ARDMORE SHIPPING CORP (ASC) Stock Fundamental Analysis
USA - NYSE:ASC - MHY0207T1001 - Common Stock
12.46 USD
-0.11 (-0.88%)
12.46 USD
0 (0%)
Taking everything into account, ASC scores 6 out of 10 in our fundamental rating. ASC was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. While ASC has a great health rating, its profitability is only average at the moment. ASC has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ASC had positive earnings in the past year.
In the past year ASC had a positive cash flow from operations.
In multiple years ASC reported negative net income over the last 5 years.
Of the past 5 years ASC 4 years had a positive operating cash flow.
1.2 Ratios
ASC's Return On Assets of 6.10% is fine compared to the rest of the industry. ASC outperforms 68.90% of its industry peers.
ASC's Return On Equity of 6.65% is in line compared to the rest of the industry. ASC outperforms 48.33% of its industry peers.
ASC has a Return On Invested Capital (6.39%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for ASC is significantly below the industry average of 21.71%.
The 3 year average ROIC (16.40%) for ASC is well above the current ROIC(6.39%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.1% | ||
| ROE | 6.65% | ||
| ROIC | 6.39% |
ROA(3y)17.77%
ROA(5y)9.45%
ROE(3y)22.22%
ROE(5y)10.64%
ROIC(3y)16.4%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of ASC (13.25%) is better than 62.68% of its industry peers.
ASC has a Operating Margin of 16.80%. This is comparable to the rest of the industry: ASC outperforms 48.80% of its industry peers.
ASC's Operating Margin has improved in the last couple of years.
The Gross Margin of ASC (43.47%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ASC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.8% | ||
| PM (TTM) | 13.25% | ||
| GM | 43.47% |
OM growth 3YN/A
OM growth 5Y35.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y32.83%
GM growth 5Y11.07%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ASC is creating value.
The number of shares outstanding for ASC has been reduced compared to 1 year ago.
Compared to 5 years ago, ASC has more shares outstanding
Compared to 1 year ago, ASC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.53 indicates that ASC is not in any danger for bankruptcy at the moment.
The Altman-Z score of ASC (6.53) is better than 90.91% of its industry peers.
ASC has a debt to FCF ratio of 0.31. This is a very positive value and a sign of high solvency as it would only need 0.31 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.31, ASC belongs to the best of the industry, outperforming 91.87% of the companies in the same industry.
ASC has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.04, ASC is in the better half of the industry, outperforming 79.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.31 | ||
| Altman-Z | 6.53 |
ROIC/WACC0.75
WACC8.58%
2.3 Liquidity
A Current Ratio of 3.88 indicates that ASC has no problem at all paying its short term obligations.
The Current ratio of ASC (3.88) is better than 88.04% of its industry peers.
A Quick Ratio of 3.56 indicates that ASC has no problem at all paying its short term obligations.
ASC's Quick ratio of 3.56 is amongst the best of the industry. ASC outperforms 87.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.88 | ||
| Quick Ratio | 3.56 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.40% over the past year.
The Revenue has been growing slightly by 2.48% in the past year.
Measured over the past years, ASC shows a quite strong growth in Revenue. The Revenue has been growing by 12.02% on average per year.
EPS 1Y (TTM)4.4%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)2.48%
Revenue growth 3Y28.22%
Revenue growth 5Y12.02%
Sales Q2Q%-39.94%
3.2 Future
ASC is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -6.30% yearly.
The Revenue is expected to decrease by -15.31% on average over the next years. This is quite bad
EPS Next Y-66.16%
EPS Next 2Y-30.19%
EPS Next 3Y-6.3%
EPS Next 5YN/A
Revenue Next Year-48.98%
Revenue Next 2Y-21.67%
Revenue Next 3Y-15.31%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 4.37, which indicates a rather cheap valuation of ASC.
Compared to the rest of the industry, the Price/Earnings ratio of ASC indicates a rather cheap valuation: ASC is cheaper than 93.30% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.76, ASC is valued rather cheaply.
With a Price/Forward Earnings ratio of 8.97, the valuation of ASC can be described as very reasonable.
ASC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ASC is cheaper than 77.99% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ASC to the average of the S&P500 Index (22.63), we can say ASC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.37 | ||
| Fwd PE | 8.97 |
4.2 Price Multiples
70.81% of the companies in the same industry are more expensive than ASC, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ASC is valued cheaply inside the industry as 85.65% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.24 | ||
| EV/EBITDA | 5.68 |
4.3 Compensation for Growth
A cheap valuation may be justified as ASC's earnings are expected to decrease with -6.30% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-30.19%
EPS Next 3Y-6.3%
5. Dividend
5.1 Amount
ASC has a Yearly Dividend Yield of 3.03%. Purely for dividend investing, there may be better candidates out there.
ASC's Dividend Yield is comparable with the industry average which is at 6.15.
Compared to an average S&P500 Dividend Yield of 2.31, ASC pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
5.2 History
ASC has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
74.72% of the earnings are spent on dividend by ASC. This is not a sustainable payout ratio.
