Pangaea Logistics Solutions Ltd. (PANL)

Deep Sea Foreign Transportation of Freight

Latest Price

$8.38

TTM P/E

11.32

Normalized P/E

9.15

Div Yield

Book Value

6.98

P/B Ratio

1.20

Valuation metrics

EPS: $0.30

Book value / share: $6.61

Formula: √(22.5 × EPS × BVPS)

Graham Number

$6.68

20% downside

Norm. op. income: $45M (median of 7yr)

Tax rate: 5%

Discount rate: 10%

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

Earnings Power Value

$6.35

24% downside

Base FCF: $62M (median of recent 5yr)

Growth: 3%/yr (median YOY, capped at 25%)

Discount rate: 10%

Terminal growth: 3%

Projection horizon: 10 years

DCF Fair Value

$14.23

+70% upside

EPS: $0.30

Target P/E: 9×

Formula: EPS × P/E

P/E Fair Value

$2.70

68% downside