ARDMORE SHIPPING CORP (ASC) Stock Fundamental Analysis
NYSE:ASC - New York Stock Exchange, Inc. - MHY0207T1001 - Common Stock - Currency: USD
Taking everything into account, ASC scores 6 out of 10 in our fundamental rating. 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 has a bad growth rate and is valued cheaply. With these ratings, ASC could be worth investigating further for value investing!.
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.
Of the past 5 years ASC 4 years had a positive operating cash flow.
1.2 Ratios
ASC has a better Return On Assets (13.88%) than 91.43% of its industry peers.
With a decent Return On Equity value of 15.01%, ASC is doing good in the industry, outperforming 73.33% of the companies in the same industry.
The Return On Invested Capital of ASC (11.25%) is better than 82.38% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ASC is significantly below the industry average of 23.80%.
The last Return On Invested Capital (11.25%) for ASC is well below the 3 year average (16.40%), which needs to be investigated, but indicates that ASC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.88% | ||
| ROE | 15.01% | ||
| ROIC | 11.25% |
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 (25.66%) is better than 78.10% of its industry peers.
ASC has a Operating Margin (25.15%) which is in line with its industry peers.
In the last couple of years the Operating Margin of ASC has grown nicely.
ASC has a Gross Margin of 48.16%. This is comparable to the rest of the industry: ASC outperforms 55.71% of its industry peers.
In the last couple of years the Gross Margin of ASC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.15% | ||
| PM (TTM) | 25.66% | ||
| GM | 48.16% |
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 just above the Cost of Capital (WACC), so ASC is still creating some 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
The debt/assets ratio for ASC has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.27 indicates that ASC is not in any danger for bankruptcy at the moment.
The Altman-Z score of ASC (6.27) is better than 90.95% of its industry peers.
The Debt to FCF ratio of ASC is 0.24, which is an excellent value as it means it would take ASC, only 0.24 years of fcf income to pay off all of its debts.
ASC has a Debt to FCF ratio of 0.24. This is amongst the best in the industry. ASC outperforms 92.38% of its industry peers.
A Debt/Equity ratio of 0.03 indicates that ASC is not too dependend on debt financing.
ASC's Debt to Equity ratio of 0.03 is amongst the best of the industry. ASC outperforms 81.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.24 | ||
| Altman-Z | 6.27 |
ROIC/WACC1.18
WACC9.55%
2.3 Liquidity
A Current Ratio of 3.73 indicates that ASC has no problem at all paying its short term obligations.
With an excellent Current ratio value of 3.73, ASC belongs to the best of the industry, outperforming 89.52% of the companies in the same industry.
ASC has a Quick Ratio of 3.36. This indicates that ASC is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of ASC (3.36) is better than 88.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.73 | ||
| Quick Ratio | 3.36 |
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
The Earnings Per Share is expected to decrease by -13.03% on average over the next years. This is quite bad
ASC is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -20.13% yearly.
EPS Next Y-68.04%
EPS Next 2Y-33.05%
EPS Next 3Y-13.03%
EPS Next 5YN/A
Revenue Next Year-35.71%
Revenue Next 2Y-26.62%
Revenue Next 3Y-20.13%
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
A Price/Earnings ratio of 3.49 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 96.19% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.19. ASC is valued rather cheaply when compared to this.
ASC is valuated cheaply with a Price/Forward Earnings ratio of 7.79.
Based on the Price/Forward Earnings ratio, ASC is valued a bit cheaper than the industry average as 76.19% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 35.33. ASC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.49 | ||
| Fwd PE | 7.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ASC indicates a rather cheap valuation: ASC is cheaper than 87.14% of the companies listed in the same industry.
ASC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ASC is cheaper than 90.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.7 | ||
| EV/EBITDA | 3.11 |
4.3 Compensation for Growth
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 -13.03% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-33.05%
EPS Next 3Y-13.03%
5. Dividend
5.1 Amount
ASC has a Yearly Dividend Yield of 6.66%, which is a nice return.
