KNOT Offshore Partners LP (KNOP) Hits Fresh High: Is There Still Room to Run?

Core Viewpoint - Knot Offshore (KNOP) has shown strong stock performance, with a 4.5% increase over the past month and reaching a 52-week high of $11.1, outperforming the Zacks Transportation sector and the Zacks Transportation - Shipping industry [1][2]. Company Performance - Knot Offshore has consistently exceeded earnings expectations, reporting an EPS of $0.45 against a consensus estimate of $0.13 in its last earnings report [2]. - For the current fiscal year, the company is projected to achieve earnings of $1.37 per share on revenues of $359.8 million [2]. Valuation Metrics - The stock trades at 8X current fiscal year EPS estimates, below the peer industry average of 12X, and at 2.8X trailing cash flow compared to the peer group's average of 3.4X, indicating strong value potential [6]. - Knot Offshore holds a Value Score of A, with Growth and Momentum Scores of C, resulting in a combined VGM Score of A [5][6]. Zacks Rank - The company has a Zacks Rank of 1 (Strong Buy), driven by rising earnings estimates, making it a favorable choice for investors [7][8]. Industry Comparison - In comparison to peers, Global Ship Lease, Inc. (GSL) also shows strong performance with a Zacks Rank of 2 (Buy) and a Value Score of A, although it has lower Growth and Momentum Scores [9]. - GSL is expected to post earnings of $10.22 per share on revenues of $763.9 million for the current fiscal year, with shares gaining 5.3% over the past month [10]. - The Transportation - Shipping industry is positioned in the top 42% of all industries, suggesting favorable conditions for both Knot Offshore and Global Ship Lease [11].