Don't overlook NYSE:LPG—it's a hidden gem with strong fundamentals and an attractive price tag.

Discover DORIAN LPG LTD (NYSE:LPG)—an undervalued stock our stock screener has picked out. NYSE:LPG demonstrates solid fundamentals, including health and profitability, all while staying attractively priced. Let's explore the details.

A Closer Look at Valuation for NYSE:LPG

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:LPG was assigned a score of 8 for valuation:

• LPG is valuated cheaply with a Price/Earnings ratio of 4.53.
• 93.75% of the companies in the same industry are more expensive than LPG, based on the Price/Earnings ratio.
• LPG is valuated cheaply when we compare the Price/Earnings ratio to 30.59, which is the current average of the S&P500 Index.
• The Price/Forward Earnings ratio is 6.04, which indicates a rather cheap valuation of LPG.
• Based on the Price/Forward Earnings ratio, LPG is valued a bit cheaper than 79.81% of the companies in the same industry.
• The average S&P500 Price/Forward Earnings ratio is at 22.11. LPG is valued rather cheaply when compared to this.
• Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LPG indicates a somewhat cheap valuation: LPG is cheaper than 73.08% of the companies listed in the same industry.
• 89.42% of the companies in the same industry are more expensive than LPG, based on the Price/Free Cash Flow ratio.
• The excellent profitability rating of LPG may justify a higher PE ratio.

What does the Profitability looks like for NYSE:LPG

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:LPG has achieved a 9:

• LPG has a Return On Assets of 16.06%. This is amongst the best in the industry. LPG outperforms 87.50% of its industry peers.
• LPG has a Return On Equity of 27.41%. This is amongst the best in the industry. LPG outperforms 83.17% of its industry peers.
• LPG has a better Return On Invested Capital (14.34%) than 81.25% of its industry peers.
• The 3 year average ROIC (9.72%) for LPG is below the current ROIC(14.34%), indicating increased profibility in the last year.
• The Profit Margin of LPG (54.48%) is better than 91.35% of its industry peers.
• In the last couple of years the Profit Margin of LPG has grown nicely.
• Looking at the Operating Margin, with a value of 58.33%, LPG belongs to the top of the industry, outperforming 91.35% of the companies in the same industry.
• In the last couple of years the Operating Margin of LPG has grown nicely.
• With an excellent Gross Margin value of 91.67%, LPG belongs to the best of the industry, outperforming 95.67% of the companies in the same industry.

Analyzing Health Metrics

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NYSE:LPG was assigned a score of 8 for health:

• The Altman-Z score of LPG (2.49) is better than 68.27% of its industry peers.
• LPG has a debt to FCF ratio of 1.77. This is a very positive value and a sign of high solvency as it would only need 1.77 years to pay back of all of its debts.
• LPG has a better Debt to FCF ratio (1.77) than 79.33% of its industry peers.
• A Debt/Equity ratio of 0.48 indicates that LPG is not too dependend on debt financing.
• LPG has a Current Ratio of 4.60. This indicates that LPG is financially healthy and has no problem in meeting its short term obligations.
• The Current ratio of LPG (4.60) is better than 86.54% of its industry peers.
• A Quick Ratio of 4.58 indicates that LPG has no problem at all paying its short term obligations.
• LPG has a better Quick ratio (4.58) than 87.02% of its industry peers.

Looking at the Growth

ChartMill assigns a proprietary Growth Rating to each stock. The score is computed by evaluating various growth aspects, like EPS and revenue growth. We take into account the history as well as the estimated future numbers. NYSE:LPG was assigned a score of 6 for growth:

• The Earnings Per Share has grown by an impressive 56.88% over the past year.
• The Earnings Per Share has been growing by 63.39% on average over the past years. This is a very strong growth
• Looking at the last year, LPG shows a very strong growth in Revenue. The Revenue has grown by 32.75%.
• LPG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 28.83% yearly.

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

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

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.