Compared to an average industry Dividend Yield of 6.41, ASC pays a bit more dividend than its industry peers.
ASC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.66% |
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 45.11% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP45.11%
EPS Next 2Y-33.05%
EPS Next 3Y-13.03%
9.95
-0.28 (-2.74%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners69.54%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap404.17M
Analysts84.44
Price Target16.96 (70.45%)
Short Float %7.45%
Short Ratio4.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.66% |
Yearly Dividend1.2
Dividend Growth(5Y)N/A
DP45.11%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-6.44%
Min EPS beat(2)-19.5%
Max EPS beat(2)6.63%
EPS beat(4)2
Avg EPS beat(4)-4%
Min EPS beat(4)-19.5%
Max EPS beat(4)9.37%
EPS beat(8)5
Avg EPS beat(8)0.62%
EPS beat(12)9
Avg EPS beat(12)2.94%
EPS beat(16)11
Avg EPS beat(16)7.54%
Revenue beat(2)2
Avg Revenue beat(2)34.76%
Min Revenue beat(2)31.46%
Max Revenue beat(2)38.06%
Revenue beat(4)4
Avg Revenue beat(4)31.34%
Min Revenue beat(4)27.69%
Max Revenue beat(4)38.06%
Revenue beat(8)8
Avg Revenue beat(8)33.76%
Revenue beat(12)12
Avg Revenue beat(12)40.73%
Revenue beat(16)16
Avg Revenue beat(16)52.04%
PT rev (1m)0%
PT rev (3m)1.99%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-33.45%
EPS NY rev (1m)10.48%
EPS NY rev (3m)-25.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-16.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.49 | ||
| Fwd PE | 7.79 | ||
| P/S | 1.08 | ||
| P/FCF | 4.7 | ||
| P/OCF | 2.94 | ||
| P/B | 0.63 | ||
| P/tB | 0.63 | ||
| EV/EBITDA | 3.11 |
EPS(TTM)2.85
EY28.64%
EPS(NY)1.28
Fwd EY12.84%
FCF(TTM)2.12
FCFY21.26%
OCF(TTM)3.39
OCFY34.03%
SpS9.19
BVpS15.72
TBVpS15.72
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.88% | ||
| ROE | 15.01% | ||
| ROCE | 14.24% | ||
| ROIC | 11.25% | ||
| ROICexc | 12.12% | ||
| ROICexgc | 12.12% | ||
| OM | 25.15% | ||
| PM (TTM) | 25.66% | ||
| GM | 48.16% | ||
| FCFM | 23.01% |
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
ROICexcg growth 3YN/A
ROICexcg 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 Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.24 | ||
| Debt/EBITDA | 0.16 | ||
| Cap/Depr | 166.82% | ||
| Cap/Sales | 13.81% | ||
| Interest Coverage | 20.65 | ||
| Cash Conversion | 110.15% | ||
| Profit Quality | 89.67% | ||
| Current Ratio | 3.73 | ||
| Quick Ratio | 3.36 | ||
| Altman-Z | 6.27 |
F-Score5
WACC9.55%
ROIC/WACC1.18
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-68.04%
EPS Next 2Y-33.05%
EPS Next 3Y-13.03%
EPS Next 5YN/A
Revenue 1Y (TTM)2.48%
Revenue growth 3Y28.22%
Revenue growth 5Y12.02%
Sales Q2Q%-39.94%
Revenue Next Year-35.71%
Revenue Next 2Y-26.62%
Revenue Next 3Y-20.13%
Revenue Next 5YN/A
EBIT growth 1Y-23.4%
EBIT growth 3YN/A
EBIT growth 5Y51.26%
EBIT Next Year-46.41%
EBIT Next 3Y-9.58%
EBIT Next 5YN/A
FCF growth 1Y-51.61%
FCF growth 3YN/A
FCF growth 5Y41.1%
OCF growth 1Y-26.34%
OCF growth 3YN/A
OCF growth 5Y50.91%