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BWLP

BWG OB:BWLPG Stock Report

Last Price

kr81.15

Market Cap

kr11.0b

7D

2.1%

1Y

63.4%

Updated

07 Aug, 2022

Data

Company Financials +
BWLPG fundamental analysis
Snowflake Score
Valuation6/6
Future Growth0/6
Past Performance1/6
Financial Health5/6
Dividends3/6

BWLPG Stock Overview

BW LPG Limited, an investment holding company, engages in shipowning and chartering activities worldwide.

BWG Competitors

Price History & Performance

Summary of all time highs, changes and price drops for BWG
Historical stock prices
Current Share Pricekr81.15
52 Week Highkr84.35
52 Week Lowkr41.46
Beta1.52
1 Month Change16.43%
3 Month Change34.02%
1 Year Change63.41%
3 Year Change117.10%
5 Year Change163.82%
Change since IPO64.60%

Recent News & Updates

May 22
BWG's (OB:BWLPG) Upcoming Dividend Will Be Larger Than Last Year's

BWG's (OB:BWLPG) Upcoming Dividend Will Be Larger Than Last Year's

The board of BW LPG Limited ( OB:BWLPG ) has announced that it will be increasing its dividend on the 10th of June to...

Shareholder Returns

BWLPGNO Oil and GasNO Market
7D2.1%-4.2%-1.1%
1Y63.4%80.9%9.2%

Return vs Industry: BWLPG underperformed the Norwegian Oil and Gas industry which returned 80.9% over the past year.

Return vs Market: BWLPG exceeded the Norwegian Market which returned 9.2% over the past year.

Price Volatility

Is BWLPG's price volatile compared to industry and market?
BWLPG volatility
BWLPG Average Weekly Movement6.4%
Oil and Gas Industry Average Movement7.4%
Market Average Movement6.8%
10% most volatile stocks in NO Market12.6%
10% least volatile stocks in NO Market3.8%

Stable Share Price: BWLPG is not significantly more volatile than the rest of Norwegian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: BWLPG's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1935n/aAnders Onarheimhttps://www.bwlpg.com

BW LPG Limited, an investment holding company, engages in shipowning and chartering activities worldwide. The company operates through two segments, Very Large Gas Carriers (VLGCs) and Product Services. It is involved in the transportation of liquefied petroleum gas to oil companies, and trading and utility companies.

BWG Fundamentals Summary

How do BWG's earnings and revenue compare to its market cap?
BWLPG fundamental statistics
Market CapUS$1.11b
Earnings (TTM)US$169.97m
Revenue (TTM)US$685.59m

6.5x

P/E Ratio

1.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BWLPG income statement (TTM)
RevenueUS$685.59m
Cost of RevenueUS$363.22m
Gross ProfitUS$322.37m
Other ExpensesUS$152.40m
EarningsUS$169.97m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.26
Gross Margin47.02%
Net Profit Margin24.79%
Debt/Equity Ratio49.3%

How did BWLPG perform over the long term?

See historical performance and comparison

Dividends

6.8%

Current Dividend Yield

56%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is BWLPG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BWLPG?

Other financial metrics that can be useful for relative valuation.

BWLPG key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.3x
Enterprise Value/EBITDA6.6x
PEG Ratio-1.2x

Price to Earnings Ratio vs Peers

How does BWLPG's PE Ratio compare to its peers?

BWLPG PE Ratio vs Peers
The above table shows the PE ratio for BWLPG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average41.4x
AGAS Avance Gas Holding
11.9x26.3%kr4.4b
FLNG FLEX LNG
9.5x2.1%kr16.0b
BWEK BW Epic Kosan
140.2x79.4%kr3.5b
ALNG Awilco LNG
3.9x7.8%kr767.5m
BWLPG BWG
6.5x-5.5%kr11.0b

Price-To-Earnings vs Peers: BWLPG is good value based on its Price-To-Earnings Ratio (6.5x) compared to the peer average (41.4x).


Price to Earnings Ratio vs Industry

How does BWLPG's PE Ratio compare vs other companies in the European Oil and Gas Industry?

