Florida-based investment bank Noble Capital Markets is reining in lofty third-quarter earnings expectations for the dry bulk owners under its coverage while maintaining a bullish long-term outlook on the sector. Companies most affected in the slashing are Connecticut-based mid-sized specialist Eagle Bulk Shipping and Rhode Island niche-trade operator Pangaea Logistics Solutions, which is now projected to run a rare quarterly loss. Noble Capital analyst Michael Heim now sees Pangaea losing $0.08 per share when third-quarter earnings are announced, down from a previous projection of a $0.45 profit. Revenue is to dive to $158.6m from the earlier view of $182.3m.

Mark Filanowski-led Pangaea is the only shipping company Noble sees running in the red for the period. Eagle Bulk is however tipped to trend significantly lower while remaining solidly profitable. The Stamford-based owner of supramax and ultramax tonnage should see earnings drop to $4.24 per share from $5.49, while revenues dip to $93.2m from $117.6m. The other major owner under Noble’s coverage – New York-based Genco Shipping & Trading – sees smaller adjustments to its numbers. Heim reckons the John Wobensmith-led outfit will turn a profit of $1.21 per share instead of $1.25, with revenue also slightly lower.

Greece-based capesize entrant Seanergy Maritime Holdings is seeing adjustments to the Noble view on a number of counts. Heim noted that while the owner previously had guided to day rates of $23,650 as it reported second-quarter results, it now believes the rate will be below $20,000 per day. Noble is reducing its own figure for uncommitted ships to $19,500 per day from $23,650. Seanergy is also expected to feel the bite of rising interest rates. Interest costs are projected to rise to $5m for the third quarter from $3.5m as Libor has jumped from 0.1% to more than 4% in the last 12 months. Noble is also incorporating a $28m term loan announced last week. This all adds up to a reduction in third-quarter earnings estimate to $0.02 per share from a previous bet of $0.06. Revenue decreases to $31.8m from $38.1m.

Fellow Greek bulker owner EuroDry sees only slight revisions to Noble’s estimates owing to significant time charter coverage in the fleet. It is tipped to earn $3.27 per share in the quarter rather than $3.48, with revenue down to $25.4m from $26.1m. Despite the revisions, Noble is keeping “buy” ratings on all five bulker players, with price targets significantly above current trading levels. “Recent weakness in shipping pricing will adversely affect near-term results but does not change our long-term favorable outlook for the shipping industry,” Heim told clients.

As TradeWinds has reported, Noble underwent a transition of its shipping coverage during 2022. The surprise defections of shipping investment banker Mark Suarez and analyst Poe Fratt to New York-based Alliance Global Partners came just as Noble was hosting its annual investor conference in April. Heim stepped into the breach from the energy beat at Noble and has been handling research since, while Suarez and Fratt continue to handle shipping for Alliance Global.