Ardmore Story

<div class='circular--portrait' style='background:#754DEB;color: #F0FFF0;font-size:4em;'>AS</div>
ASC -- USA Stock  

USD 3.51  0.23  6.15%

Navios Maritime would continue recover faster as its shares surged to 3.12 percent against Ardmore Shipping's 2.4272%. As many baby boomers are still indifferent towards industrials space, we will concentrate on both Ardmore Shipping as well as Navios Maritime Holdings. We are going to analyze some of the competitive aspects of both Ardmore and Navios.
Published over a month ago
View all stories for Ardmore Shipping | View All Stories
Should we be taking in Navios or Ardmore Shipping?
By analyzing existing basic indicators between Ardmore Shipping and Navios, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Navios with a short position in Ardmore Shipping. Check out our pair correlation module for more information.

Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Ardmore Shipping has an asset utilization ratio of 29.94 percent. This suggests that the company is making $0.3 for each dollar of assets. An increasing asset utilization means that Ardmore Shipping is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two companies, such as Ardmore or Danaos is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING Ardmore Shipping dividends

A dividend is the distribution of a portion of Ardmore Shipping earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Ardmore Shipping dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Ardmore one year expected dividend income is about $0.02 per share.
The current year Dividends per Basic Common Share is expected to grow to 0.53, whereas Payment of Dividends and Other Cash Distributions is forecasted to decline to (9.1 M).
Last ReportedProjected for 2020
Payment of Dividends and Other Cash Distributions-8.4 M-9.1 M
Dividend Yield 0.06  0.06 
Dividends per Basic Common Share 0.46  0.53 
Investing in stocks that pay dividends, such as stock of Ardmore Shipping, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Ardmore Shipping must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Ardmore Shipping. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Ardmore Shipping's Liquidity

Ardmore Shipping financial leverage refers to using borrowed capital as a funding source to finance Ardmore Shipping ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Ardmore Shipping financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Ardmore Shipping's total debt and its cash.

Correlation Between Ardmore and Danaos

In general, stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Ardmore Shipping together with similar or unrelated positions with a negative correlation. For example, you can also add Danaos to your portfolio. If Danaos is not perfectly correlated to Ardmore Shipping it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Ardmore Shipping for example, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down. Please check pair correlation details between ASC and DAC for more information.

A Deeper look at Ardmore

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Revenue Breakdown

Now, let's check Ardmore Shipping revenue. Based on the latest financial disclosure, Ardmore Shipping reported 232.97 M of revenue. This is 93.34% lower than that of the Industrials sector and significantly higher than that of the Marine Shipping industry. The revenue for all United States stocks is 97.53% higher than that of Ardmore Shipping. As for Navios Maritime we see revenue of 465.08 M, which is much higher than that of the Marine Shipping

Ardmore232.97 Million
Sector0.0
Navios465.08 Million
233 M
Ardmore
Sector
465.1 M
Navios

Can Ardmore Shipping build up on the current build-up?

Skewness is down to 0.48. It may suggest a possible volatility slip. Ardmore Shipping exhibits very low volatility with skewness of 0.48 and kurtosis of 1.48. However, we advise investors to further study Ardmore Shipping technical indicators to make sure all market info is available and is reliable.

Our Final Take On Ardmore Shipping

Whereas other entities within the marine shipping industry are still a little expensive, even after the recent corrections, Ardmore Shipping may offer a potential longer-term growth to investors. To conclude, as of the 28th of July 2020, our ongoing 30 days buy-hold-sell advice on the company is Sell. However, we believe Ardmore Shipping is undervalued with close to average probability of distress for the next two years.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Ardmore Shipping. Please refer to our Terms of Use for any information regarding our disclosure principles.

Would you like to provide feedback on the content of this article?

You can get in touch with us directly or send us a quick note via email to editors@macroaxis.com