Reviewing Seanergy Maritime (NASDAQ:SHIP) and International Seaways (NYSE:INSW)

International Seaways (NYSE:INSW) and Seanergy Maritime (NASDAQ:SHIP) are both transportation companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, profitability, dividends, earnings, risk and institutional ownership.

Risk & Volatility

International Seaways has a beta of -0.12, indicating that its share price is 112% less volatile than the S&P 500. Comparatively, Seanergy Maritime has a beta of 0.94, indicating that its share price is 6% less volatile than the S&P 500.

Institutional and Insider Ownership

67.3% of International Seaways shares are held by institutional investors. Comparatively, 29.4% of Seanergy Maritime shares are held by institutional investors. 1.7% of International Seaways shares are held by company insiders. Comparatively, 4.7% of Seanergy Maritime shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Dividends

International Seaways pays an annual dividend of $0.48 per share and has a dividend yield of 0.6%. Seanergy Maritime pays an annual dividend of $0.80 per share and has a dividend yield of 5.6%. International Seaways pays out 4.4% of its earnings in the form of a dividend. Seanergy Maritime pays out 44.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Profitability

This table compares International Seaways and Seanergy Maritime’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
International Seaways	55.39%	21.04%	15.60%
Seanergy Maritime	20.96%	14.47%	6.55%

Earnings and Valuation

This table compares International Seaways and Seanergy Maritime”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International Seaways	$843.30 million	4.86	$309.26 million	$10.98	7.55
Seanergy Maritime	$158.10 million	1.88	$21.24 million	$1.79	7.96

International Seaways has higher revenue and earnings than Seanergy Maritime. International Seaways is trading at a lower price-to-earnings ratio than Seanergy Maritime, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings for International Seaways and Seanergy Maritime, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International Seaways	0	2	5	0	2.71
Seanergy Maritime	0	2	2	0	2.50

International Seaways presently has a consensus price target of $86.00, indicating a potential upside of 3.80%. Seanergy Maritime has a consensus price target of $22.00, indicating a potential upside of 54.39%. Given Seanergy Maritime’s higher probable upside, analysts plainly believe Seanergy Maritime is more favorable than International Seaways.

Summary

International Seaways beats Seanergy Maritime on 11 of the 16 factors compared between the two stocks.

About International Seaways

International Seaways, Inc. owns and operates a fleet of oceangoing vessels for the transportation of crude oil and petroleum products in the international flag trade. It operates in two segments: Crude Tankers and Product Carriers. As of December 31, 2023, the company owned a fleet of 73 vessels. It serves independent and state-owned oil companies, oil traders, refinery operators, and international government entities. The company was formerly known as OSG International, Inc. and changed its name to International Seaways, Inc. in October 2016. International Seaways, Inc. was incorporated in 1999 and is headquartered in New York, New York.

About Seanergy Maritime

Seanergy Maritime Holdings Corp., a shipping company, provides seaborne transportation of dry bulk commodities worldwide. It operates a fleet of 16 Capesize dry bulk vessels and one Newcastlemax dry bulk vessel with a cargo-carrying capacity of approximately 3,054,820 dwt. The company was formerly known as Seanergy Merger Corp. and changed its name to Seanergy Maritime Holdings Corp. in July 2008. Seanergy Maritime Holdings Corp. was incorporated in 2008 and is based in Glyfada, Greece.