Analyzing BW LPG (BWLP) & Its Competitors

BW LPG (NYSE:BWLP) is one of 38 public companies in the “Transportation services” industry, but how does it weigh in compared to its peers? We will compare BW LPG to similar companies based on the strength of its risk, earnings, valuation, analyst recommendations, institutional ownership, dividends and profitability.

Profitability

This table compares BW LPG and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BW LPG	N/A	N/A	N/A
BW LPG Competitors	-1,911.53%	-1,220.43%	-6.60%

Insider and Institutional Ownership

64.2% of shares of all “Transportation services” companies are owned by institutional investors. 10.8% of shares of all “Transportation services” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares BW LPG and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
BW LPG	$3.60 billion	N/A	4.21
BW LPG Competitors	$4.28 billion	$353.59 million	-5,582.55

BW LPG’s peers have higher revenue and earnings than BW LPG. BW LPG is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Dividends

BW LPG pays an annual dividend of $1.68 per share and has a dividend yield of 15.0%. BW LPG pays out 63.2% of its earnings in the form of a dividend. As a group, “Transportation services” companies pay a dividend yield of 0.9% and pay out 22.6% of their earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current ratings and price targets for BW LPG and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BW LPG	0	0	1	0	3.00
BW LPG Competitors	140	1150	2159	47	2.60

As a group, “Transportation services” companies have a potential upside of 15.76%. Given BW LPG’s peers higher possible upside, analysts clearly believe BW LPG has less favorable growth aspects than its peers.

Summary

BW LPG beats its peers on 7 of the 13 factors compared.

BW LPG Company Profile

BW LPG Limited, an investment holding company, engages in ship owning and chartering activities worldwide. The company operates through Shipping and Product Services segments. The company involved in the transportation of liquefied petroleum gas to oil companies, and trading and utility companies. It also offers integrated liquified petroleum gas (LPG) delivery services and support; wholesale and trade of LPG; and management services. It owns and operates LPG vessels and a fleet of very large gas carriers. The company was formerly known as BW Gas LPG Holding Limited and changed its name to BW LPG Limited in September 2013. BW LPG Limited was founded in 1935 and is headquartered in Singapore.