Those who’ve been paying attention to what’s going on in the global shipping market know what a crazy year it’s been thus far. For investors in Castor Maritime (NASDAQ:CTRM) and CTRM stock, it’s been one hell of a year.
Indeed, shares of CTRM stock have surged, to say the least. Shares of this diversified global shipping company now represent a 13-bagger for investors who bought at the beginning of the year. Additionally, unlike other popular meme stocks that have gone parabolic and then waned, CTRM stock has held up relatively well.
Given the amount of retail investor interest in the market right now, CTRM stock certainly appears to be a top potential candidate for many investors. This is a stock with a low share price and the proven ability to spike in a big way.
A number of catalysts have taken CTRM stock on a wild ride. However, today, there’s yet another catalyst taking this stock more than 11% higher at the time of writing. Let’s dive into what’s going on with Castor Maritime right now.
CTRM Stock Surges on New Charter Agreements
Today, CTRM stock has taken off after the company announced charter agreements for three of its ships.
As per the company’s press release:
- The M/V Magic Nebula, a 2010 built Kamsarmax dry bulk carrier, has been fixed on a time charter contract at a gross daily charter rate of $31,750. The charter commenced on September 4, 2021, and has a minimum duration of six months and a maximum duration of eight months (+/- 15 days) at the charterer’s option.
- The M/V Magic Moon, a 2005 built Panamax dry bulk carrier, has been fixed on a time charter contract at a gross daily charter rate of $30,250. The charter commenced on Aug. 31, 2021, and has a duration of about 90 days.
- The M/V Magic Nova, a 2010 built Panamax dry bulk carrier, has been fixed on a time charter contract at a gross daily charter rate of $32,000 plus a one-time gross ballast bonus of $1,300,000. The charter is expected to commence on or around Sept. 17, 2021, and will have a duration of about 70 days.
These rates are all relatively similar from a price standpoint. However, investors will note that these prices are far in excess of what may have been possible last year.
Accordingly, it appears Castor Maritime’s focus on increasing its fleet recently has paid off. Investors bullish on continued strength in the global shipping markets appear to be diving into more speculative/levered plays on this sector today.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.