BW LPG (BWLP) versus Its Peers Critical Comparison

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

Insider & Institutional Ownership

64.2% of shares of all “Transportation services” companies are held by institutional investors. 10.8% of shares of all “Transportation services” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Dividends

BW LPG pays an annual dividend of $1.68 per share and has a dividend yield of 15.2%. 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 0.8% and pay out 22.6% of their earnings in the form of a dividend.

Profitability

This table compares BW LPG and its competitors’ 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%

Analyst Recommendations

This is a summary of current recommendations and price targets for BW LPG and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BW LPG	0	0	1	0	3.00
BW LPG Competitors	140	1150	2156	47	2.60

As a group, “Transportation services” companies have a potential upside of 11.17%. Given BW LPG’s competitors higher possible upside, analysts clearly believe BW LPG has less favorable growth aspects than its competitors.

Valuation & Earnings

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

	Gross Revenue	Net Income	Price/Earnings Ratio
BW LPG	$3.60 billion	N/A	4.17
BW LPG Competitors	$4.28 billion	$353.59 million	-5,131.95

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

Summary

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

About BW LPG

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.