Nordic American Tankers Ltd (NAT)

[conix]

High dividend yield potential moving forward

The charts below highlight NAT’s dividend capacity and yield for 2020. In our $40,000/day scenario, NAT is poised to payout $0.61 in dividends based on earnings for 2020. At the current share price, this implies a forward yield of 14.7%, which exludes the 4Q19 dividend potential discussed earlier.

Each $5,000/day change in spot averages equates to ~$0.13 per
share in 2020 dividend potential. We feel our base case payout of $0.61 per share is conservative and that the share should trade at least to a 10% yield on that figure. Accordingly our target is set at $6, based on a 10% yield on our 2020 dividend forecast.

https://www.nat.bm/wp-content/uploads/2019/10/ffd0493e-b43e-4e22-846c-b48bae9be459.pdf