NYSE:INSW, an undervalued stock with good fundamentals.

Last update: Sep 27, 2024

Consider INTERNATIONAL SEAWAYS INC (NYSE:INSW) as a top value stock, identified by our stock screening tool. NYSE:INSW shines in terms of profitability, solvency, and liquidity, all while remaining very reasonably priced. Let's dive deeper into the analysis.

What does the Valuation looks like for NYSE:INSW

ChartMill assigns a Valuation Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing different valuation elements, such as price to earnings and free cash flow, both in absolute terms and relative to the market and industry. In the case of NYSE:INSW, the assigned 7 reflects its valuation:

Based on the Price/Earnings ratio of 5.47, the valuation of INSW can be described as very cheap.
Based on the Price/Earnings ratio, INSW is valued cheaper than 87.50% of the companies in the same industry.
INSW's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 30.91.
INSW is valuated cheaply with a Price/Forward Earnings ratio of 4.78.
Compared to the rest of the industry, the Price/Forward Earnings ratio of INSW indicates a rather cheap valuation: INSW is cheaper than 89.42% of the companies listed in the same industry.
INSW's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.30.
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of INSW indicates a somewhat cheap valuation: INSW is cheaper than 65.87% of the companies listed in the same industry.
INSW's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. INSW is cheaper than 79.81% of the companies in the same industry.
The decent profitability rating of INSW may justify a higher PE ratio.

Analyzing Profitability Metrics

ChartMill assigns a Profitability Rating to every stock. This score ranges from 0 to 10 and evaluates the different profitability ratios and margins, both absolutely, but also relative to the industry peers. NYSE:INSW scores a 7 out of 10:

INSW has a Return On Assets of 19.40%. This is amongst the best in the industry. INSW outperforms 90.38% of its industry peers.
INSW has a Return On Equity of 27.50%. This is amongst the best in the industry. INSW outperforms 83.65% of its industry peers.
With an excellent Return On Invested Capital value of 15.96%, INSW belongs to the best of the industry, outperforming 85.58% of the companies in the same industry.
INSW has a Profit Margin of 50.67%. This is amongst the best in the industry. INSW outperforms 90.38% of its industry peers.
With an excellent Operating Margin value of 50.56%, INSW belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
INSW's Operating Margin has improved in the last couple of years.
The Gross Margin of INSW (69.85%) is better than 76.44% of its industry peers.
In the last couple of years the Gross Margin of INSW has grown nicely.

ChartMill's Evaluation of Health

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:INSW has earned a 8 out of 10:

An Altman-Z score of 3.31 indicates that INSW is not in any danger for bankruptcy at the moment.
INSW has a Altman-Z score of 3.31. This is in the better half of the industry: INSW outperforms 78.85% of its industry peers.
The Debt to FCF ratio of INSW is 1.89, which is an excellent value as it means it would take INSW, only 1.89 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.89, INSW is in the better half of the industry, outperforming 78.37% of the companies in the same industry.
A Debt/Equity ratio of 0.35 indicates that INSW is not too dependend on debt financing.
A Current Ratio of 3.89 indicates that INSW has no problem at all paying its short term obligations.
The Current ratio of INSW (3.89) is better than 85.10% of its industry peers.
INSW has a Quick Ratio of 3.87. This indicates that INSW is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.87, INSW belongs to the top of the industry, outperforming 85.58% of the companies in the same industry.

Unpacking NYSE:INSW's Growth Rating

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 4 out of 10:

The Earnings Per Share has been growing by 34.71% on average over the past years. 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 31.71% on average per year.

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For an up to date full fundamental analysis you can check the fundamental report of INSW

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.