Danaos Corporation Stock Price, News & Analysis

Danaos Corporation (NYSE: DAC) is an international owner of containerships and drybulk vessels that provides deep sea freight transportation services. The company operates in the containership sector of the shipping industry and has also invested in the drybulk segment, aligning with its classification in deep sea freight transportation within the broader transportation and warehousing sector.

According to company disclosures, Danaos is described as one of the largest independent owners of modern, large-size container vessels. Its fleet is chartered to many of the world's largest liner companies on fixed-rate charters. Customers named in available information include HMM, MSC, Yang Ming, Hapag-Lloyd, ZIM, Maersk, COSCO, OOCL, ONE, PIL, Sealead, Niledutch, Samudera, OSC, and Arkas. These counterparties use Danaos vessels to move containerized cargo on international trade routes.

Business model and segments

Danaos generates operating revenues by chartering its vessels to liner companies. For management and reporting purposes, the company is organized into two segments based on operating revenues: a container vessels segment and a drybulk vessels segment. Segment performance is measured based on net income. Items directly attributable to a segment are allocated directly, while other items are allocated using indirect calculations that reflect utilization of key resources. Components that are not allocated to either reportable segment, such as investments in an affiliate accounted for using the equity method and investments in marketable securities, are presented in an "Other" category.

The majority of Danaos’ revenue is derived from its container vessels segment. The drybulk vessels segment reflects the company’s more recent expansion into the Capesize drybulk market, where it has acquired a number of large drybulk vessels. This two-segment structure allows Danaos to report separately on container shipping and drybulk shipping activities while maintaining a clear view of overall performance.

Fleet profile and capacity

Company press releases state that Danaos has a fleet of 74 containerships aggregating 471,477 TEUs and has been building out a substantial orderbook of additional container vessels under construction. At various points in its recent disclosures, Danaos has reported between 15 and 23 newbuilding containerships in its orderbook, with aggregate capacities in excess of 100,000 TEUs. The company has also acquired 10 Capesize drybulk vessels aggregating 1,760,861 DWT, reflecting its presence in the drybulk sector alongside its core containership operations.

The company highlights that its newbuilding containerships are designed with what it describes as the latest eco characteristics. According to its earnings releases, these vessels are intended to be methanol fuel ready, fitted with open loop scrubbers (with limited exceptions noted for certain vessels) and Alternative Maritime Power (AMP) units, and built in accordance with the latest requirements of the International Maritime Organization (IMO) relating to Tier III emission standards and the Energy Efficiency Design Index (EEDI) Phase III. Danaos also notes that all vessels in its orderbook are designed in line with these IMO-related requirements.

Chartering strategy and contracted revenue

Danaos emphasizes multi-year, fixed-rate charter arrangements as a core element of its business approach. Company communications describe its container vessels fleet as chartered to many of the world’s largest liner companies on fixed-rate charters. The company regularly reports on its contracted revenue backlog, contracted cash operating revenues, and contracted operating days charter coverage for future years.

In recent announcements, Danaos has reported adding substantial amounts to its contracted revenue backlog through a combination of new charters for newly ordered containerships and charter extensions for existing vessels. It has also disclosed that it has secured multi-year charter arrangements for the vast majority of vessels in its newbuilding orderbook, with average charter durations measured in multiple years when weighted by aggregate contracted charter hire. The company publishes figures for contracted operating days charter coverage for its container vessel fleet for upcoming years, including coverage that approaches or reaches full coverage for the near term based on concluded charter contracts and scheduled vessel deliveries.

Geographic operations and customer base

Based on available information, Danaos operates internationally, with activities across regions such as Australia-Asia, Europe, and America. The company has indicated that the Australia-Asia region has historically contributed a significant portion of its revenue. Its customers include a range of global liner companies that deploy Danaos vessels on long-haul and regional container trades.

The company’s focus on fixed-rate charters with large liner operators provides visibility into future cash flows. Danaos reports total contracted cash operating revenues, remaining average contracted charter duration for its containership fleet, and charter coverage metrics that reflect the extent to which its fleet days are committed under existing contracts.

Capital structure, financing and securities

Danaos’ shares trade on the New York Stock Exchange under the symbol "DAC". As a foreign private issuer, the company files reports with the U.S. Securities and Exchange Commission on Form 20-F and Form 6-K, and it has multiple effective shelf registration statements on Form F-3 and share-based compensation registration statements on Form S-8, as referenced in its recent Form 6-K filings.

The company has disclosed a mix of secured bank credit facilities, a revolving credit facility, and senior unsecured notes as part of its financing arrangements. In October 2025, Danaos closed an offering of $500 million of 6.875% senior unsecured notes due 2032, issued under an indenture with Citibank, N.A., London Branch as trustee, paying agent, registrar and transfer agent. The company has stated that it intends to use the net proceeds from this offering to redeem its outstanding 8.500% Senior Notes due 2028, repay certain secured credit facilities, cover related transaction costs and fees, and for general corporate purposes.

Danaos also reports on net debt, defined as debt gross of deferred finance costs less cash and cash equivalents, and on last twelve months (LTM) Adjusted EBITDA, as well as the ratio of net debt to LTM Adjusted EBITDA. These metrics, together with disclosures about cash and cash equivalents, availability under its revolving credit facility, and marketable securities, provide insight into the company’s liquidity and leverage profile as presented in its earnings releases.

