Boston, MA 10/24/2013 (wallstreetpr) – The Greece-based DryShips Inc. (NASDAQ:DRYS) continues to struggle in the deep waters as the industry experiences greatly reduced activity. And the small cap shippers are left to with little options to make things move forward. At the start of the week on Monday, DRYS sank 10% to complete the run at $3.08. And Thursday, October 24, the shipping company had its stock down $2.71, losing 7.03% by 11.50 a.m. EDT.
Since the Greece-based shipping company announced $200 million share offering earlier October, the month has been really volatile for the company. However, the its mandarins express confidence that in recent times, they have seen what they consider increased rates and ship values which is a good sign for the future of the shipping company. The CEO George Economou says that they hope that encouraging trend would continue in the larger asset class. The company also hopes its cost cutting strategies are paying off and F2014 would be different if not a better year.
As the bulk and dry shipping industry face wilting fortunes, investors have been dropping the stock in droves, which is very usual when confidence wanes. However, cost cutting are strategies that a lot of players in and out of the bulk shipping industry have used to turnaround.
It would be interesting to see how DRYS navigates the tricky waters of its industry. However, DRYS is not going down the drain yet, considering the strengths and opportunities which it harbors. For example, when shipping rates showed some hope of rising from the ground levels, the company witnessed quite an activity surge.
It is important to remember DRYS has had its shares jump 91.9% on year-to-date, effectively outpacing the 21.17% gain at the S&P 500. However, since the additional shares offering announcement on October 4, it had had a plunge of nearly 17.3%. DRYS has hold rating from a number of analysts including TheStreet.
