Shipping stocks enjoyed a remarkable run from late 2020 to 2022, outperforming most sectors except cruise stocks.
In 2023, the question on investors’ minds is whether shipping stocks will stage another impressive comeback.
Before delving into this,
A disclaimer:
This discussion does not constitute a recommendation to buy or sell.
It is crucial to consult with your financial advisor before making any investment decisions.
At the time of writing, I have no vested interest in any of the mentioned stocks.
The views expressed in this article are personal and do not represent the firm’s views.
COVID-19 Impact and Notable Investors
As someone in the shipping industry, I closely monitor maritime and shipping stocks. According to historical trends, these stocks are known for their cyclicality, with significant opportunities arising perhaps once a decade.
The COVID-19 pandemic thrust shipping and maritime stocks into the spotlight, attracting notable investors like Michael Burry, who invested in NYSE: GNK, NYSE: STNG, and NYSE: GOCL.
Scion Asset Management also made notable moves in the shipping sector, as indicated by their latest 13F regulatory filing for Q2 2023:
Star Bulk Carriers (SBLK):
2.8% of their portfolio with an average price of $19.25, totalling 185,000 shares valued at $3.25 million
Costamare (CMRE):
1.1% of their portfolio, with an average price of $8.96, holding 125,000 shares valued at $1.29 million.
Euronav (EURN):
0.8% of their portfolio, with an average price of $16.29, owning 529,000 shares valued at $905,000.
Safe Bulkers (SB):
0.4% of their portfolio, with an average price of $3.51, holding 128,000 shares valued at $409,000.
While I strive for accuracy in providing this data, it’s essential to acknowledge the potential for inaccuracies, as the information is sourced from publicly available data.
Please consider this information for entertainment and informational purposes only.
Why the focus on Michael Burry?
Are other prominent investors, known as “The Whales,” invested in these companies?
Further research uncovered the following holdings:
StarBulk Carriers:
Howard Marks: Holding value – $459 million
Jim Simmons: Holding value – $17.3 million
Ken Griffin: Holding value – $2.75 million
Costamare:
Jim Simmons: Holding value – $18.9 million
Ken Griffin: Holding value – $107,000
Euronav:
Jim Simmons: Holding value – $20 million
Steven Cohen: Holding value – $5.64 million
Ken Griffin: Holding value – $2.99 million
Safe Bulkers:
Jim Simmons: Holding value – $11.1 million
Superinvestors may invest and sell off holdings at any point, and thus, if you choose to invest following the super investors, be mindful of the potential risks.
I hope you enjoyed reading this post, and in my next, I will write about a shipping stock that outperformed 175% compared to NIFTY 50 and the S&P 500.
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Source: Linkedin
