Yield: N/A
• Average Volume (3M): 28.89K
• Price to Earnings (P/E): 54.5
• Beta (1Y): 0.16
• Revenue Growth: 11.74%
• EPS Growth: -91.84%
• Country: US
• Employees: 25
• Sector: Industrials
• Sector Strength: 65
• Industry: Marine Shipping
• EPS (TTM): 0.02
• Shares Outstanding: 20,582,300
• 10 Day Avg. Volume: 27,842
• 30 Day Avg. Volume: 28,887
• PEG Ratio: 0.14
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.73
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $4.00
• Price Target Upside: 250.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

The overall score of 40 reflects significant challenges for Globus Maritime. Despite positive revenue growth, the company's profitability and cash flow issues, coupled with high leverage and a bearish technical outlook, weigh heavily on its performance. The high P/E ratio suggests the stock may be overvalued, especially given the operational difficulties.

Positive Factors

Company Strategy

GLBS announced the acquisition of two dry bulk ships, which is expected to offset the decline in shipping rates with additional revenue.

Financial Performance

GLBS is forecasted to generate free cash flow in 2H24, 2025, and 2026, indicating financial stability and growth potential.

Fleet Expansion

The company plans to have 12 ships by the end of 2026, expanding its fleet and potentially increasing its revenue-generating capacity.

Negative Factors

Debt Management

GLBS added more debt than expected in 3Q24, leading to increased interest expenses.

Market Conditions

The Baltic Supramax Index declined 16.8% due to lower dry bulk import demand from China.

Revenue Forecast

A recent decline in dry bulk shipping rates has led to a reduction in the 4Q24 time charter equivalent forecast.

Globus Maritime Business Overview & Revenue Model

Company Description

Globus Maritime Limited (GLBS) is a shipping company that operates in the dry bulk sector of the maritime industry. The company specializes in the ownership and management of a fleet of modern, high-quality dry bulk vessels that transport a wide range of major and minor bulk commodities, including coal, grain, and iron ore, along global shipping routes. Founded in 2006 and headquartered in Greece, Globus Maritime positions itself as a key player in facilitating international trade by providing efficient and reliable shipping services.

How the Company Makes Money

Globus Maritime makes money primarily through the leasing of its dry bulk vessels to customers on a time charter or voyage charter basis. Under time charter agreements, customers rent vessels for a specific period at a fixed daily rate, allowing Globus Maritime to generate steady and predictable revenue streams regardless of the voyage's specifics. In contrast, voyage charters involve transporting cargo between specified ports for a single voyage, with the revenue depending on the distance and duration of the trip. The company's earnings are influenced by factors such as global supply and demand for dry bulk commodities, freight rates, and the efficient management of operational costs. Additionally, strategic partnerships and relationships with major charterers and global commodity traders can enhance revenue opportunities and vessel utilization.

Globus Maritime Financial Statement Overview

Summary

Globus Maritime shows encouraging revenue growth but faces challenges with profitability and cash flow. While the balance sheet is robust with strong equity levels, increasing debt levels are a concern. The company needs to manage operational costs and capital expenditures to improve profitability and cash flow sustainability.

Income Statement

The income statement shows a mixed performance. Total revenue increased from $31.2M in 2023 to $34.87M in 2024, a growth rate of 11.68%. However, the net income decreased significantly from $5.27M to $0.43M, leading to a net profit margin drop from 16.89% to 1.23%. Gross profit margin improved to 18.96%, up from 0.95% in 2023, and EBIT margin improved to 9.75% from -6.36%. Despite revenue growth, profitability has struggled, indicating operational challenges.

Balance Sheet

The balance sheet indicates strong equity and liquidity. The debt-to-equity ratio rose to 0.78 in 2024, up from 0.30 in 2023, suggesting increased leverage. However, equity ratio remained healthy at 54.95%. Return on equity dropped to 0.24% from 2.99%, reflecting weaker earnings. While the company maintains a solid equity base, increased debt could pose risks if not managed carefully.

Cash Flow

The cash flow statement highlights significant challenges. Operating cash flow improved to $11.28M in 2024 from -$4.46M in 2023, but free cash flow remains negative at -$101.9M due to substantial capital expenditures. Free cash flow to net income ratio is negative, indicating cash flow issues. Despite improvements in operating cash flow, high capex and negative free cash flow are concerning.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
34.87M	31.20M	61.76M	43.38M	11.75M
	Gross Profit
6.61M	298.00K	28.12M	21.78M	-3.05M
	EBIT
3.40M	-1.99M	23.63M	17.94M	-11.42M
	EBITDA
16.20M	18.48M	36.89M	24.87M	-9.48M
	Net Income Common Stockholders
431.00K	5.27M	24.28M	14.95M	-21.43M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
46.84M	74.20M	52.83M	45.21M	19.04M
	Total Assets
320.99M	231.40M	225.46M	185.65M	86.44M
	Total Debt
137.95M	52.45M	44.83M	32.21M	37.11M
	Net Debt
91.12M	-21.75M	-8.00M	-13.01M	18.08M
	Total Liabilities
144.59M	55.43M	54.76M	39.23M	44.35M
	Stockholders Equity
176.40M	175.97M	170.70M	146.42M	42.09M
Cash Flow		Free Cash Flow
-101.90M	-23.73M	-2.48M	-51.22M	-24.80M
	Operating Cash Flow
11.29M	-4.46M	26.91M	20.75M	-6.24M
	Investing Cash Flow
-98.92M	18.46M	-29.01M	-71.96M	-18.54M
	Financing Cash Flow
60.27M	10.27M	9.72M	77.39M	41.46M

Globus Maritime Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.14
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GLBS, the sentiment is Negative. The current price of 1.14 is below the 20-day moving average (MA) of 1.16, below the 50-day MA of 1.23, and below the 200-day MA of 1.49, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 44.99 is Neutral, neither overbought nor oversold. The STOCH value of 41.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GLBS.

Globus Maritime Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PSHG	64 Neutral	$17.03M	1.28	17.20%	―	-19.73%	-33.68%
CTRM	63 Neutral	$20.48M	0.66	15.48%	―	-45.58%	45.06%
Sector *	62 Neutral	$4.16B	11.31	5.46%	215.65%	4.12%	-8.47%
PXS	61 Neutral	$29.85M	3.59	13.55%	―	13.36%	-73.08%
TOPS	57 Neutral	$26.80M	5.32	3.07%	―	3.83%	―
EDRY	43 Neutral	$23.86M	―	-9.22%	―	28.35%	-238.53%
GLBS	40 Underperform	$23.46M	54.55	0.24%	―	11.74%	-91.84%