Orderbook and growth initiatives

The company has described an extensive newbuilding program for containerships, with vessels scheduled for delivery over multiple years. At different points in its 2025 disclosures, Danaos has reported an orderbook that includes:

• Newbuilding containerships with aggregate capacities exceeding 100,000 TEUs.
• Expected deliveries spread across several years, with specific counts of vessels scheduled for delivery in each year.
• Vessels designed to comply with IMO Tier III and EEDI Phase III requirements and to be methanol fuel ready, with scrubber and AMP unit installations as described.

Danaos has also reported selective investment in the Capesize drybulk segment and has disclosed plans to purchase additional drybulk vessels. These activities are presented by the company as part of its approach to fleet renewal, growth, and exposure to different shipping market segments.

Reporting, governance and regulatory context

Danaos files periodic and current reports with the SEC, including Form 6-K reports that furnish press releases on earnings, capital markets transactions, and corporate governance developments. For example, the company has reported the resignation of a director and the appointment of a new member to the Audit Committee, while noting that its board of directors continues to include a majority of independent directors.

In June 2025, Danaos furnished a Form 6-K that included a proxy statement for its annual meeting of stockholders and its annual report, reflecting the company’s ongoing corporate governance and disclosure obligations as a foreign private issuer. The company’s SEC filings also incorporate by reference various registration statements, indicating an established presence in U.S. capital markets.

Position within the shipping industry

Across multiple press releases, Danaos describes itself as one of the largest independent owners of modern, large-size container vessels and notes that its total TEU capacity, including vessels under construction, ranks it among the largest container vessel charter owners in the world based on total TEU capacity. Its fleet is chartered to many of the world’s largest liner companies on fixed-rate charters, and the company emphasizes a long track record of success predicated on what it characterizes as efficient and rigorous operational standards and environmental controls.

FAQs about Danaos Corporation (DAC)

• What does Danaos Corporation do?
  

  Danaos Corporation owns and operates containerships and drybulk vessels that provide international seaborne transportation services. It focuses on chartering its vessels, primarily container ships and Capesize drybulk vessels, to major liner companies under fixed-rate charters.

• How is Danaos’ business organized?
  

  For management and reporting purposes, Danaos is organized into two segments: a container vessels segment and a drybulk vessels segment. Segment performance is measured based on net income, with items allocated directly or indirectly depending on their relationship to each segment. Items not attributable to either segment, such as certain investments, are reported in an "Other" category.

• Who are Danaos’ main customers?
  

  According to available information, Danaos’ customers include major liner companies such as HMM, MSC, Yang Ming, Hapag-Lloyd, ZIM, Maersk, COSCO, OOCL, ONE, PIL, Sealead, Niledutch, Samudera, OSC, and Arkas. These companies charter Danaos vessels to transport containerized cargo on international routes.

• What types of vessels does Danaos operate?
  

  Danaos operates a fleet of modern, large-size container vessels and has also acquired Capesize drybulk vessels. Company disclosures reference 74 containerships aggregating 471,477 TEUs and 10 Capesize drybulk vessels aggregating 1,760,861 DWT, along with a significant orderbook of additional containerships under construction.

• How does Danaos generate revenue?
  

  Danaos generates operating revenues by chartering its vessels to liner companies. It reports operating revenues, time charter equivalent revenues and related metrics for its container vessels and drybulk vessels segments, reflecting income from these charter arrangements.

• What is Danaos’ approach to newbuilding vessels and environmental standards?
  

  The company has an orderbook of newbuilding containerships designed with what it describes as the latest eco characteristics. According to its earnings releases, these vessels are methanol fuel ready, equipped with open loop scrubbers (with specified exceptions) and Alternative Maritime Power (AMP) units, and are built to comply with IMO Tier III emission standards and EEDI Phase III requirements.

• Where do Danaos shares trade and under what symbol?
  

  Danaos Corporation’s shares trade on the New York Stock Exchange under the ticker symbol "DAC". The company files reports with the U.S. Securities and Exchange Commission as a foreign private issuer.

• How does Danaos describe its position in the container shipping market?
  

  In its press releases, Danaos describes itself as one of the largest independent owners of modern, large-size container vessels. It states that its current fleet and orderbook, measured by total TEU capacity, rank it among the largest container vessel charter owners in the world based on total TEU capacity.

• What financial metrics does Danaos highlight in its reporting?
  

  Danaos reports operating revenues, net income, adjusted net income, adjusted EBITDA, time charter equivalent revenues and related per-day metrics. It also discloses cash and cash equivalents, availability under its revolving credit facility, marketable securities, net debt, last twelve months (LTM) Adjusted EBITDA, and the ratio of net debt to LTM Adjusted EBITDA.

• Is Danaos involved in the drybulk shipping market?
  

  Yes. Danaos has invested in the drybulk sector through the acquisition of Capesize drybulk vessels. It reports a separate drybulk vessels segment and provides operating revenue, utilization and other metrics for this segment alongside its container vessels segment.