The continued rates rally in the containership sector is getting noticed by investors and helping move the broader pack of New York-listed shipping stocks higher.
US containership shares surged an average 14% last week, helping the 30 shipping stocks under the coverage of investment bank Jefferies gain 4.6% overall.
Jefferies lead shipping analyst Randy Giveans said he was encouraged by a rebound in investor interest as 21 of the New York listings gained ground.
"Containerships won the week for the second week in a row, driven by an ongoing improvement in short-term charter rates as Danaos led all shipping stocks under coverage with a 36% move higher," Giveans said.
Danaos shares showed gradual gains each day last week, he noted. They were helped by "a much improved chartering market for intermediate and feeder containerships, in which Danaos has significant spot exposure", the analyst said.
Dry bulk had the next best performance with an 11% gain and all seven listings gaining value, led by Eagle Bulk Shipping of Connecticut with a 27% surge.
Eagle Bulk elected to carry out a 1-for-7 reverse shares split that originally sent shares downward, but they rebounded as the week wore on.
This included a 16% surge in the last 10 minutes of trading on Friday afternoon after it emerged that Eagle chief executive Gary Vogel had bought $160,000 worth of his own stock.
The week's other big gainer was Golar LNG at 18%, with Giveans noting that the owner continues to benefit from enhanced valuation accompanying the spinoff of the Hygo Energy Transition initial public offering.
A pause in the recent rates rally sent tankers down 2% last week, while LPG owners gained 6% and LNG listings 4%.
