Ardmore Shipping Corporation Common Stock (ASC)

FairStock Score: 61/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses I can understand and buy at a discount to intrinsic value. Ardmore is a marine transporter of petroleum products and chemicals, with 26 vessels, 25 owned eco-design ships, and only 57 employees. Shipping is a commodity business; rates are set by global supply and demand, so I see limited durable moat. The financials, however, are striking. In the quarter labeled 2026-Q2, revenue was $116.2 million and net income was $60.5 million, a 52.07% margin. The provided figures show revenue growth of 61.31% and profit growth of 530.43%, but such jumps in a cyclical industry are rarely permanent. The balance sheet looks conservative: debt-to-equity is 0.05, Altman Z-Score is 7.98, and Piotroski F-Score is 7/9. Returns are decent but not extraordinary: ROE is 16.23% and ROCE is 8.97%. At the 2026-10-13 close of $20.13, FairStock calculations put P/E at 7.83, P/B at 1.17, EV/EBITDA at 4.27, and the Graham Number at $31.48, implying a 36.05% margin of safety. A 7.19% dividend yield is attractive. Yet TTM free cash flow is only $17.5 million, a 2.6% yield, so reported earnings are not converting into much cash, and the dividend likely needs continued strong rates. PEG of 0.01 reflects peak growth, not lasting value. The Lynch category is none because only 0 years of filed annual results are available and 3 are needed. I would call this a statistically cheap, cyclical asset play, not a moat-protected compounder. Price is near the 52-week high of $20.15, so the market already sees improvement.

In plain English: Ardmore Shipping moves petroleum products and chemicals around the world with a fleet of 26 ships, mostly owned eco-design vessels. The business looks very strong right now: it earned $60.5 million in the quarter labeled 2026-Q2 on $116.2 million of revenue, carries very little debt, and pays a high dividend. At the 2026-10-13 close of $20.13, the shares look inexpensive against earnings and accounting value, but shipping is a boom-and-bust industry and actual cash generation is much smaller than reported profit, so the low price may reflect real risk.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer