BW LPG Limited Common Shares (BWLP)

FairStock Score: 74/100 — STEADY

Key Financials

AI Analysis

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

I look for businesses that earn high returns on capital and sell at a sensible price. BW LPG owns and operates a fleet of 54 vessels, including 28 very large gas carriers, moving LPG worldwide. That fleet is a real asset and a modest moat, but shipping rates are cyclical and largely commodity-like. The financial picture is mixed but generally solid: as of the 2026-10-13 close of $25.78, FairStock calculates a P/E of 8.77, P/B of 2.04, ROE of 25.46%, ROCE of 10.04%, and debt-to-equity of 0.45. The dividend yield is 10.09%, and trailing free cash flow is $631.0M, a 22.5% FCF yield on a $2.8B market cap. In the second quarter of fiscal 2026, the company reported revenue of $1.0B, net income of $120.1M, and an 11.87% margin. That is genuine cash profit. Valuation also looks reasonable: the FairStock Graham Number is $28.92, a 10.86% margin of safety at the recent price, while EV/EBITDA is 4.15 and PEG is 0.03. Yet the Piotroski F-Score is only 5/9 and Altman Z-Score is 2.08, so the balance sheet is not fortress-like. Growth is hard to judge because the available data are mixed, and the Lynch category is none since only 0 years of filed annual results exist, versus the 3 needed. I like the cash generation and low beta of 0.11, but I would want a larger discount for cyclicality and a short filed history before calling it a comfortable Graham-style bargain.

In plain English: BW LPG owns and operates ships that transport liquefied petroleum gas around the world. In the second quarter of fiscal 2026, it reported $1.0 billion of revenue and $120.1 million of net income, and it generates a lot of cash compared with its stock market value. At the recent price, the shares look reasonably cheap based on its earnings and cash flow, but the business is cyclical and has a short reported history.

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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