Safe Bulkers Inc Common Stock ($0.001 par value) (SB)

FairStock Score: 40/100 — MIXED

Key Financials

Strengths

• Generates $37 million in annual free cash flow (5.5% yield on market cap)
• Attractive 3.1% dividend yield providing steady income returns

Concerns

• Altman Z-Score of 1.4 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Safe Bulkers Inc Common Stock ($0.001 par value) is a micro-cap industrials company valued at $669 million. The business generates $276 million in annual revenue with a 3.6% net margin and $37 million in free cash flow. From a quality standpoint, Safe shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of 1.4 warrants caution. On valuation, the stock is reasonably priced at 21.6x earnings, with a modest 12% margin of safety vs Graham Number. Growth dynamics show revenue growing at 1.5% and profit growth of -38.9%. The 3.1% dividend yield adds an income component for patient holders. Our composite FairStock Score of 40/100 reflects below-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. With $37 million in annual free cash flow (5.5% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the industrials space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer