ARDMORE SHIPPING CORP (ASC) Stock Fundamental Analysis
NYSE:ASC - New York Stock Exchange, Inc. - MHY0207T1001 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to ASC. ASC was compared to 210 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 is cheap, but on the other hand it scores bad on growth. With these ratings, ASC could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year ASC was profitable.
ASC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ASC reported negative net income in multiple years.
Of the past 5 years ASC 4 years had a positive operating cash flow.
1.2 Ratios
ASC has a better Return On Assets (20.71%) than 92.23% of its industry peers.
Looking at the Return On Equity, with a value of 22.54%, ASC is in the better half of the industry, outperforming 77.67% of the companies in the same industry.
With an excellent Return On Invested Capital value of 16.89%, ASC belongs to the best of the industry, outperforming 85.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.71% | ||
| ROE | 22.54% | ||
| ROIC | 16.89% |
ROA(3y)9.94%
ROA(5y)5.21%
ROE(3y)11.61%
ROE(5y)5.19%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ASC has a better Profit Margin (35.42%) than 85.44% of its industry peers.
ASC has a Operating Margin of 34.69%. This is in the better half of the industry: ASC outperforms 70.39% of its industry peers.
In the last couple of years the Operating Margin of ASC has grown nicely.
The Gross Margin of ASC (54.27%) 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 | 34.69% | ||
| PM (TTM) | 35.42% | ||
| GM | 54.27% |
OM growth 3Y56.45%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.17%
GM growth 5Y19.24%
2. Health
2.1 Basic Checks
ASC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for ASC has been increased 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 6.87 indicates that ASC is not in any danger for bankruptcy at the moment.
The Altman-Z score of ASC (6.87) is better than 91.75% of its industry peers.
The Debt to FCF ratio of ASC is 0.25, which is an excellent value as it means it would take ASC, only 0.25 years of fcf income to pay off all of its debts.
ASC's Debt to FCF ratio of 0.25 is amongst the best of the industry. ASC outperforms 90.78% of its industry peers.
ASC has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
ASC has a better Debt to Equity ratio (0.03) than 82.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 6.87 |
ROIC/WACC1.92
WACC8.79%
2.3 Liquidity
ASC has a Current Ratio of 3.57. This indicates that ASC is financially healthy and has no problem in meeting its short term obligations.
ASC has a Current ratio of 3.57. This is amongst the best in the industry. ASC outperforms 83.50% of its industry peers.
A Quick Ratio of 3.26 indicates that ASC has no problem at all paying its short term obligations.
ASC's Quick ratio of 3.26 is amongst the best of the industry. ASC outperforms 83.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.57 | ||
| Quick Ratio | 3.26 |
3. Growth
3.1 Past
The earnings per share for ASC have decreased by -5.00% in the last year.
ASC shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 257.00% yearly.
The Revenue has decreased by -1.67% in the past year.
ASC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.50% yearly.
EPS 1Y (TTM)-5%
EPS 3Y257%
EPS 5YN/A
EPS Q2Q%12.24%
Revenue 1Y (TTM)-1.67%
Revenue growth 3Y21.62%
Revenue growth 5Y13.5%
Sales Q2Q%10.56%
3.2 Future
ASC is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -11.01% yearly.
Based on estimates for the next years, ASC will show a very negative growth in Revenue. The Revenue will decrease by -12.29% on average per year.
EPS Next Y15.36%
EPS Next 2Y-16.53%
EPS Next 3Y-14.31%
EPS Next 5Y-11.01%
Revenue Next Year15.64%
Revenue Next 2Y-10.67%
Revenue Next 3Y-8.84%
Revenue Next 5Y-12.29%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
ASC is valuated cheaply with a Price/Earnings ratio of 3.67.
ASC's Price/Earnings ratio is rather cheap when compared to the industry. ASC is cheaper than 94.17% of the companies in the same industry.
ASC is valuated cheaply when we compare the Price/Earnings ratio to 28.46, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 6.24, the valuation of ASC can be described as very cheap.
ASC's Price/Forward Earnings ratio is rather cheap when compared to the industry. ASC is cheaper than 83.50% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 92.56. ASC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.67 | ||
| Fwd PE | 6.24 |
4.2 Price Multiples
ASC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ASC is cheaper than 91.26% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ASC indicates a rather cheap valuation: ASC is cheaper than 84.95% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.54 | ||
| EV/EBITDA | 2.71 |
4.3 Compensation for Growth
ASC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ASC has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as ASC's earnings are expected to decrease with -14.31% in the coming years.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y-16.53%
EPS Next 3Y-14.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 9.36%, ASC is a good candidate for dividend investing.