DP74.72%
EPS Next 2Y-30.19%
EPS Next 3Y-6.3%
12.46
-0.11 (-0.88%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners68.1%
Inst Owner Change-7.24%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap507.00M
Revenue(TTM)405.78M
Net Income(TTM)42.96M
Analysts84.44
Price Target13.67 (9.71%)
Short Float %5.52%
Short Ratio3.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
Yearly Dividend1.2
Dividend Growth(5Y)N/A
DP74.72%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.38%
Min EPS beat(2)6.63%
Max EPS beat(2)28.13%
EPS beat(4)2
Avg EPS beat(4)0.69%
Min EPS beat(4)-19.5%
Max EPS beat(4)28.13%
EPS beat(8)5
Avg EPS beat(8)4%
EPS beat(12)9
Avg EPS beat(12)3.81%
EPS beat(16)11
Avg EPS beat(16)8.3%
Revenue beat(2)1
Avg Revenue beat(2)19.6%
Min Revenue beat(2)-19.84%
Max Revenue beat(2)59.03%
Revenue beat(4)3
Avg Revenue beat(4)24.7%
Min Revenue beat(4)-19.84%
Max Revenue beat(4)59.03%
Revenue beat(8)7
Avg Revenue beat(8)29.34%
Revenue beat(12)11
Avg Revenue beat(12)34.27%
Revenue beat(16)15
Avg Revenue beat(16)47.08%
PT rev (1m)2.55%
PT rev (3m)1.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)27.96%
EPS NY rev (1m)0%
EPS NY rev (3m)5.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)14.26%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)-20.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.37 | ||
| Fwd PE | 8.97 | ||
| P/S | 1.56 | ||
| P/FCF | 6.24 | ||
| P/OCF | 5.05 | ||
| P/B | 0.78 | ||
| P/tB | 0.78 | ||
| EV/EBITDA | 5.68 |
EPS(TTM)2.85
EY22.87%
EPS(NY)1.39
Fwd EY11.15%
FCF(TTM)2
FCFY16.03%
OCF(TTM)2.47
OCFY19.79%
SpS7.97
BVpS15.88
TBVpS15.88
PEG (NY)N/A
PEG (5Y)N/A
Graham Number31.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.1% | ||
| ROE | 6.65% | ||
| ROCE | 8.09% | ||
| ROIC | 6.39% | ||
| ROICexc | 6.9% | ||
| ROICexgc | 6.9% | ||
| OM | 16.8% | ||
| PM (TTM) | 13.25% | ||
| GM | 43.47% | ||
| FCFM | 25.08% |
ROA(3y)17.77%
ROA(5y)9.45%
ROE(3y)22.22%
ROE(5y)10.64%
ROIC(3y)16.4%
ROIC(5y)N/A
ROICexc(3y)17.67%
ROICexc(5y)N/A
ROICexgc(3y)17.67%
ROICexgc(5y)N/A
ROCE(3y)20.75%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y52.79%
ROICexc growth 3YN/A
ROICexc growth 5Y52.79%
OM growth 3YN/A
OM growth 5Y35.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y32.83%
GM growth 5Y11.07%
F-Score5
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.31 | ||
| Debt/EBITDA | 0.29 | ||
| Cap/Depr | 61.03% | ||
| Cap/Sales | 5.88% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 117.13% | ||
| Profit Quality | 189.23% | ||
| Current Ratio | 3.88 | ||
| Quick Ratio | 3.56 | ||
| Altman-Z | 6.53 |
F-Score5
WACC8.58%
ROIC/WACC0.75
Cap/Depr(3y)102.83%
Cap/Depr(5y)76.45%
Cap/Sales(3y)7.49%
Cap/Sales(5y)6.69%
Profit Quality(3y)94.73%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.4%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y-66.16%
EPS Next 2Y-30.19%
EPS Next 3Y-6.3%
EPS Next 5YN/A
Revenue 1Y (TTM)2.48%
Revenue growth 3Y28.22%
Revenue growth 5Y12.02%
Sales Q2Q%-39.94%
Revenue Next Year-48.98%
Revenue Next 2Y-21.67%
Revenue Next 3Y-15.31%
Revenue Next 5YN/A
EBIT growth 1Y-62.51%
EBIT growth 3YN/A
EBIT growth 5Y51.26%
EBIT Next Year-39.42%
EBIT Next 3Y-2.19%
EBIT Next 5YN/A
FCF growth 1Y-59.21%
FCF growth 3YN/A
FCF growth 5Y41.1%
OCF growth 1Y-53.15%
OCF growth 3YN/A
OCF growth 5Y50.91%
ARDMORE SHIPPING CORP / ASC FAQ
Can you provide the ChartMill fundamental rating for ARDMORE SHIPPING CORP?
ChartMill assigns a fundamental rating of 6 / 10 to ASC.
What is the valuation status of ARDMORE SHIPPING CORP (ASC) stock?
ChartMill assigns a valuation rating of 6 / 10 to ARDMORE SHIPPING CORP (ASC). This can be considered as Fairly Valued.
What is the profitability of ASC stock?
ARDMORE SHIPPING CORP (ASC) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for ASC stock?
The Price/Earnings (PE) ratio for ARDMORE SHIPPING CORP (ASC) is 4.37 and the Price/Book (PB) ratio is 0.78.
Can you provide the expected EPS growth for ASC stock?
The Earnings per Share (EPS) of ARDMORE SHIPPING CORP (ASC) is expected to decline by -66.16% in the next year.