UPDATE: Stifel Downgrades Navios Maritime Partners on Valuation

In a report published Friday, Stifel analyst Benjamin Nolan downgraded Navios Maritime Parners (NYSE: NMM) to Hold from Buy on valuation.

According to the report, with dry bulk making up the majority of NMM's fleet, analysts believe the partnership is situated to be a beneficiary from a cyclical improvement in the dry bulk market.

“While just over half the dry bulk fleet comes off charter in 2014, the balance along with the recent containership acquisition should provide sufficient fixed cash flow support for distributions,” the report noted. “In fact, we estimate that NMM has a distribution coverage ratio of 1.23 times in 2014 and 1.26 times in 2015, giving the partnership increased ability to maintain or perhaps modestly increase current distributions.”

Some highlights from the report included:

-Limited Capacity to Grow Cash Flows Without Acquisitions -Limited Capital Appreciation Potential from These Levels

NMM closed Thursday at $19.04.