ASC's Dividend Yield is rather good when compared to the industry average which is at 6.54. ASC pays more dividend than 85.44% of the companies in the same industry.
ASC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.36% |
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
ASC pays out 31.75% of its income as dividend. This is a sustainable payout ratio.
DP31.75%
EPS Next 2Y-16.53%
EPS Next 3Y-14.31%
ARDMORE SHIPPING CORP
NYSE:ASC (1/31/2025, 8:11:40 PM)
After market: 11.8795 +0.01 (+0.08%)11.87
-0.15 (-1.25%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners74.95%
Inst Owner Change-0.16%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap496.64M
Analysts78
Price Target18.97 (59.81%)
Short Float %5.79%
Short Ratio2.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.36% |
Yearly Dividend1.23
Dividend Growth(5Y)N/A
DP31.75%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.56%
Min EPS beat(2)-12.49%
Max EPS beat(2)9.37%
EPS beat(4)2
Avg EPS beat(4)1.53%
Min EPS beat(4)-12.49%
Max EPS beat(4)9.37%
EPS beat(8)6
Avg EPS beat(8)2.98%
EPS beat(12)9
Avg EPS beat(12)9.98%
EPS beat(16)12
Avg EPS beat(16)10.1%
Revenue beat(2)2
Avg Revenue beat(2)27.93%
Min Revenue beat(2)27.69%
Max Revenue beat(2)28.17%
Revenue beat(4)4
Avg Revenue beat(4)29.85%
Min Revenue beat(4)27.69%
Max Revenue beat(4)31.85%
Revenue beat(8)8
Avg Revenue beat(8)35.43%
Revenue beat(12)12
Avg Revenue beat(12)49.65%
Revenue beat(16)16
Avg Revenue beat(16)57.02%
PT rev (1m)0%
PT rev (3m)-22.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-51.99%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-27.74%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.67 | ||
| Fwd PE | 6.24 | ||
| P/S | 1.18 | ||
| P/FCF | 5.54 | ||
| P/OCF | 3.18 | ||
| P/B | 0.75 | ||
| P/tB | 0.75 | ||
| EV/EBITDA | 2.71 |
EPS(TTM)3.23
EY27.21%
EPS(NY)1.9
Fwd EY16.02%
FCF(TTM)2.14
FCFY18.07%
OCF(TTM)3.73
OCFY31.45%
SpS10.1
BVpS15.87
TBVpS15.87
PEG (NY)0.24
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.71% | ||
| ROE | 22.54% | ||
| ROCE | 21.38% | ||
| ROIC | 16.89% | ||
| ROICexc | 18.15% | ||
| ROICexgc | 18.15% | ||
| OM | 34.69% | ||
| PM (TTM) | 35.42% | ||
| GM | 54.27% | ||
| FCFM | 21.23% |
ROA(3y)9.94%
ROA(5y)5.21%
ROE(3y)11.61%
ROE(5y)5.19%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y92.37%
ROICexcg growth 5YN/A
ROICexc growth 3Y92.37%
ROICexc growth 5YN/A
OM growth 3Y56.45%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.17%
GM growth 5Y19.24%
F-Score7
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.25 | ||
| Debt/EBITDA | 0.11 | ||
| Cap/Depr | 225.03% | ||
| Cap/Sales | 15.72% | ||
| Interest Coverage | 25.21 | ||
| Cash Conversion | 88.66% | ||
| Profit Quality | 59.95% | ||
| Current Ratio | 3.57 | ||
| Quick Ratio | 3.26 | ||
| Altman-Z | 6.87 |
F-Score7
WACC8.79%
ROIC/WACC1.92
Cap/Depr(3y)37.94%
Cap/Depr(5y)37.54%
Cap/Sales(3y)2.91%
Cap/Sales(5y)3.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5%
EPS 3Y257%
EPS 5YN/A
EPS Q2Q%12.24%
EPS Next Y15.36%
EPS Next 2Y-16.53%
EPS Next 3Y-14.31%
EPS Next 5Y-11.01%
Revenue 1Y (TTM)-1.67%
Revenue growth 3Y21.62%
Revenue growth 5Y13.5%
Sales Q2Q%10.56%
Revenue Next Year15.64%
Revenue Next 2Y-10.67%
Revenue Next 3Y-8.84%
Revenue Next 5Y-12.29%
EBIT growth 1Y-6.31%
EBIT growth 3Y90.27%
EBIT growth 5YN/A
EBIT Next Year33.85%
EBIT Next 3Y-8.04%
EBIT Next 5Y-3.65%
FCF growth 1Y48.31%
FCF growth 3Y74.78%
FCF growth 5YN/A
OCF growth 1Y148.29%
OCF growth 3Y51.28%
OCF growth 5Y76.19%