The Suez Canal blockage has come as a major problem for global trade and commerce over the past few days. However, these situations can often work to the advantage of certain companies and it seems Nordic American Tanker (NYSE: NAT) is one of those.
This past Friday the Nordic American stock soared by as high as 15% after the company’s management made a major announcement. The Chief Executive Officer and founder of the company Herbjorn Hansson stated in a note last Thursday that freight rates are expected to rise since ships will have to go around Africa.
Such a situation is going to be beneficial for Nordic American. Hence, the rally in the stock price on Friday was understandable. However, that is not all, Hansson’s son Alexander Hansson, who is also a member of the company’s board, bought as many as 5000 shares in Nordic American recently. He paid $3.69 for each share. That reflects the sentiments of the company’s management with regards to its prospects.
Writing for business and finance publishers has become his passion over the last decades after he completed a master’s degree in Financial Management. Sharing some opinions and forecasts to thousands of readers is a routine job for him but he never promises to invest in one stock.