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ESEA
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ESEAEuroseas Ltd.
$71.57$505M
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  1. Home
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  3. ESEA
  4. Financial Ratios

Euroseas Ltd. (ESEA) Financial Ratios

Latest Ratios: P/E Ratio 3.6x · EV/EBITDA 3.4x · ROE 33.1%. (2002–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ESEA Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$505M$379M$205M$176M$108M$142M$25M$9M$6M$15M$11M
Enterprise Value$545M$419M$337M$247M$189M$233M$91M$98M$36M$84M$60M
P/E Ratio →3.632.771.821.531.013.347.62————
P/S Ratio2.221.660.960.930.591.510.480.240.190.650.55
P/B Ratio1.070.820.560.660.641.850.720.340.290.190.13
P/FCF7.885.92—9.924.61—14.43————
P/OCF3.582.691.601.350.952.6910.473.02———

P/E links to full P/E history page with 30-year chart

ESEA EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—1.841.581.301.042.481.712.451.053.522.92
EV / EBITDA3.442.642.301.741.514.415.7415.926.39——
EV / EBIT4.192.762.732.041.705.1011.1756.2315.11——
EV / FCF—6.54—13.958.09—51.77————

ESEA Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin63.5%63.5%59.8%63.3%62.7%55.6%23.7%20.2%20.6%12.7%-8.2%
Operating Margin57.0%57.0%56.4%63.1%58.4%48.7%17.4%4.9%6.8%-22.8%-61.7%
Net Profit Margin60.1%60.1%53.0%60.5%58.2%45.8%7.6%-4.2%-0.3%-25.7%-215.2%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE33.1%33.1%35.8%52.7%86.8%76.6%12.7%-6.6%-0.2%-7.2%-41.1%
ROA21.2%21.2%22.2%30.4%38.6%25.9%3.4%-1.7%-0.1%-4.0%-27.9%
ROIC19.5%19.5%21.6%30.5%38.3%25.5%6.4%1.8%1.7%-2.8%-6.4%
ROCE21.7%21.7%26.4%38.0%48.6%34.3%10.1%2.5%2.3%-3.9%-8.9%

ESEA Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.470.470.570.490.641.541.963.181.620.880.59
Debt / EBITDA1.371.371.400.910.862.234.3614.546.48——
Net Debt / Equity—0.090.360.270.481.191.863.151.310.830.55
Net Debt / EBITDA0.250.250.900.500.651.734.1414.385.25——
Debt / FCF—0.62—4.033.48—37.34————
Interest Coverage10.1410.1411.6218.8121.9416.461.980.510.78-3.47-12.92

ESEA Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio4.894.891.481.290.640.880.340.251.030.870.93
Quick Ratio4.824.821.431.240.600.820.280.180.890.780.82
Cash Ratio4.504.501.291.150.350.710.120.040.600.220.29
Asset Turnover—0.330.360.450.560.420.480.320.510.150.14
Inventory Turnover29.5029.5026.8127.3829.5619.0624.4816.9016.0312.6117.21
Days Sales Outstanding—18.469.138.3212.2311.6526.5720.8431.7028.4340.91

ESEA Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield3.8%5.0%8.2%8.0%10.0%0.3%1.3%10.9%———
Payout Ratio13.8%13.8%14.9%12.2%10.2%——————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield27.6%36.1%55.0%65.2%98.5%29.9%13.1%————
FCF Yield12.7%16.9%—10.1%21.7%—6.9%————
Buyback Yield0.4%0.6%0.5%1.8%4.7%1.4%0.0%100.0%0.0%0.0%0.0%
Total Shareholder Yield4.2%5.6%8.7%9.7%14.7%1.7%1.3%100.0%0.0%0.0%0.0%
Shares Outstanding—$7M$7M$7M$7M$7M$6M$3M$1M$1M$1M

Key Metrics

Growth RegimeDecelerating
ProfitabilityStrong
Balance SheetHealthy
Cash FlowMixed
Top Statement Risk

Cyclical earnings and asset valuation

Deep Value Pricing Amid Cyclical Peak

Euroseas trades at a P/E of 3.91 and EV/EBITDA of 3.68, multiples that appear to price in a significant earnings decline, as the PEG ratio of 0.04 suggests the market expects minimal future growth from current levels.

The valuation multiples are at a steep discount to the broader Industrials sector and even to shipping peers like Costamare (P/E 5.40) and Danaos (P/E 5.73). This pricing implies the market is skeptical of the sustainability of the current high-margin environment, likely anticipating a cyclical downturn in shipping rates that would compress earnings. The low PEG ratio is particularly telling, as it suggests the market assigns almost no value to any potential growth, focusing instead on the peak earnings power.

Structurally Elevated Margins at Cyclical High

Operating margins have stabilized above 60% in recent quarters, a dramatic expansion from the 43.6% level in 2024Q1, indicating a new, higher profitability baseline driven by favorable market conditions.

The sustained gross margin above 66% and operating margin above 60% represent a significant structural shift from the sub-50% levels seen just two years ago. This suggests the company has captured substantial pricing power and operational efficiency in the current market cycle. However, the prior analysis correctly notes that such elevated margins are vulnerable to a cyclical reversal, and the recent deceleration in revenue growth may be an early indicator of this inflection.

Returns Normalizing After Cyclical Surge

ROIC has moderated to 4.6% in 2026Q2 from a peak of 7.6% in 2024Q2, suggesting the exceptional returns generated during the market upswing are beginning to normalize as the cycle matures.

The decline in ROIC from its 2024 peak, while still positive, indicates that the company's ability to generate outsized returns on its invested capital is waning. This trend aligns with the decelerating revenue growth and suggests that the fleet expansion, while increasing the asset base, is not generating incremental returns at the same rate as during the market peak. Investors should monitor whether this is a cyclical trough or the beginning of a longer-term decay in capital efficiency.

Deleveraging Trend Provides Cyclical Buffer

The debt-to-equity ratio has improved to 0.39 from a high of 0.64, and interest coverage remains robust at 12.73x, indicating the balance sheet is strengthening ahead of a potential market downturn.

The consistent reduction in leverage, despite ongoing capital expenditure, demonstrates disciplined capital allocation and strong cash flow generation. The high interest coverage ratio provides a substantial cushion, making the company less vulnerable to a rise in interest rates or a decline in earnings. This deleveraging trend is a key positive, as it provides financial flexibility to navigate the inherent cyclicality of the shipping industry.

The Misleading Signal of the P/E Ratio

The P/E ratio of 3.91 is the most commonly misapplied metric for this business model, as it uses peak cyclical earnings in the denominator, severely understating the company's valuation on a normalized earnings basis.

For cyclical companies like Euroseas, the P/E ratio is notoriously misleading because it is lowest when earnings are highest (at the peak of the cycle) and highest when earnings are lowest (at the trough). The current low P/E does not indicate a bargain but rather reflects the market's expectation that current earnings are unsustainable. A more appropriate metric would be the Price-to-Tangible-Book-Value ratio, which at 1.16 provides a better anchor for valuation, or an EV/EBITDA multiple based on a normalized, mid-cycle earnings estimate.

Download Financial Ratios Data

Includes 30+ ratios · 24 years · Updated daily

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ESEA — Frequently Asked Questions

Quick answers to the most common questions about buying ESEA stock.

What is Euroseas Ltd.'s P/E ratio?

Euroseas Ltd.'s current P/E ratio is 3.6x. The historical average is 8.9x. This places it at the 50th percentile of its historical range.

What is Euroseas Ltd.'s EV/EBITDA?

Euroseas Ltd.'s current EV/EBITDA is 3.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 5.4x.

What is Euroseas Ltd.'s ROE?

Euroseas Ltd.'s return on equity (ROE) is 33.1%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 19.2%.

Is ESEA stock overvalued?

Based on historical data, Euroseas Ltd. is trading at a P/E of 3.6x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Euroseas Ltd.'s dividend yield?

Euroseas Ltd.'s current dividend yield is 3.81% with a payout ratio of 13.8%.

What are Euroseas Ltd.'s profit margins?

Euroseas Ltd. has 63.5% gross margin and 57.0% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Euroseas Ltd. have?

Euroseas Ltd.'s Debt/EBITDA ratio is 1.4x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.