Company Overview - TEN Ltd. is a leading diversified crude, product, and LNG tanker operator, with a fleet consisting of 82 vessels, including various types of tankers and carriers totaling approximately 11 million deadweight tons (dwt) [6] Earnings Announcement - The company will report its earnings for the second quarter and six months ended June 30, 2025, prior to the market opening in New York on September 10, 2025 [1] - A conference call will be held on the same day at 10:00 a.m. Eastern Time to review the results and management's outlook for the business [2] Conference Call Details - Participants are encouraged to dial in 10 minutes before the scheduled time using specific numbers for US and international calls [3] - An alternative "call me" option is available for faster connection to the conference call [4] - There will be a live and archived webcast of the conference call and accompanying slides available on the company's website [5]

Core Insights - The article emphasizes the importance of efficiency levels in assessing a company's potential for profitability, suggesting that higher efficiency correlates with better price performance [1] Efficiency Ratios - Receivables Turnover: This ratio measures a company's ability to collect debts and extend credit, with a higher ratio indicating better performance [2] - Asset Utilization: This ratio reflects a company's efficiency in converting assets into sales, with higher values suggesting better efficiency [3] - Inventory Turnover: This ratio indicates how well a company manages its inventory relative to its cost of goods sold, with higher values signaling effective inventory management [4] - Operating Margin: This ratio assesses a company's control over operating expenses, with higher values indicating more efficient expense management [5] Screening Criteria - The screening process included a favorable Zacks Rank (1 Strong Buy) alongside the efficiency ratios, narrowing down over 7,906 stocks to 15 strong candidates [6][9] Top Stocks Identified - The top five stocks identified for their efficiency include: - Tsakos Energy Navigation Limited (TEN) with an average four-quarter earnings surprise of 46.7% [10] - 10x Genomics, Inc. (TXG) also with an average four-quarter earnings surprise of 46.7% [11] - Pan American Silver Corp. (PAAS) with an average four-quarter earnings surprise of 45.2% [12] - Wolverine World Wide, Inc. (WWW) with an average four-quarter earnings surprise of 39.1% [13] - Interface (TILE) with an average four-quarter earnings surprise of 33.5% [14]

Group 1: BanColombia (CIB) - BanColombia is Colombia's largest bank by assets and has the largest market share in deposit products and loans [1] - The Zacks Consensus Estimate for BanColombia's current year earnings has increased by 1.9% over the last 60 days [1] - BanColombia has a dividend yield of 12.2%, significantly higher than the industry average of 3.3% [1] Group 2: Tsakos Energy Navigation Ltd (TEN) - Tsakos Energy Navigation is a leading provider of international seaborne crude oil and petroleum product transportation services [2] - The Zacks Consensus Estimate for Tsakos Energy Navigation's current year earnings has increased by 86.2% over the last 60 days [2] - Tsakos Energy Navigation has a dividend yield of 5.8%, compared to the industry average of 2.1% [2] Group 3: National Grid Transco (NGG) - National Grid Transco operates in the international energy delivery business, focusing on regulated electricity and gas industries [3] - The Zacks Consensus Estimate for National Grid Transco's current year earnings has increased by 6.3% over the last 60 days [3] - National Grid Transco has a dividend yield of 5.7%, which is above the industry average of 3.3% [3]

Group 1 - TEN Ltd. announced a minimum contracted revenue of $3.7 billion and is expanding its fleet with 21 eco vessels to be delivered by 2028 [1] - The company generated approximately $60 million in free cash from the sale of three vessels, which includes two handysize product tankers and one aframax crude carrier [2][3] - TEN's proforma fleet is approaching a total capacity of 11 million deadweight tons (dwt) [1][4] Group 2 - The company has ordered two eco VLCCs from Hanwha Ocean in South Korea, with an option for an additional unit, to be delivered in 2027 and 2028 [2] - TEN's strategy includes building high specification, environmentally friendly vessels while divesting from first-generation assets [3] - The diversified energy fleet of TEN currently consists of 82 vessels, including various types of tankers and carriers [4]

