Jefferies Cuts Price Targets on Diana Containerships (DCIX) Following Delayed Acquisitions

Jefferies is reiterating its Buy rating on shares of Diana Containerships (NASDAQ: DCIX), but is reducing its price target from $11 to $8 following the release of its Q3 results.

The company reported slightly better than expected earnings for the quarter and declared a $0.15 per share quarterly dividend, which will be paid to shareholders on December 14. The firm sees DCIX's dividend payout totaling $0.60 in 2012.

Due to delayed acquisitions of vessels, Jefferies is lowering its Q4 and FY11 EPS estimates from $0.16 and $0.37 to $0.11 and $0.31. The firm is also cutting its FY12 estimate from $0.63 to $0.45.

An analyst at Jefferies comments, "Although the Company's plan to purchase a new Panamax was not completed in 3Q11, Diana Containerships management continues to seek to identify suitable vessel acquisition opportunites. Consequently, and coupled with the Company's debt-free balance sheet and over $48 million in cash, we now expect the Company's purchase of one new Panamax to take place in 2H12."

For an analyst ratings summary and ratings history on Diana Containerships click here. For more ratings news on Diana Containerships click here.

Shares of Diana Containerships closed at $5.01 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• BayCom Corp (BCML) Misses Q1 EPS by 4c
• Goldman Sachs First Take on Netflix (NFLX): 'We expect the market to have a muted reaction'
• Hertz Global (HTZ) PT Lowered to $6 at Deutsche Bank