ARDMORE SHIPPING CORP (ASC) Stock Fundamental Analysis
USA - NYSE:ASC - MHY0207T1001 - Common Stock
12.535 USD
+0.63 (+5.25%)
We assign a fundamental rating of 6 out of 10 to ASC. ASC was compared to 211 industry peers in the Oil, Gas & Consumable Fuels industry. ASC is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. ASC is valued correctly, but 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.
The reported net income has been mixed in the past 5 years: ASC reported negative net income in multiple years.
ASC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
ASC has a Return On Assets of 6.10%. This is in the better half of the industry: ASC outperforms 68.72% of its industry peers.
ASC has a Return On Equity of 6.65%. This is comparable to the rest of the industry: ASC outperforms 48.82% of its industry peers.
ASC has a Return On Invested Capital of 6.39%. This is comparable to the rest of the industry: ASC outperforms 57.82% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ASC is significantly below the industry average of 21.53%.
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
ASC has a Profit Margin of 13.25%. This is in the better half of the industry: ASC outperforms 63.03% of its industry peers.
Looking at the Operating Margin, with a value of 16.80%, ASC is in line with its industry, outperforming 48.82% of the companies in the same industry.
ASC's Operating Margin has improved in the last couple of years.
ASC has a Gross Margin (43.47%) which is in line with its industry peers.
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
ASC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, ASC has less shares outstanding
The number of shares outstanding for ASC has been increased compared to 5 years ago.
The debt/assets ratio for ASC has been reduced compared to a year ago.
2.2 Solvency
ASC has an Altman-Z score of 6.25. This indicates that ASC is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.25, ASC belongs to the top of the industry, outperforming 90.05% of the companies in the same industry.
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.
The Debt to FCF ratio of ASC (0.31) is better than 91.94% of its industry peers.
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 belongs to the top of the industry, outperforming 80.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.31 | ||
| Altman-Z | 6.25 |
ROIC/WACC0.75
WACC8.48%
2.3 Liquidity
ASC has a Current Ratio of 3.88. This indicates that ASC is financially healthy and has no problem in meeting its short term obligations.
ASC has a Current ratio of 3.88. This is amongst the best in the industry. ASC outperforms 88.15% of its industry peers.
A Quick Ratio of 3.56 indicates that ASC has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 3.56, ASC belongs to the best of the industry, outperforming 87.68% of the companies in the same industry.
| 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.
ASC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.02% yearly.
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-48.73%
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
ASC is valuated cheaply with a Price/Earnings ratio of 4.40.
Compared to the rest of the industry, the Price/Earnings ratio of ASC indicates a rather cheap valuation: ASC is cheaper than 94.31% of the companies listed in the same industry.
ASC is valuated cheaply when we compare the Price/Earnings ratio to 27.57, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 9.02, which indicates a very decent valuation of ASC.
77.25% of the companies in the same industry are more expensive than ASC, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.09. ASC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.4 | ||
| Fwd PE | 9.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ASC is valued a bit cheaper than the industry average as 71.09% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ASC is valued cheaper than 87.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.27 | ||
| EV/EBITDA | 5.37 |
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 3.39%. Purely for dividend investing, there may be better candidates out there.
ASC's Dividend Yield is comparable with the industry average which is at 6.30.
ASC's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.39% |
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%
NYSE:ASC (10/23/2025, 1:38:00 PM)
12.535
+0.63 (+5.25%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners68.1%
Inst Owner Change-7.49%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap510.05M
Revenue(TTM)405.78M
Net Income(TTM)42.96M
Analysts84.44
Price Target13.67 (9.05%)
Short Float %7.35%
Short Ratio4.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.39% |
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)0.6%
Revenue NY rev (3m)-20.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.4 | ||
| Fwd PE | 9.02 | ||
| P/S | 1.57 | ||
| P/FCF | 6.27 | ||
| P/OCF | 5.08 | ||
| P/B | 0.79 | ||
| P/tB | 0.79 | ||
| EV/EBITDA | 5.37 |
EPS(TTM)2.85
EY22.74%
EPS(NY)1.39
Fwd EY11.08%
FCF(TTM)2
FCFY15.94%
OCF(TTM)2.47
OCFY19.67%
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 | 6.25 |
F-Score5
WACC8.48%
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-48.73%
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%