NYSE:ASC

Stock Analysis Report

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Executive Summary

Ardmore Shipping Corporation, together with its subsidiaries, engages in the seaborne transportation of petroleum products and chemicals worldwide. More Details


Snowflake Analysis

Very undervalued with acceptable track record.


Similar Companies

Share Price & News

How has Ardmore Shipping's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ASC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.9%

ASC

-6.3%

US Oil and Gas

-4.6%

US Market


1 Year Return

-65.2%

ASC

-49.2%

US Oil and Gas

11.5%

US Market

Return vs Industry: ASC underperformed the US Oil and Gas industry which returned -47.4% over the past year.

Return vs Market: ASC underperformed the US Market which returned 15.6% over the past year.


Shareholder returns

ASCIndustryMarket
7 Day-7.9%-6.3%-4.6%
30 Day-13.1%-7.1%-0.9%
90 Day-32.4%-19.7%2.2%
1 Year-64.9%-65.2%-46.2%-49.2%14.0%11.5%
3 Year-68.0%-68.2%-51.0%-57.3%34.5%25.6%
5 Year-77.5%-78.7%-49.3%-59.0%73.0%53.6%

Price Volatility Vs. Market

How volatile is Ardmore Shipping's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ardmore Shipping undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ASC ($2.87) is trading below our estimate of fair value ($10.34)

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


Price To Earnings Ratio

PE vs Industry: ASC is good value based on its PE Ratio (5.8x) compared to the US Oil and Gas industry average (7.6x).

PE vs Market: ASC is good value based on its PE Ratio (5.8x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: ASC is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: ASC is good value based on its PB Ratio (0.3x) compared to the US Oil and Gas industry average (0.8x).


Next Steps

Future Growth

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

24.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ASC's forecast earnings growth (18.8% per year) is above the savings rate (2.2%).

Earnings vs Market: ASC's earnings (18.8% per year) are forecast to grow slower than the US market (22.2% per year).

High Growth Earnings: ASC's earnings are forecast to grow, but not significantly.

Revenue vs Market: ASC's revenue is expected to decline over the next 3 years (-7.5% per year).

High Growth Revenue: ASC's revenue is forecast to decline over the next 3 years (-7.5% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ASC's Return on Equity is forecast to be low in 3 years time (4.4%).


Next Steps

Past Performance

How has Ardmore Shipping performed over the past 5 years?

-51.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ASC has high quality earnings.

Growing Profit Margin: ASC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: ASC has become profitable over the past 5 years, growing earnings by -51.6% per year.

Accelerating Growth: ASC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ASC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-35%).


Return on Equity

High ROE: ASC's Return on Equity (4.7%) is considered low.


Next Steps

Financial Health

How is Ardmore Shipping's financial position?


Financial Position Analysis

Short Term Liabilities: ASC's short term assets ($119.1M) exceed its short term liabilities ($52.0M).

Long Term Liabilities: ASC's short term assets ($119.1M) do not cover its long term liabilities ($382.8M).


Debt to Equity History and Analysis

Debt Level: ASC's debt to equity ratio (61.1%) is considered high.

Reducing Debt: ASC's debt to equity ratio has reduced from 97.3% to 61.1% over the past 5 years.

Debt Coverage: ASC's debt is not well covered by operating cash flow (19.2%).

Interest Coverage: ASC's interest payments on its debt are not well covered by EBIT (1.8x coverage).


Balance Sheet


Next Steps

Dividend

What is Ardmore Shipping current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ASC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ASC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ASC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ASC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: ASC is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ASC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

6.8yrs

Average management tenure


CEO

Tony Gurnee (60 yo)

10.75yrs

Tenure

Mr. Anthony Gurnee, also known as Tony, CFA is the Founder and has been the Chief Executive Officer and President of Ardmore Shipping Corporation (a/k/a, Ardmore Shipping Limited) since 2010. Mr. Gurnee is ...


Leadership Team

NamePositionTenureCompensationOwnership
Anthony Gurnee
Founder10.75yrsno datano data
Paul Tivnan
Senior VP7.83yrsno datano data
Mark Cameron
Executive VP & COO10.33yrsno datano data
Aideen O'Driscoll
Director of HR3.25yrsno datano data
Gernot Ruppelt
Senior VP & Chief Commercial Officer5.83yrsno datano data
Barry O'Neill
Financial Controller0.83yrno datano data
Gerry Docherty
Director of Fleet Managementno datano datano data
Frits K?nst
Technical Projects Managerno datano datano data

6.8yrs

Average Tenure

47yo

Average Age

Experienced Management: ASC's management team is seasoned and experienced (6.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Anthony Gurnee
Founder10.75yrsno datano data
Brian Dunne
Independent Director10.33yrsno datano data
Curtis McWilliams
Independent Chairman of the Board1.75yrsno datano data
Kirsi Kyllikki Tikka
Independent Director1.08yrsno datano data
Mats Berglund
Independent Director2.08yrsno datano data
Helen Tveitan de Jong
Independent Director2.08yrsno datano data

2.1yrs

Average Tenure

58.5yo

Average Age

Experienced Board: ASC's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


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.


Ownership Breakdown

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


Top Shareholders

Company Information

Ardmore Shipping Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ardmore Shipping Corporation
  • Ticker: ASC
  • Exchange: NYSE
  • Founded: 2010
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Market Cap: US$92.533m
  • Shares outstanding: 33.29m
  • Website: https://ardmoreshipping.com

Number of Employees


Location

  • Ardmore Shipping Corporation
  • Belvedere Building
  • Ground Floor
  • Pembroke
  • HM08
  • Bermuda

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ASCNYSE (New York Stock Exchange)YesCommon SharesUSUSDAug 2013
A61DB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2013

Biography

Ardmore Shipping Corporation, together with its subsidiaries, engages in the seaborne transportation of petroleum products and chemicals worldwide. As of August 30, 2019, the company operated a fleet of 25 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/29 00:32
End of Day Share Price2020/10/28 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.