Head to Head Survey: Ardmore Shipping (NYSE:ASC) versus International Seaways (NYSE:INSW)

International Seaways (NYSE:INSW) and Ardmore Shipping (NYSE:ASC) are both transportation companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, earnings, valuation, dividends, profitability, risk and analyst recommendations.

Valuation & Earnings

This table compares International Seaways and Ardmore Shipping”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International Seaways	$985.38 million	4.12	$309.26 million	$10.98	7.48
Ardmore Shipping	$324.12 million	2.15	$41.01 million	$1.33	12.85

International Seaways has higher revenue and earnings than Ardmore Shipping. International Seaways is trading at a lower price-to-earnings ratio than Ardmore Shipping, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares International Seaways and Ardmore Shipping’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
International Seaways	55.39%	21.04%	15.60%
Ardmore Shipping	18.00%	9.63%	7.92%

Institutional and Insider Ownership

67.3% of International Seaways shares are owned by institutional investors. Comparatively, 62.2% of Ardmore Shipping shares are owned by institutional investors. 1.7% of International Seaways shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Dividends

International Seaways pays an annual dividend of $0.48 per share and has a dividend yield of 0.6%. Ardmore Shipping pays an annual dividend of $1.56 per share and has a dividend yield of 9.1%. International Seaways pays out 4.4% of its earnings in the form of a dividend. Ardmore Shipping pays out 117.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Analyst Recommendations

This is a summary of current recommendations for International Seaways and Ardmore Shipping, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International Seaways	0	1	5	1	3.00
Ardmore Shipping	0	2	2	0	2.50

International Seaways currently has a consensus price target of $83.50, suggesting a potential upside of 1.73%. Ardmore Shipping has a consensus price target of $17.00, suggesting a potential downside of 0.56%. Given International Seaways’ stronger consensus rating and higher probable upside, analysts plainly believe International Seaways is more favorable than Ardmore Shipping.

Summary

International Seaways beats Ardmore Shipping on 14 of the 16 factors compared between the two stocks.

About International Seaways

International Seaways, Inc. owns and operates a fleet of oceangoing vessels for the transportation of crude oil and petroleum products in the international flag trade. It operates in two segments: Crude Tankers and Product Carriers. As of December 31, 2023, the company owned a fleet of 73 vessels. It serves independent and state-owned oil companies, oil traders, refinery operators, and international government entities. The company was formerly known as OSG International, Inc. and changed its name to International Seaways, Inc. in October 2016. International Seaways, Inc. was incorporated in 1999 and is headquartered in New York, New York.

About Ardmore Shipping

Ardmore Shipping Corporation engages in the seaborne transportation of petroleum products and chemicals worldwide. The company's fleet consists of 22 owned vessels including 21 Eco-design and 1 Eco-mod vessel, and four chartered-in vessels. It serves oil majors, oil companies, oil and chemical traders, chemical companies, and pooling service providers. Ardmore Shipping Corporation was founded in 2010 and is headquartered in Pembroke, Bermuda.