Group 1: Value Stocks Performance - Value stocks have underperformed growth peers in recent quarters, potentially making some companies in the value category more attractive due to deeper discounts relative to intrinsic value [1] - Current market volatility and economic uncertainty may present a favorable opportunity for long-term investors in value stocks [2] Group 2: Tsakos Energy Navigation (TEN) - Tsakos Energy Navigation Ltd. provides sea-based crude oil and petroleum transportation services, with a current stock price of $19.44 and a dividend yield of 6.17% [2][4] - The company reported mixed earnings for Q1, with EPS exceeding analyst predictions but revenue falling short by approximately $0.5 million; however, it has a significant backlog of $3.7 billion with an average contract duration of over 12 years [2][3] - Tsakos is on track to sell six older vessels by year-end, following the sale of 14 vessels, which will free up about $100 million for new builds and dividends [3] - The stock's P/E ratio of 4.5 is substantially lower than the transportation sector average of 13.1, indicating potential undervaluation despite a 12% increase in shares this year [4] Group 3: Gray Media (GTN) - Gray Media Inc. operates in television broadcasting and has recently engaged in a station swap with The E.W. Scripps Co., which is expected to enhance growth by creating a duopoly in certain markets [5] - The company refinanced $700 million in debt, extending maturities to 2032, alleviating near-term financial pressure [6] - GTN shares have surged by approximately 58% YTD, but with a P/E ratio of 2.3 compared to the sector average of 21.6, it may still be considered a value play [7] Group 4: NCR Voyix (VYX) - NCR Voyix Corp. specializes in digital commerce technology, reporting a 13% year-over-year revenue decline in Q1, yet still outperforming analyst expectations [9][10] - The company's annual recurring revenue (ARR) now constitutes two-thirds of total sales, indicating a positive shift towards a subscription model with the upcoming launch of its cloud-native Voyage Commerce Platform [10] - VYX shares have increased by about 9% YTD, supported by stock repurchase actions potentially totaling $200 million, while maintaining an attractive price-to-sales ratio of 0.71 [11]

Group 1 - Tsakos Energy (TEN) shares have increased by 12.5% over the past four weeks, closing at $20.11, with a mean price target of $31 indicating a potential upside of 54.2% [1] - The mean estimate includes three short-term price targets with a standard deviation of $9.54, where the lowest estimate is $21.00 (4.4% increase) and the highest is $40.00 (98.9% increase) [2] - Analysts show strong agreement on TEN's ability to report better earnings, with a positive trend in earnings estimate revisions suggesting potential upside [4][9] Group 2 - The Zacks Consensus Estimate for the current year has risen by 41.6% over the past month, with one estimate increasing and no negative revisions [10] - TEN holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [11] - While consensus price targets may not be reliable for predicting exact gains, they can indicate the direction of price movement [12]

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - The Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] - Value Score identifies undervalued stocks using financial ratios [3] - Growth Score assesses stocks based on their future earnings and financial health [4] - Momentum Score tracks price trends to identify optimal buying opportunities [5] - VGM Score combines the three styles to highlight stocks with the best overall potential [6] Zacks Rank and Style Scores Interaction - The Zacks Rank utilizes earnings estimate revisions to aid in stock selection [7] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] - Stocks with lower ranks but high Style Scores may still face downward price pressure due to negative earnings outlooks [10] Company Spotlight: Tenneco Inc. (TEN) - Tenneco Inc. is a prominent manufacturer of clean air, powertrain, and ride performance products for various vehicle types [11] - TEN holds a Zacks Rank of 3 (Hold) and has a VGM Score of A, indicating solid performance potential [12] - The stock has shown a 13.4% increase over the past four weeks, with a positive earnings estimate revision for fiscal 2025 [12] - With strong Momentum and VGM Style Scores, TEN is recommended for investors' consideration [13]

Company Overview - TEN Ltd. is a leading diversified crude, product, and LNG tanker operator, founded in 1993 and celebrating 32 years as a public company [2] - The company operates a diversified energy fleet consisting of 82 vessels, including various types of tankers, totaling 10.1 million deadweight tonnage (dwt) [2] Recent Developments - The Thirty-Second General Annual Meeting of Shareholders was held on June 12, 2025, in Athens, with a quorum present and all proposed resolutions approved by at least 94.6% of the votes cast [1]

