Pacific Basin Shipping (OTCMKTS:PCFBY) vs. KNOT Offshore Partners (NYSE:KNOP) Head-To-Head Review
by Michael Walen · The Markets DailyKNOT Offshore Partners (NYSE:KNOP – Get Free Report) and Pacific Basin Shipping (OTCMKTS:PCFBY – Get Free Report) are both small-cap transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, risk, earnings, dividends, valuation, profitability and analyst recommendations.
Volatility and Risk
KNOT Offshore Partners has a beta of -0.12, meaning that its share price is 112% less volatile than the S&P 500. Comparatively, Pacific Basin Shipping has a beta of 0.66, meaning that its share price is 34% less volatile than the S&P 500.
Dividends
KNOT Offshore Partners pays an annual dividend of $0.10 per share and has a dividend yield of 1.1%. Pacific Basin Shipping pays an annual dividend of $0.07 per share and has a dividend yield of 0.9%. KNOT Offshore Partners pays out 6.5% of its earnings in the form of a dividend.
Earnings and Valuation
This table compares KNOT Offshore Partners and Pacific Basin Shipping”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| KNOT Offshore Partners | $318.60 million | 0.98 | $13.93 million | $1.55 | 5.90 |
| Pacific Basin Shipping | $2.08 billion | 0.94 | $58.17 million | N/A | N/A |
Pacific Basin Shipping has higher revenue and earnings than KNOT Offshore Partners.
Profitability
This table compares KNOT Offshore Partners and Pacific Basin Shipping’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| KNOT Offshore Partners | 14.69% | 9.00% | 2.93% |
| Pacific Basin Shipping | N/A | N/A | N/A |
Analyst Recommendations
This is a summary of current ratings and recommmendations for KNOT Offshore Partners and Pacific Basin Shipping, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| KNOT Offshore Partners | 0 | 4 | 1 | 0 | 2.20 |
| Pacific Basin Shipping | 0 | 0 | 0 | 0 | 0.00 |
KNOT Offshore Partners presently has a consensus target price of $14.00, suggesting a potential upside of 53.11%. Given KNOT Offshore Partners’ stronger consensus rating and higher possible upside, equities analysts clearly believe KNOT Offshore Partners is more favorable than Pacific Basin Shipping.
Insider & Institutional Ownership
26.8% of KNOT Offshore Partners shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Summary
KNOT Offshore Partners beats Pacific Basin Shipping on 9 of the 13 factors compared between the two stocks.
About KNOT Offshore Partners
KNOT Offshore Partners LP acquires, owns, and operates shuttle tankers under long-term charters in the North Sea and Brazil. The company provides loading, transportation, and discharge of crude oil under time charters and bareboat charters. The company was founded in 2013 and is headquartered in Aberdeen, the United Kingdom.
About Pacific Basin Shipping
Pacific Basin Shipping Limited, an investment holding company, engages in the provision of dry bulk shipping services worldwide. The company offers its shipping services that mainly carry major and minor bulks, including grains, ores, logs/forest products, bauxite, sugar, concentrates, cement and clinkers, coal/coke, fertilizers, alumina, steel, pet-coke, salt, sand and gypsum, and scrap. It also offers shipping consulting, crewing, secretarial, and ship agency and management services. In addition, the company is involved in the vessel owning and chartering, and convertible bonds issuing activities. It has a fleet of 266 owned and chartered vessels, including 121 Handysize, 1 Capesize, and 144 Supramax/Ultramax vessels. The company was founded in 1987 and is headquartered in Wong Chuk Hang, Hong Kong.