Tsakos Energy Navigation Ltd. (TNP)

The world is going to double hull carriers. Tnp has only doubles and is a very young fleet. With rates going up and single hull carriers going away, there in a sweet spot

Looks undervalued to me.

Showed up on a screen for solid 5 year growth with low debt, cash on hand and still at attractive P/E ratios.

Financial results.

If you believe that we are at (or near) the bottom of the worldwide recession then shipping, especially energy shipping, should be about to take off. Oil prices are starting to creep up.

The stock's price took a dive in June / July and has been fairly flat ever since. A P/E of 5.32 and a 4 star Caps rating make this pretty attractive.

Shipping will see explosive growth as economy recovers. Great div yield. Solid numbers. Solid cash position for future div gains. Stock Price depressed. Undervalued.

This is more like a bond the market has left this one behind The trend will be unbroken price should hold steady ish + dividend makes nice hold if u fear market pain

Pick from EV38's blog and translator999

High dividend yield, but lots of debt. 5 star CAPS rating right now

JakilaTheHun - http://caps.fool.com/player/jakilathehun.aspx

limit 15.40

div

Thanks BigFatBEAR

dividend play; plenty of good buzz about this one, but would stay away from other tanker or shipping stock for now.

Poaching this pick to follow and investigate for the long term. I like the Jakila analysis although this category is scary to me.

HT JakilaTheHun
5.something p/e

Following JakilaTheHun with this one.
See his pitch.

With a high yield and lots of profitability, I see only 1 reason to not green-thumb TNP immediately.

This pick is likely riskier than I'm aware of, especially with its 1.4 billion in long-term debt. The market may know something I do not. If ROE stays low, then perhaps the large debt would have been a bad gamble. However, I'm predicting ROE will be 20%+ in coming years, which means that more debt may be a good thing.

Anyhow, this pick was poached from bullishbabo.

Saw BullishBabo green thumb this one and started investigating. Looks like a good buy to me under $20

Net tangible assets alone are worth about $24 per share. Even after I adjust that figure with a $410 million write-down of their "Vessels' Net Book Value", which is about 20% of the total, I still come up with an adjusted equity figure of $13.50 per share.

Earnings and operating cash flows have historically been quite strong. EPS has been in the $4.50 - $5.50 range over the past three fiscal years. While that will probably drop for the current fiscal year, I don't know that it's going to completely fall off a cliff and turn negative, as the share price seems to indicate. Operating cash flows have been comparable to earnings for TNP.

The only bad thing I can see in their past performance is that Free Cash Flows haven't been overly impressive. This was largely because the entire industry was upgrading capacity during the boom years. We are now at the end of that era and free cash flows should improve in the future. In fact, for FY '08, free cash flows were around $2.25 per share, which definitely isn't bad when you consider the stock's current selling price.

As for valuation, even if I assume a 20% vessel write-down, a 12% cost of capital, and steady-state free cash flows of only $1.00 per share (which is well below historical standards) with a 3% growth rate, I still come up with a valuation of around $25 per share. More realistically speaking, using the above figures, with $2.25 per share in FCFs, I come up with a valuation of $38 per share.

Hence, my probable valuation is about $38, which would be more than a 150% increase over the stock's current price. My downside probable valuation is $25 and my upside probable is about $50. It may take awhile for it to rebound, but I definitely like TNP at $16.