Financial Data and Key Metrics Changes - The company reported gross revenue of $197.1 million for Q1 2025, slightly down from $220.1 million in Q1 2024 [27] - Net income for Q1 2025 was $37.7 million, leading to earnings per share of $1.04, compared to $60.1 million in Q1 2024 [28] - Adjusted EBITDA for Q1 2025 was $99.3 million, almost identical to $100.5 million in the previous year [29] - Total debt was reduced to approximately $1.7 billion, with a debt-to-capital ratio of 40.6% [29] Business Line Data and Key Metrics Changes - The fleet operated 62 vessels in Q1 2025, with 80% of fleet employment towards secure revenue contracts, up from 73% in Q1 2024 [25][26] - The fleet's pure spot exposure decreased from 19% to 18% year-over-year, while profit-sharing contracts increased the fleet's ability to capture market fit from 44% to 47% [26] - The company has extended or secured new business for 29 out of 62 vessels in the first half of the year [15] Market Data and Key Metrics Changes - The tanker market remains strong, with high demand for both new and older vessels, despite geopolitical uncertainties [10][11] - The company has seen a significant demand for time charter business from energy majors, indicating a robust market environment [17] Company Strategy and Development Direction - The company is focused on fleet renewal, divesting older vessels and replacing them with modern, energy-efficient ships [22] - There is an ongoing strategy to explore opportunities in underrepresented segments like VLCCs and LNG [13][32] - The company aims to maintain a healthy dividend while reducing debt and growing its business [29][44] Management's Comments on Operating Environment and Future Outlook - Management highlighted the challenges posed by geopolitical events but emphasized the company's ability to navigate these turbulent waters profitably [9][10] - The underlying market conditions are described as strong, with significant demand for vessels, even older ones [11][12] - The company believes its stock is undervalued compared to its net asset value and future income potential [14][56] Other Important Information - The company has a backlog of approximately $3.7 billion in future contracted revenue [17] - The fleet is transitioning to greener and dual-fuel vessels, with a focus on sustainability [22] Q&A Session Summary Question: What will the second quarter new build cost be? - The second quarter new build cost is expected to be just under $130 million, with additional payments scheduled [36][37] Question: Can you characterize the bid-ask in the S&P market for VLCCs? - The company is actively looking to build ships against clients and is monitoring the market for good quality vessels [41][42] Question: Will the company continue to sell older assets? - The company plans to sell at least half a dozen ships by the end of the year to enhance cash flow and support dividends [43] Question: What is the outlook for the second half dividend? - While specific guidance cannot be provided, the company hopes to maintain a similar dividend to the first half [44] Question: How can the company close the gap between stock price and NAV? - Management believes that demonstrating the company's industrial model and potential cash flows will help investors understand its value [45][56]

Financial Data and Key Metrics Changes - The company reported gross revenue of $197.1 million for Q1 2025, slightly down from $220.1 million in Q1 2024 [27] - Net income for Q1 2025 was $37.7 million, leading to earnings per share of $1.04, compared to $60.1 million in Q1 2024 [28] - Adjusted EBITDA for Q1 2025 was $99.3 million, almost identical to $100.5 million in the previous year [29] - Total debt was reduced to approximately $1.7 billion, with a debt-to-capital ratio of 40.6% [29] Business Line Data and Key Metrics Changes - The fleet operated 62 vessels in Q1 2025, with 80% of fleet employment towards secure revenue contracts, up from 73% in Q1 2024 [25][26] - The fleet's pure spot exposure decreased from 19% to 18% year-over-year [26] - 29 vessels have been extended or secured new business within the first six months of the year, indicating strong demand [16] Market Data and Key Metrics Changes - The company noted a strong demand for older ships, with some vessels being chartered for up to 15 years [12] - The tanker market remains robust, with energy majors approaching the company for time charter business [18] - Global oil demand continues to grow, positively affecting the tanker market and freight rates [24] Company Strategy and Development Direction - The company is focusing on fleet renewal, having sold 14 older vessels and replaced them with 30 contracted new buildings [23] - There is an ongoing strategy to explore opportunities in underrepresented segments like VLCCs and LNG [14][32] - The company aims to maintain a healthy dividend and reduce debt while growing its business [29][44] Management's Comments on Operating Environment and Future Outlook - Management highlighted the challenges posed by geopolitical events but emphasized the company's ability to navigate these turbulent waters profitably [10][11] - The underlying market conditions are strong, with a significant demand for vessels despite uncertainties [11][32] - The company believes its stock is undervalued compared to its net asset value, which is estimated to be over $60 [15][46] Other Important Information - The company has a backlog of contracted revenue amounting to approximately $3.7 billion [18] - The fleet is transitioning to greener and dual-fuel vessels, with six LNG-powered tankers in operation [23] - The company has a strong balance sheet with cash reserves and a fair market value of the fleet at $3.6 billion [22] Q&A Session Summary Question: What will the second quarter new build cost be? - The cost for the second quarter is expected to be just under $130 million for one DP2 vessel, with additional payments for new buildings scheduled [37][38] Question: Can you characterize the bid-ask in the S&P market for VLCCs? - The company is looking to build ships against clients and is monitoring the market for good quality Korean or Japanese ships [41][42] Question: Will the company continue to sell older assets? - The company plans to sell at least half a dozen ships by the end of the year, which will enhance cash flow and support dividend payments [43] Question: What is the outlook for the second half dividend? - The company hopes to maintain at least a similar dividend to the first half, with discussions taking place in October [44] Question: How to close the gap between stock price and NAV? - Management believes that demonstrating the company's value through consistent dividends and operational performance is key, rather than focusing solely on NAV [46][56]