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DAC Valuation

Danaos Corp
$
92.240
+0.02(0.022%)1D
  • Overview
  • Forecast
  • Valuation
  • Earnings

DAC Relative Valuation

DAC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, DAC is overvalued; if below, it's undervalued.

Historical Valuation

Danaos Corp (DAC) is now in the Fair zone, suggesting that its current forward PE ratio of 3.36 is considered Fairly compared with the five-year average of 2.62. The fair price of Danaos Corp (DAC) is between 90.84 to 128.92 according to relative valuation methord.
Relative Value
Fair Zone
90.84-128.92
Current Price:92.24
Fair
3.36
PE
1Y
3Y
5Y
Trailing
Forward
2.62
EV/EBITDA
Danaos Corp. (DAC) has a current EV/EBITDA of 2.62. The 5-year average EV/EBITDA is 3.02. The thresholds are as follows: Strongly Undervalued below 0.54, Undervalued between 0.54 and 1.78, Fairly Valued between 4.27 and 1.78, Overvalued between 4.27 and 5.51, and Strongly Overvalued above 5.51. The current Forward EV/EBITDA of 2.62 falls within the Historic Trend Line -Fairly Valued range.
3.66
EV/EBIT
Danaos Corp. (DAC) has a current EV/EBIT of 3.66. The 5-year average EV/EBIT is 4.06. The thresholds are as follows: Strongly Undervalued below 0.37, Undervalued between 0.37 and 2.21, Fairly Valued between 5.90 and 2.21, Overvalued between 5.90 and 7.75, and Strongly Overvalued above 7.75. The current Forward EV/EBIT of 3.66 falls within the Historic Trend Line -Fairly Valued range.
1.71
PS
Danaos Corp. (DAC) has a current PS of 1.71. The 5-year average PS is 1.47. The thresholds are as follows: Strongly Undervalued below 0.55, Undervalued between 0.55 and 1.01, Fairly Valued between 1.93 and 1.01, Overvalued between 1.93 and 2.39, and Strongly Overvalued above 2.39. The current Forward PS of 1.71 falls within the Historic Trend Line -Fairly Valued range.
2.47
P/OCF
Danaos Corp. (DAC) has a current P/OCF of 2.47. The 5-year average P/OCF is 2.01. The thresholds are as follows: Strongly Undervalued below 0.72, Undervalued between 0.72 and 1.36, Fairly Valued between 2.66 and 1.36, Overvalued between 2.66 and 3.30, and Strongly Overvalued above 3.30. The current Forward P/OCF of 2.47 falls within the Historic Trend Line -Fairly Valued range.
3.49
P/FCF
Danaos Corp. (DAC) has a current P/FCF of 3.49. The 5-year average P/FCF is 3.95. The thresholds are as follows: Strongly Undervalued below -1.97, Undervalued between -1.97 and 0.99, Fairly Valued between 6.91 and 0.99, Overvalued between 6.91 and 9.87, and Strongly Overvalued above 9.87. The current Forward P/FCF of 3.49 falls within the Historic Trend Line -Fairly Valued range.
Danaos Corp (DAC) has a current Price-to-Book (P/B) ratio of 0.49. Compared to its 3-year average P/B ratio of 0.48 , the current P/B ratio is approximately 2.98% higher. Relative to its 5-year average P/B ratio of 0.56, the current P/B ratio is about -12.67% higher. Danaos Corp (DAC) has a Forward Free Cash Flow (FCF) yield of approximately -1.09%. Compared to its 3-year average FCF yield of 24.92%, the current FCF yield is approximately -104.35% lower. Relative to its 5-year average FCF yield of 24.25% , the current FCF yield is about -104.48% lower.
0.49
P/B
Median3y
0.48
Median5y
0.56
-1.09
FCF Yield
Median3y
24.92
Median5y
24.25

Competitors Valuation Multiple

The average P/S ratio for DAC's competitors is 2.55, providing a benchmark for relative valuation. Danaos Corp Corp (DAC) exhibits a P/S ratio of 1.71, which is -32.84% above the industry average. Given its robust revenue growth of -0.06%, this premium appears unsustainable.

Performance Decomposition

1Y
3Y
5Y
Market capitalization of DAC increased by 6.65% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 2.89 to 3.77.
The secondary factor is the Revenue Growth, contributed -0.06%to the performance.
Overall, the performance of DAC in the past 1 year is driven by P/E Change. Which is more unsustainable.
-0.06%
253.45M → 253.31M
Revenue Growth
+
-23.44%
59.38 → 45.46
Margin Expansion
+
30.15%
2.89 → 3.77
P/E Change
=
6.65%
86.49 → 92.24
Mkt Cap Growth

FAQ

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Is Danaos Corp (DAC) currently overvalued or undervalued?

Danaos Corp (DAC) is now in the Fair zone, suggesting that its current forward PE ratio of 3.36 is considered Fairly compared with the five-year average of 2.62. The fair price of Danaos Corp (DAC) is between 90.84 to 128.92 according to relative valuation methord.
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What is Danaos Corp (DAC) fair value?

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How does DAC's valuation metrics compare to the industry average?

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What is the current P/B ratio for Danaos Corp (DAC) as of Jul 28 2025?

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What is the current FCF Yield for Danaos Corp (DAC) as of Jul 28 2025?

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What is the current Forward P/E ratio for Danaos Corp (DAC) as of Jul 28 2025?

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What is the current Forward P/S ratio for Danaos Corp (DAC) as of Jul 28 2025?