ARDMORE SHIPPING CORP (ASC) Stock Fundamental Analysis
USA - NYSE:ASC - MHY0207T1001 - Common Stock
12.81 USD
-0.02 (-0.16%)
12.81 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to ASC. ASC was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. ASC has an excellent financial health rating, but there are some minor concerns on its profitability. ASC is valued expensive and it does not seem to be growing.
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 has a Return On Assets (3.98%) which is comparable to the rest of the industry.
The Return On Equity of ASC (4.85%) is comparable to the rest of the industry.
ASC's Return On Invested Capital of 4.51% is on the low side compared to the rest of the industry. ASC is outperformed by 60.48% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ASC is significantly below the industry average of 21.85%.
The 3 year average ROIC (16.40%) for ASC is well above the current ROIC(4.51%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.98% | ||
| ROE | 4.85% | ||
| ROIC | 4.51% |
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
Looking at the Profit Margin, with a value of 10.29%, ASC is in line with its industry, outperforming 56.19% of the companies in the same industry.
Looking at the Operating Margin, with a value of 14.28%, ASC is in line with its industry, outperforming 46.67% of the companies in the same industry.
ASC's Operating Margin has improved in the last couple of years.
ASC has a Gross Margin (41.93%) which 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 | 14.28% | ||
| PM (TTM) | 10.29% | ||
| GM | 41.93% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 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
ASC has a better debt/assets ratio than last year.
2.2 Solvency
ASC has an Altman-Z score of 3.20. This indicates that ASC is financially healthy and has little risk of bankruptcy at the moment.
ASC's Altman-Z score of 3.20 is amongst the best of the industry. ASC outperforms 85.24% of its industry peers.
A Debt/Equity ratio of 0.18 indicates that ASC is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.18, ASC is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.2 |
ROIC/WACC0.52
WACC8.63%
2.3 Liquidity
ASC has a Current Ratio of 4.46. This indicates that ASC is financially healthy and has no problem in meeting its short term obligations.
ASC's Current ratio of 4.46 is amongst the best of the industry. ASC outperforms 89.05% of its industry peers.
A Quick Ratio of 4.08 indicates that ASC has no problem at all paying its short term obligations.
The Quick ratio of ASC (4.08) is better than 88.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.46 | ||
| Quick Ratio | 4.08 |
3. Growth
3.1 Past
The earnings per share for ASC have decreased strongly by -68.07% in the last year.
ASC shows a small growth in Revenue. In the last year, the Revenue has grown by 2.48%.
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)-68.07%
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 -6.33% yearly.
The Revenue is expected to decrease by -15.31% on average over the next years. This is quite bad
EPS Next Y-65.82%
EPS Next 2Y-30.17%
EPS Next 3Y-6.33%
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
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
ASC is valuated correctly with a Price/Earnings ratio of 14.08.
ASC's Price/Earnings ratio is in line with the industry average.
ASC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.89.
A Price/Forward Earnings ratio of 9.22 indicates a reasonable valuation of ASC.
80.00% of the companies in the same industry are more expensive than ASC, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, ASC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.08 | ||
| Fwd PE | 9.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ASC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.75 |
4.3 Compensation for Growth
A cheap valuation may be justified as ASC's earnings are expected to decrease with -6.33% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-30.17%
EPS Next 3Y-6.33%
5. Dividend
5.1 Amount
ASC has a Yearly Dividend Yield of 2.34%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.89, ASC has a dividend in line with its industry peers.
ASC's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.34% |
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 59.21% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP59.21%
EPS Next 2Y-30.17%
EPS Next 3Y-6.33%
12.81
-0.02 (-0.16%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners68.1%
Inst Owner Change-8.1%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap521.24M
Revenue(TTM)405.78M
Net Income(TTM)31.82M
Analysts84.44
Price Target13.67 (6.71%)
Short Float %5.52%
Short Ratio3.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.34% |
Yearly Dividend1.2
Dividend Growth(5Y)N/A
DP59.21%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.07%
Min EPS beat(2)10.01%
Max EPS beat(2)28.13%
EPS beat(4)3
Avg EPS beat(4)6.32%
Min EPS beat(4)-19.5%
Max EPS beat(4)28.13%
EPS beat(8)5
Avg EPS beat(8)3.92%
EPS beat(12)9
Avg EPS beat(12)4.09%
EPS beat(16)12
Avg EPS beat(16)9.06%
Revenue beat(2)2
Avg Revenue beat(2)64.97%
Min Revenue beat(2)59.03%
Max Revenue beat(2)70.9%
Revenue beat(4)3
Avg Revenue beat(4)35.39%
Min Revenue beat(4)-19.84%
Max Revenue beat(4)70.9%
Revenue beat(8)7
Avg Revenue beat(8)32.62%
Revenue beat(12)11
Avg Revenue beat(12)35.42%
Revenue beat(16)15
Avg Revenue beat(16)46.08%
PT rev (1m)0%
PT rev (3m)1.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)32.79%
EPS NY rev (1m)0.99%
EPS NY rev (3m)6.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)12.61%
Revenue NY rev (1m)-0.49%
Revenue NY rev (3m)7.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.08 | ||
| Fwd PE | 9.22 | ||
| P/S | 1.69 | ||
| P/FCF | N/A | ||
| P/OCF | 6.65 | ||
| P/B | 0.79 | ||
| P/tB | 0.79 | ||
| EV/EBITDA | 7.75 |
EPS(TTM)0.91
EY7.1%
EPS(NY)1.39
Fwd EY10.85%
FCF(TTM)-1.07
FCFYN/A
OCF(TTM)1.93
OCFY15.04%
SpS7.6
BVpS16.12
TBVpS16.12
PEG (NY)N/A
PEG (5Y)N/A
Graham Number18.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.98% | ||
| ROE | 4.85% | ||
| ROCE | 5.71% | ||
| ROIC | 4.51% | ||
| ROICexc | 4.8% | ||
| ROICexgc | 4.8% | ||
| OM | 14.28% | ||
| PM (TTM) | 10.29% | ||
| GM | 41.93% | ||
| FCFM | N/A |
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-Score4
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.52 | ||
| Cap/Depr | 380.02% | ||
| Cap/Sales | 39.48% | ||
| Interest Coverage | 8.89 | ||
| Cash Conversion | 102.73% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.46 | ||
| Quick Ratio | 4.08 | ||
| Altman-Z | 3.2 |
F-Score4
WACC8.63%
ROIC/WACC0.52
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)-68.07%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y-65.82%
EPS Next 2Y-30.17%
EPS Next 3Y-6.33%
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-69.86%
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-124.01%
FCF growth 3YN/A
FCF growth 5Y41.1%
OCF growth 1Y-61.11%
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 4 / 10 to ASC.
What is the valuation status of ARDMORE SHIPPING CORP (ASC) stock?
ChartMill assigns a valuation rating of 3 / 10 to ARDMORE SHIPPING CORP (ASC). This can be considered as Overvalued.
What is the profitability of ASC stock?
ARDMORE SHIPPING CORP (ASC) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for ASC stock?
The Price/Earnings (PE) ratio for ARDMORE SHIPPING CORP (ASC) is 14.08 and the Price/Book (PB) ratio is 0.79.
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 -65.82% in the next year.