Performance Shipping Inc. Common Shares (PSHG)

FairStock Score: 58/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I start with the business: Performance Shipping owns and operates nine Aframax and two Suezmax tankers, with 1,287,118 DWT, in a commodity industry where individual vessels have little pricing power and rates drive results. That limits any durable moat. The latest reported quarter, fiscal Q2 2026, showed revenue of $34.7M and net income of $11.9M, a 34.35% net margin, excellent if sustainable. But the trailing twelve months produced free cash flow of -$286.4M, or a FairStock FCF yield of -1279.7% on the 2026-10-13 market cap of $22.4M. That negative cash flow is a red flag, as is the FairStock Altman Z-score of 0.01 and debt-to-equity of 0.90. FairStock's price-based metrics as of 2026-10-13 look extraordinarily cheap: P/E 1.78, P/B 0.06, EV/EBITDA 4.48, and a FairStock Graham Number of $23.78, implying 93.19% margin of safety. FairStock calculates ROE at 10.24%, ROCE at 5.70%, and Piotroski at 6/9. Growth has been high in the supplied data, but shipping is cyclical and mean-reverting. The Lynch category is none because only zero years of filed results are available and three are needed, which tells me the market may not trust the record. A Graham-style investor should ask whether the low P/B reflects hidden asset value or looming dilution/impairment. At $1.62, the numbers scream cheap, but the cash-flow and solvency signals demand caution.

In plain English: Performance Shipping operates tanker vessels worldwide. In the latest reported quarter it was profitable, and the stock looks very cheap compared with its profits and accounting assets. But the company burned cash over the past year and has meaningful debt, so the low price carries real risk.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer