Head-To-Head Review: Capital Clean Energy Carriers (NASDAQ:CCEC) vs. Torm (NASDAQ:TRMD)

Capital Clean Energy Carriers (NASDAQ:CCEC) and Torm (NASDAQ:TRMD) are both transportation companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, risk, earnings, valuation, profitability, analyst recommendations and dividends.

Analyst Ratings

This is a summary of recent ratings and target prices for Capital Clean Energy Carriers and Torm, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Capital Clean Energy Carriers	0	3	2	0	2.40
Torm	0	2	1	1	2.75

Capital Clean Energy Carriers presently has a consensus price target of $24.75, indicating a potential upside of 18.15%. Torm has a consensus price target of $35.00, indicating a potential upside of 9.85%. Given Capital Clean Energy Carriers’ higher possible upside, analysts plainly believe Capital Clean Energy Carriers is more favorable than Torm.

Profitability

This table compares Capital Clean Energy Carriers and Torm’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Capital Clean Energy Carriers	28.02%	6.73%	2.39%
Torm	24.45%	15.81%	10.24%

Earnings and Valuation

This table compares Capital Clean Energy Carriers and Torm”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Capital Clean Energy Carriers	$388.68 million	3.15	$170.76 million	$1.89	11.08
Torm	$1.34 billion	2.43	$285.30 million	$3.40	9.37

Torm has higher revenue and earnings than Capital Clean Energy Carriers. Torm is trading at a lower price-to-earnings ratio than Capital Clean Energy Carriers, indicating that it is currently the more affordable of the two stocks.

Dividends

Capital Clean Energy Carriers pays an annual dividend of $0.60 per share and has a dividend yield of 2.9%. Torm pays an annual dividend of $2.04 per share and has a dividend yield of 6.4%. Capital Clean Energy Carriers pays out 31.7% of its earnings in the form of a dividend. Torm pays out 60.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Insider and Institutional Ownership

73.9% of Torm shares are owned by institutional investors. 0.4% of Torm shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

Capital Clean Energy Carriers has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500. Comparatively, Torm has a beta of 0.14, suggesting that its stock price is 86% less volatile than the S&P 500.

Summary

Torm beats Capital Clean Energy Carriers on 10 of the 17 factors compared between the two stocks.

About Capital Clean Energy Carriers

Capital Clean Energy Carriers Corp., a shipping company, provides marine transportation services in Greece. The company’s vessels provide a range of cargoes, including liquefied natural gas, containerized goods, and cargo under short-term voyage charters, and medium to long-term time charters. It owns vessels, including Neo-Panamax container vessels, Panamax container vessels, cape-size bulk carrier, and LNG carriers. In addition, the company produces and distributes oil and natural gas, including biofuels, motor oil, lubricants, petrol, crudes, liquefied natural gas, marine fuels, natural gas liquids, and petrochemicals. It serves as the general partner of the company. The company was formerly known as Capital Product Partners L.P. and changed its name to Capital Clean Energy Carriers Corp. in August 2024. Capital Clean Energy Carriers Corp. was incorporated in 2007 and is headquartered in Piraeus, Greece. Capital Clean Energy Carriers Corp. operates as a subsidiary of Capital Maritime & Trading Corp.

About Torm

TORM plc, a shipping company, owns and operates a fleet of product tankers in the United Kingdom. It operates in two operating segments, Tanker and Marine Exhaust. The Tanker segment transports refined oil products, such as gasoline, jet fuel, kerosene, naphtha, and gas oil, as well as dirty petroleum products, including fuel oil. The Marine Exhaust segment engages in developing and producing advanced and green marine equipment. TORM plc was founded in 1889 and is based in London, the United Kingdom.