One-glance verdict
Undervalued
$47.72 our estimate vs market $15.04
Wall Street consensus: $20.00 (-58.1% lower than our fair-value estimate)
68% below our estimate, below the bear case
Fundamentals snapshot
Costamare Inc.
CMRE · NYQ · Industrials · Marine Shipping
Current price
$15.04
52-week range
$10.84 - $18.06
Market cap
$1.82B
Balance sheet
Watch
5.06x Adequate
Net debt $1.07B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Returns 16.0% on equity, ahead of 60% of its peers.
- Reward Free cash flow was positive in 4/10 years.
- Risk Stock trades 37.6% above its 5-year average P/E.
- Risk Operating margin compressed from 48.0% to 47.0% over 3 years.
What this company does
Costamare Inc.
Costamare is a shipping company that owns a large fleet of vessels designed to carry everything from consumer goods in containers to raw materials like grain. The company makes its money by chartering (renting) these ships out to other businesses that need to transport cargo around the world. This means its financial success is closely tied to the health of global trade and the daily rental rates it can charge for its ships.
How the company got here
Costamare was started in 1975 by a Greek sea captain, Vasileios Constantakopoulos, with just a single cargo ship. Recognizing a major shift in global trade, the company pivoted to owning containerships in the 1980s and grew its fleet steadily. For decades it was a private family business, eventually becoming a public company in 2010 by listing on the New York Stock Exchange. More recently, the company has expanded from just owning containerships into also owning dry bulk carriers and providing financing to other ship owners.
What it actually does
Think of Costamare as a landlord for the giant ships that move goods around the world. The company doesn't manage the logistics of what's inside the containers; instead, it owns the vessels and leases them out to other companies who do. These customers, known as charterers, pay Costamare a daily fee to use their ships for a set period of time. Costamare operates two main types of ships: containerships for finished goods and dry bulk vessels for raw materials.
Containership Chartering
This is Costamare's original and largest business, making up the majority of its revenue (the money it brings in before expenses). The company owns ships designed to carry the standardized metal boxes you see on trains and trucks, known as containers. It rents these vessels to the world's largest liner companies (the global shipping lines that run routes like a bus service) on long-term contracts, often lasting several years. This provides a predictable and steady stream of income, much like a landlord having a tenant with a long-term lease.
Dry Bulk Shipping
This is a newer and more flexible part of Costamare's business. These ships don't carry containers, but instead transport raw materials like grain, coal, and iron ore loose in their vast cargo holds. Unlike the containerships, these vessels are often chartered (rented out) on shorter-term contracts. This approach allows Costamare to adjust pricing more frequently, giving it the flexibility to earn more when demand for raw materials is high.
Vessel Financing and Leasing
This is a small but growing part of the company that acts somewhat like a bank for the shipping industry. In a sale-and-leaseback deal, Costamare buys a vessel from another company and immediately leases it back to them for their use. This provides the seller with immediate cash while allowing them to keep using the ship, and it provides Costamare with a new source of long-term, contract-based revenue.
What management is betting on now
Management's strategy is to balance stability with opportunity. They are securing steady, predictable cash flow (money generated from regular business operations) by locking in their containerships on long-term contracts. At the same time, they are using their dry bulk fleet and a separate operating platform to take advantage of short-term market changes and potentially higher rates. The company is also focused on modernizing its fleet by ordering newly built, more efficient vessels to meet customer and environmental standards.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
Revenue
$877.90M
Net income
$364.57M
Diluted EPS
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Operating cash flow
$536.87M
Free cash flow
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Sources
Revenue
$2.08B
Net income
$319.92M
Diluted EPS
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Operating cash flow
$537.72M
Free cash flow
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Sources
Is it cheap or expensive?
Fair value $47.72 vs current price $15.04
Wall Street consensus is the average analyst price target: $20.00 (-58.1% lower than our fair-value estimate).
Our most-likely fair value is $47.72 a share — about 217.3% above today's price of $15.04, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Watch
Net debt $1.1B. Interest coverage 5.1x.
Net debt
$1.07B
Interest coverage
5.06x
Costamare Inc.'s profit covers its interest bill about 5.1 times over. which is stronger than most peers shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Watch
Worse cushion
Baseline
Better cushion
CMRE
BASELINE
Costamare Inc.
Total debt $1.50B Interest coverage 5.06x This is the baseline the peer rows are being compared against.
Total debt $1.21B Interest coverage 11.64x +130% vs CMRE Carries about 2.3x more debt cushion than CMRE.
Total debt $671.76M Interest coverage 9.63x +90% vs CMRE Carries about 1.9x more debt cushion than CMRE.
Total debt $1.18B Interest coverage 2.19x -57% vs CMRE Carries about 2.3x less debt cushion than CMRE.
Total debt $325.20M Interest coverage 0.66x -87% vs CMRE Carries about 7.6x less debt cushion than CMRE.
What you should know
The case for and against CMRE
3 Rewards
2 Risks
Rewards
-
Returns 16.0% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 4/10 years.
-
Trades at 5.7x P/E vs peer median 12.1x (53.1% cheaper).
Risks
-
Stock trades 37.6% above its 5-year average P/E.
-
Operating margin compressed from 48.0% to 47.0% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
5.68x
Forward P/E
5.41x
P/B
0.82x
P/S
2.12x
EV/EBITDA
5.45x
PEG ratio
2.40x
Profitability
How much profit each dollar creates
Gross margin
69.8%
Operating margin
47.0%
Net margin
39.5%
ROE
16.0%
ROA
6.7%
Health
Liquidity and balance-sheet strength
Debt / equity
0.66x
Current ratio
1.61x
Quick ratio
1.25x
Total debt
$1.50B
Total cash
$431.48M
Growth
How the business has been compounding
Revenue TTM
$5.59B
Revenue 5Y CAGR
2.6%
EPS TTM
2.65
EPS 5Y CAGR
-12.4%
Cash flow
How much cash the business throws off
Operating CF TTM
$1.99B
Free CF TTM
$242.16M
FCF margin
4.3%
Dividend
Shareholder payout
Yield
3.3%
Payout ratio
17.4%
Last ex-div date
2026-07-21