Reviewing Euroseas (NASDAQ:ESEA) and Cadeler A/S (NYSE:CDLR)

Cadeler A/S (NYSE:CDLR) and Euroseas (NASDAQ:ESEA) are both small-cap transportation companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Institutional & Insider Ownership

53.0% of Cadeler A/S shares are owned by institutional investors. Comparatively, 6.3% of Euroseas shares are owned by institutional investors. 55.9% of Euroseas shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Cadeler A/S and Euroseas”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cadeler A/S	$248.74 million	7.23	$12.44 million	$0.82	24.99
Euroseas	$212.90 million	1.01	$114.55 million	$16.15	1.90

Euroseas has lower revenue, but higher earnings than Cadeler A/S. Euroseas is trading at a lower price-to-earnings ratio than Cadeler A/S, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Cadeler A/S and Euroseas, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cadeler A/S	0	0	1	0	3.00
Euroseas	0	0	1	1	3.50

Cadeler A/S currently has a consensus target price of $37.00, suggesting a potential upside of 80.58%. Euroseas has a consensus target price of $56.50, suggesting a potential upside of 83.92%. Given Euroseas’ stronger consensus rating and higher possible upside, analysts clearly believe Euroseas is more favorable than Cadeler A/S.

Volatility & Risk

Cadeler A/S has a beta of 1.05, suggesting that its share price is 5% more volatile than the S&P 500. Comparatively, Euroseas has a beta of 0.72, suggesting that its share price is 28% less volatile than the S&P 500.

Profitability

This table compares Cadeler A/S and Euroseas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cadeler A/S	N/A	N/A	N/A
Euroseas	54.21%	34.73%	20.86%

Summary

Euroseas beats Cadeler A/S on 9 of the 14 factors compared between the two stocks.

About Cadeler A/S

Cadeler A/S operates as an offshore wind farm transportation and installation contractor in Denmark. It also provides wind farm construction, maintenance, decommissioning, and other tasks within the offshore industry, as well as marine and engineering services. The company owns and operates four offshore jack-up windfarm installation vessels. Cadeler A/S was incorporated in 2008 and is headquartered in Copenhagen, Denmark.

About Euroseas

Euroseas Ltd. provides ocean-going transportation services worldwide. The company owns and operates containerships that transport dry and refrigerated containerized cargoes, including manufactured products and perishables. As of March 31, 2024, it had a fleet of 20 containerships with a cargo carrying capacity of approximately 777,749 dwt. The company was incorporated in 2005 and is based in Marousi, Greece.