Analysts believe a pull-back in dry cargo stocks as rates soften represent a buying opportunity rather than an alarm bell for investors.

Bulker stocks have come off the boil in the past month as the spot market weakened amid reduced demand and seasonal changes.

Morgan Stanley and Deutsche Bank peg the decline in the dry cargo peer group at between 25% and 20% during the past month.

Morgan Stanley analyst Fotis Giannakoulis says the pull-back is "overdone" and provides an attractive entry point.