Price-To-Earnings vs Industry: BWLPG is good value based on its Price-To-Earnings Ratio (6.5x) compared to the Norwegian Oil and Gas industry average (9x)


Price to Earnings Ratio vs Fair Ratio

What is BWLPG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BWLPG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.5x
Fair PE Ratio9x

Price-To-Earnings vs Fair Ratio: BWLPG is good value based on its Price-To-Earnings Ratio (6.5x) compared to the estimated Fair Price-To-Earnings Ratio (9x).


Share Price vs Fair Value

What is the Fair Price of BWLPG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BWLPG (NOK81.15) is trading below our estimate of fair value (NOK345.68)

Significantly Below Fair Value: BWLPG is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is BWG forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-5.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BWLPG's earnings are forecast to decline over the next 3 years (-5.5% per year).

Earnings vs Market: BWLPG's earnings are forecast to decline over the next 3 years (-5.5% per year).

High Growth Earnings: BWLPG's earnings are forecast to decline over the next 3 years.

Revenue vs Market: BWLPG's revenue is expected to decline over the next 3 years (-6.6% per year).

High Growth Revenue: BWLPG's revenue is forecast to decline over the next 3 years (-6.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BWLPG's Return on Equity is forecast to be low in 3 years time (7.8%).


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Past Performance

How has BWG performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


46.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BWLPG has a large one-off gain of $77.4M impacting its March 31 2022 financial results.

Growing Profit Margin: BWLPG's current net profit margins (24.8%) are lower than last year (30.6%).


Past Earnings Growth Analysis

Earnings Trend: BWLPG has become profitable over the past 5 years, growing earnings by 46.5% per year.

Accelerating Growth: BWLPG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BWLPG had negative earnings growth (-27.5%) over the past year, making it difficult to compare to the Oil and Gas industry average (-27.5%).


Return on Equity

High ROE: BWLPG's Return on Equity (11.8%) is considered low.


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Financial Health

How is BWG's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: BWLPG's short term assets ($542.6M) exceed its short term liabilities ($282.3M).

Long Term Liabilities: BWLPG's short term assets ($542.6M) do not cover its long term liabilities ($649.6M).


Debt to Equity History and Analysis

Debt Level: BWLPG's net debt to equity ratio (24.8%) is considered satisfactory.

Reducing Debt: BWLPG's debt to equity ratio has reduced from 124.3% to 49.3% over the past 5 years.

Debt Coverage: BWLPG's debt is well covered by operating cash flow (43.6%).

Interest Coverage: BWLPG's interest payments on its debt are well covered by EBIT (3.8x coverage).


Balance Sheet


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Dividend

What is BWG current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


6.79%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BWLPG's dividend (6.79%) is higher than the bottom 25% of dividend payers in the Norwegian market (2.69%).

High Dividend: BWLPG's dividend (6.79%) is low compared to the top 25% of dividend payers in the Norwegian market (6.89%).


Stability and Growth of Payments

Stable Dividend: BWLPG has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BWLPG's dividend payments have increased, but the company has only paid a dividend for 8 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (55.9%), BWLPG's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (42.9%), BWLPG's dividend payments are well covered by cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

6.6yrs

Average management tenure


CEO

Anders Onarheim (63 yo)

2.58yrs

Tenure

Mr. Anders Onarheim serves as Chairman of the Board at Ocean-Geoloop AS. He serves as Chief Executive Officer at BW LPG Limited since May 20, 2020. He served as Interim Chief Executive Officer at BW LPG Li...


Leadership Team

Experienced Management: BWLPG's management team is seasoned and experienced (6.6 years average tenure).


Board Members

Experienced Board: BWLPG's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

BW LPG Limited's employee growth, exchange listings and data sources


Key Information

  • Name: BW LPG Limited
  • Ticker: BWLPG
  • Exchange: OB
  • Founded: 1935
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Implied Market Cap: kr10.951b
  • Shares outstanding: 134.95m
  • Website: https://www.bwlpg.com

Number of Employees


Location

  • BW LPG Limited
  • 10 Pasir Panjang Road
  • No. 17-02, Mapletree Business City
  • Singapore
  • 117438
  • Singapore

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/07 00:00
End of Day Share Price2022/08/05 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.