SFL Corporation Ltd (Hold, TP: USD9.10) - Tanker headwinds
We have lowered our 2020–2022e EBITDA by 5% on average, after factoring in our updated sector views (tankers as of May, dry bulk as of July), and increased our opex estimates slightly. We believe the company is sufficiently funded to continue paying quarterly dividends of USD0.25/share, with cash coverage of 113% in H2e and 86% in 2021e. However, we also believe it will need to address its October 2021 convertible bond maturity in H2, with insufficient cash to repay it in full. We reiterate our HOLD and USD9.1 target price.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.