NYSE:ASC

Stock Analysis Report

Executive Summary

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

Snowflake

Fundamentals

Mediocre balance sheet and slightly overvalued.


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


Market Performance


7 Day Return

10.0%

ASC

1.7%

US Oil and Gas

1.0%

US Market


1 Year Return

29.0%

ASC

-21.2%

US Oil and Gas

6.7%

US Market

Return vs Industry: ASC exceeded the US Oil and Gas industry which returned -21.2% over the past year.

Return vs Market: ASC exceeded the US Market which returned 6.7% over the past year.


Shareholder returns

ASCIndustryMarket
7 Day10.0%1.7%1.0%
30 Day20.5%-3.7%-1.8%
90 Day14.2%-8.3%-1.8%
1 Year29.0%29.0%-18.3%-21.2%9.1%6.7%
3 Year40.1%40.1%-5.7%-14.1%46.1%36.6%
5 Year-0.01%-10.2%-21.8%-32.6%66.9%48.6%

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?

18.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: ASC ($9.22) is trading below our estimate of fair value ($11.32)

Significantly Undervalued: ASC is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: ASC is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: ASC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate ASC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ASC is good value based on its PB Ratio (0.9x) compared to the US Oil and Gas industry average (0.9x).


Next Steps

Future Growth

How is Ardmore Shipping forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

106.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ASC is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ASC is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ASC is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ASC's revenue is expected to decline over the next 3 years (-0.3% per year).

High Growth Revenue: ASC's revenue is forecast to decline over the next 3 years (-0.3%).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: ASC's Return on Equity is forecast to be low in 3 years time (9.3%).


Next Steps

Past Performance

How has Ardmore Shipping performed over the past 5 years?

-60.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ASC is unprofitable, and losses have increased over the past 5 years at a rate of -60.9% per year.

Accelerating Growth: Unable to compare ASC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ASC is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (22.6%).


Return on Equity

High ROE: ASC has a negative Return on Equity (-14.7%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ASC is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ASC is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Ardmore Shipping's financial position?


Financial Position Analysis

Short Term Liabilities: ASC's short term assets ($93.2M) exceeds its short term liabilities ($58.4M)

Long Term Liabilities: ASC's short term assets (93.2M) do not cover its long term liabilities (396.3M)


Debt to Equity History and Analysis

Debt Level: ASC's debt to equity ratio (63.3%) is considered high

Reducing Debt: ASC's debt to equity ratio has increased from 39.1% to 63.3% over the past 5 years.


Balance Sheet

Inventory Level: ASC has a high level of physical assets or inventory.

Debt Coverage by Assets: ASC's debt is not covered by short term assets (assets are 0.4x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable ASC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ASC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 99.7% per year.


Next Steps

Dividend

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

5.87%

Forecast Dividend Yield


Dividend Yield vs Market

company0%marketbottom25%1.5%markettop25%3.8%industryaverage4.1%forecastin3Years5.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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 .


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

What is the CEO of Ardmore Shipping's salary, the management and board of directors tenure and is there insider trading?

5.8yrs

Average management tenure


CEO

Tony Gurnee (59yo)

9.8yrs

Tenure

0

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 ...


Management Age and Tenure

5.8yrs

Average Tenure

46yo

Average Age

Experienced Management: ASC's management team is seasoned and experienced (5.8 years average tenure).


Board Age and Tenure

1.1yrs

Average Tenure

59yo

Average Age

Experienced Board: ASC's board of directors are not considered experienced ( 1.1 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown


Management Team

  • Tony Gurnee (59yo)

    Founder

    • Tenure: 9.8yrs
  • Mark Cameron (53yo)

    Executive VP & COO

    • Tenure: 9.3yrs
  • Paul Tivnan (39yo)

    Senior VP

    • Tenure: 6.8yrs
  • Gernot Ruppelt (38yo)

    Senior VP & Chief Commercial Officer

    • Tenure: 4.8yrs
  • Gerry Docherty

    Director of Fleet Management

    • Tenure: 0yrs
  • Jorge Lavin

    Director of Accounting

    • Tenure: 1.7yrs
  • Frits K?nst

    Technical Projects Manager

    • Tenure: 0yrs
  • Aideen O’Driscoll

    Director of HR

    • Tenure: 2.3yrs

Board Members

  • Peter Swift (75yo)

    Director

    • Tenure: 6.2yrs
  • Brian Dunne (53yo)

    Director

    • Tenure: 9.3yrs
  • Tony Gurnee (59yo)

    Founder

    • Tenure: 9.8yrs
  • Curtis McWilliams (63yo)

    Chairman of the Board

    • Tenure: 0.8yrs
  • Kirsi Kyllikki Tikka (62yo)

    Director

    • Tenure: 0.08yrs
  • Mats Berglund (56yo)

    Director

    • Tenure: 1.1yrs
  • Helen Tveitan de Jong (51yo)

    Director

    • Tenure: 1.1yrs

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$305.162m
  • Shares outstanding: 33.10m
  • 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 January 31, 2019, the company operated a fleet of 2 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 00:15
End of Day Share Price2019/10/14 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.