LPG
Posted: Mon Apr 01, 2024 2:12 pm
i invested in STNG and TK and TNK and saw something about LPG. It has a nice dividend and has done well this year. What is anyone's opinion on it as an add to the shipping stocks? thanks.
Lbark
I've been invested in LPG since 5/2022. It's paid out S9.50 in special dividends in less than two years. The company has expanding operating margins of 67%,ROIC 22% and a FCF yield % of 6%. The price to economic book value at terminal zero growth is $120/share. STNG and TNK have much faster price appreciation but I've been satisfied with over 100% return in two years. Another shipper with a great dividend that I own is International Seaways. It pays a dividend of 10% , ROIC 22%, FCF yield%. The price to economic book value is $150/share. But the most undervalued is definitely TNK. At $60/share it's price to economic book value at zero growth is $300/share. It has a FCF yield of 35% and an ROIC of 25%. Quite stupendous. Eventually when the country has its Minsky moment, the market will gravitate to these diamonds in the sea.