Despite its impressive fundamentals, NYSE:INSW remains undervalued.

Last update: Jan 1, 2024

Our stock screening tool has pinpointed INTERNATIONAL SEAWAYS INC (NYSE:INSW) as an undervalued stock. NYSE:INSW maintains a solid financial footing. Furthermore, it remains attractively priced. Let's delve into the specifics below.

Deciphering NYSE:INSW's Valuation Rating

ChartMill assigns a proprietary Valuation Rating to each stock. The score is computed by evaluating various valuation aspects, like price to earnings and free cash flow, both absolutely as relative to the market and industry. NYSE:INSW was assigned a score of 9 for valuation:

INSW is valuated cheaply with a Price/Earnings ratio of 3.60.
Based on the Price/Earnings ratio, INSW is valued cheaper than 87.96% of the companies in the same industry.
INSW is valuated cheaply when we compare the Price/Earnings ratio to 26.08, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 4.40, which indicates a rather cheap valuation of INSW.
Compared to the rest of the industry, the Price/Forward Earnings ratio of INSW indicates a rather cheap valuation: INSW is cheaper than 90.28% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of INSW to the average of the S&P500 Index (20.99), we can say INSW is valued rather cheaply.
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of INSW indicates a somewhat cheap valuation: INSW is cheaper than 74.54% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, INSW is valued cheaply inside the industry as 85.19% of the companies are valued more expensively.
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
INSW has a very decent profitability rating, which may justify a higher PE ratio.

Exploring NYSE:INSW's Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:INSW was assigned a score of 6 for profitability:

The Return On Assets of INSW (25.10%) is better than 85.19% of its industry peers.
Looking at the Return On Equity, with a value of 38.95%, INSW belongs to the top of the industry, outperforming 81.02% of the companies in the same industry.
The Return On Invested Capital of INSW (22.64%) is better than 83.33% of its industry peers.
INSW's Profit Margin of 55.44% is amongst the best of the industry. INSW outperforms 88.43% of its industry peers.
With an excellent Operating Margin value of 58.69%, INSW belongs to the best of the industry, outperforming 87.96% of the companies in the same industry.
In the last couple of years the Operating Margin of INSW has grown nicely.
INSW has a Gross Margin of 74.09%. This is in the better half of the industry: INSW outperforms 79.63% of its industry peers.
In the last couple of years the Gross Margin of INSW has grown nicely.

Evaluating Health: NYSE:INSW

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NYSE:INSW, the assigned 8 reflects its health status:

INSW has an Altman-Z score of 3.01. This indicates that INSW is financially healthy and has little risk of bankruptcy at the moment.
INSW's Altman-Z score of 3.01 is fine compared to the rest of the industry. INSW outperforms 73.61% of its industry peers.
INSW has a debt to FCF ratio of 1.61. This is a very positive value and a sign of high solvency as it would only need 1.61 years to pay back of all of its debts.
INSW has a better Debt to FCF ratio (1.61) than 75.00% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that INSW is not too dependend on debt financing.
A Current Ratio of 2.53 indicates that INSW has no problem at all paying its short term obligations.
The Current ratio of INSW (2.53) is better than 79.17% of its industry peers.
A Quick Ratio of 2.52 indicates that INSW has no problem at all paying its short term obligations.
INSW has a better Quick ratio (2.52) than 80.09% of its industry peers.

How We Gauge Growth for NYSE:INSW

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:INSW boasts a 8 out of 10:

The Earnings Per Share has grown by an impressive 357.97% over the past year.
Measured over the past years, INSW shows a very strong growth in Earnings Per Share. The EPS has been growing by 137.65% on average per year.
The Revenue has grown by 86.61% in the past year. This is a very strong growth!
Measured over the past years, INSW shows a very strong growth in Revenue. The Revenue has been growing by 24.41% on average per year.
INSW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.43% yearly.
INSW is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.42% yearly.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

Our latest full fundamental report of INSW contains the most current fundamental analsysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.