Despite its impressive fundamentals, NYSE:LPG remains undervalued.

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.

Understanding NYSE:LPG's Valuation Score

To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. NYSE:LPG has achieved a 8 out of 10:

• LPG is valuated cheaply with a Price/Earnings ratio of 6.97.
• Compared to the rest of the industry, the Price/Earnings ratio of LPG indicates a somewhat cheap valuation: LPG is cheaper than 68.06% of the companies listed in the same industry.
• LPG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.08.
• The Price/Forward Earnings ratio is 7.81, which indicates a rather cheap valuation of LPG.
• Based on the Price/Forward Earnings ratio, LPG is valued a bit cheaper than the industry average as 68.06% of the companies are valued more expensively.
• When comparing the Price/Forward Earnings ratio of LPG to the average of the S&P500 Index (20.99), we can say LPG is valued rather cheaply.
• Based on the Price/Free Cash Flow ratio, LPG is valued a bit cheaper than the industry average as 70.83% of the companies are valued more expensively.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• LPG has an outstanding profitability rating, which may justify a higher PE ratio.

Analyzing Profitability Metrics

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NYSE:LPG, the assigned 8 is a significant indicator of profitability:

• LPG's Return On Assets of 14.32% is fine compared to the rest of the industry. LPG outperforms 72.69% of its industry peers.
• With a decent Return On Equity value of 27.67%, LPG is doing good in the industry, outperforming 67.13% of the companies in the same industry.
• Looking at the Return On Invested Capital, with a value of 13.07%, LPG is in the better half of the industry, outperforming 62.96% of the companies in the same industry.
• The last Return On Invested Capital (13.07%) for LPG is above the 3 year average (6.77%), which is a sign of increasing profitability.
• The Profit Margin of LPG (51.80%) is better than 87.50% of its industry peers.
• In the last couple of years the Profit Margin of LPG has grown nicely.
• LPG has a Operating Margin of 56.31%. This is amongst the best in the industry. LPG outperforms 86.57% of its industry peers.
• LPG's Operating Margin has improved in the last couple of years.
• LPG has a Gross Margin of 92.30%. This is amongst the best in the industry. LPG outperforms 95.83% of its industry peers.

Unpacking NYSE:LPG's Health Rating

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:LPG has achieved a 7 out of 10:

• LPG has a better Altman-Z score (2.37) than 61.57% of its industry peers.
• LPG has a debt to FCF ratio of 2.66. This is a good value and a sign of high solvency as LPG would need 2.66 years to pay back of all of its debts.
• LPG has a Debt to FCF ratio of 2.66. This is in the better half of the industry: LPG outperforms 65.28% of its industry peers.
• LPG has a Current Ratio of 2.63. This indicates that LPG is financially healthy and has no problem in meeting its short term obligations.
• LPG has a Current ratio of 2.63. This is in the better half of the industry: LPG outperforms 79.63% of its industry peers.
• LPG has a Quick Ratio of 2.61. This indicates that LPG is financially healthy and has no problem in meeting its short term obligations.
• LPG's Quick ratio of 2.61 is amongst the best of the industry. LPG outperforms 81.02% of its industry peers.

Growth Insights: NYSE:LPG

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:LPG boasts a 5 out of 10:

• The Earnings Per Share has grown by an impressive 222.56% over the past year.
• Measured over the past years, LPG shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.53% on average per year.
• LPG shows a strong growth in Revenue. In the last year, the Revenue has grown by 63.85%.
• LPG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.59% yearly.

More Decent Value stocks can be found in our Decent Value screener.

Our latest full fundamental report of LPG contains the most current fundamental analsysis.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.