NORDIC AMERICAN TANKERS Ltd (NAT)

Water Transportation

Latest Price

$7.85

TTM P/E

130.83

Normalized P/E

130.83

Div Yield

4.59%

Book Value

P/B Ratio

Valuation metrics

EPS: $0.06

Book value / share: $2.10

Formula: √(22.5 × EPS × BVPS)

Graham Number

$1.69

79% downside

Norm. op. income: $46M (median of 7yr)

Tax rate: 5%

Discount rate: 10%

Growth assumption: zero (EPV is a no-growth value)

Earnings Power Value

$0.46

94% downside

Base FCF: $75M (median of recent 5yr)

Growth: 8%/yr (median YOY, capped at 25%)

Discount rate: 10%

Terminal growth: 3%

Projection horizon: 10 years

DCF Fair Value

$5.88

25% downside

EPS: $0.06

Target P/E: 15×

Formula: EPS × P/E

P/E Fair Value

$0.90

89% downside