Dorian LPG

  • TickerLPG
  • ISINMHY2106R1100
  • ExchangeNew York Stock Exchange
  • SectorIndustrial Transportation
  • CountryUnited States
Nicolay Dyvik

LPG shipping (DNB Markets) - BW LPG priced as if equity needed

Based on the WTI forward curve, our rig count model and subsequent US LPG production, we forecast VLGC rates to decline from USD36k/day in 2020 to USD11k/day in 2022. BW LPG is trading as if equity were required, though it has good liquidity, in our view.

Nicolay Dyvik

Shipping down to HOLD on virus

We are shipping analysts not virus experts, but we have been reading international press, WHO, the Lancet, JAMA and China CDC reports to assess the potential impact of on shipping. This is not a comprehensive study, but we are sharing what we have learned so far. In conclusion: we see short-term downside potential to shipping and have downgraded our entire shipping universe to HOLD.

Alexander Aukner ...
  • Eivind Sars Veddeng
  • Frank Maaø
  • Håkon Astrup
  • Joachim Gunell
  • Jon Masdal
  • Karl-Johan Bonnevier
  • Martin Arnell
  • Martin Hoang Nguyen
  • Mats Bye
  • Niklas Wetterling
  • Ole Martin Westgaard
  • Ole-Andreas Krohn
  • Patrik Ling
  • Simen Mortensen

Northern Lights

Mats Bye

Dorian LPG (Buy, TP: USD18.00) - Adding operational exposure

Dorian LPG has signed a new 3-year timecharter-in deal for a modern vessel with scrubber, lifting our 2021e EBITDA by 1% to USD271m. We believe this is a prudent approach to building operational leverage towards the LPG shipping space ahead of what we see as a strong market in 2020. We reiterate our BUY, but have lowered our target price to USD18.0 (18.3).

Dave Nicoski ...
  • Ross LaDuke

Vermilion Compass: Weekly Equity Strategy

Bullish Outlook Intact Amid rising Middle East tensions, investors have moved to safe-havens including Treasuries and gold, all while having a muted effect on the US equity market. At this point in time, the rising tensions have done virtually no damage to the bullish trends and indicators that continue to dominate the market. We remain bullish. • 10-Year Treasury. The 10-year yield has fallen to logical support at the uptrend or 1.75%, a level we expect to hold. A breakdown would raise concerns of a deeper pullback for US equities... see chart below. • Gold Testing Key Resistance. Gold pri...

Dave Nicoski ...
  • Ross LaDuke

Vermilion Compass: Weekly Equity Strategy

Market remains in purgatory Purgatory is a reference we have used to describe the state of the market numerous times throughout 2019, and we believe this remains the case. Technical signals continue to suggest that while there are little-to-no signs for us to expect impending doom (economic data notwithstanding), there is also little to suggest an imminent broad market rally. Until these signals begin leading us one way or the other, our neutral outlook remains appropriate. • Small-caps, Transports, Banks. Small-caps underperforming large-caps remains on our list of concerns as it has for mo...

Dave Nicoski ...
  • Ross LaDuke

Vermilion Short Shots: Technically Vulnerable Stocks

Short Shots is a collection of technically vulnerable charts culled from the Negative Inflecting and Toppy columns within our Weekly Compass report or from various technical screening processes. The charts contained in this report have developed concerning technical patterns that suggest further price deterioration is likely. For these reasons Short Shots can also be a great source of ideas for investors interested in short-selling candidates.

Nicolay Dyvik

LPG shipping (DNB Markets) - BW LPG priced as if equity needed

Based on the WTI forward curve, our rig count model and subsequent US LPG production, we forecast VLGC rates to decline from USD36k/day in 2020 to USD11k/day in 2022. BW LPG is trading as if equity were required, though it has good liquidity, in our view.

Nicolay Dyvik

Shipping down to HOLD on virus

We are shipping analysts not virus experts, but we have been reading international press, WHO, the Lancet, JAMA and China CDC reports to assess the potential impact of on shipping. This is not a comprehensive study, but we are sharing what we have learned so far. In conclusion: we see short-term downside potential to shipping and have downgraded our entire shipping universe to HOLD.

Mats Bye

Dorian LPG (Buy, TP: USD18.00) - Adding operational exposure

Dorian LPG has signed a new 3-year timecharter-in deal for a modern vessel with scrubber, lifting our 2021e EBITDA by 1% to USD271m. We believe this is a prudent approach to building operational leverage towards the LPG shipping space ahead of what we see as a strong market in 2020. We reiterate our BUY, but have lowered our target price to USD18.0 (18.3).

Nicolay Dyvik

Shipping LPG Sector (DNB Markets) - Upcycle could last until 2022e

We reiterate our BUYs for the VLGC owners, as believe the upcycle could last until 2022e. We forecast a 2020 VLGC rate of USD50k/day (USD38k/day), and believe this could overshoot USD100k/day in the summer as demand fundamentals in Asia still look promising.

Alexander Aukner ...
  • Eivind Sars Veddeng
  • Frank Maaø
  • Håkon Astrup
  • Joachim Gunell
  • Jon Masdal
  • Karl-Johan Bonnevier
  • Martin Arnell
  • Martin Hoang Nguyen
  • Mats Bye
  • Niklas Wetterling
  • Ole Martin Westgaard
  • Ole-Andreas Krohn
  • Patrik Ling
  • Simen Mortensen

Northern Lights

Eivind Sars Veddeng ...
  • Håkon Astrup
  • Jesper Ingildsen
  • Jimi Lehtonen
  • Jon Berggren
  • Marius Knudssøn
  • Martin Huseby Karlsen
  • Nicolai Farstad Olsen
  • Nicolay Dyvik
  • Ole Martin Westgaard
  • Ole-Andreas Krohn
  • Rune Majlund Dahl
  • Simen Mortensen

Northern Lights

Eivind Sars Veddeng ...
  • Håkon Astrup
  • Nicolay Dyvik
  • Ole-Andreas Krohn
  • Rune Majlund Dahl
  • Tomi Railo

Northern Lights

Joachim Gunell ...
  • Jørgen Lian
  • Nicolay Dyvik
  • Ole Martin Westgaard
  • Ole-Andreas Krohn

Northern Lights

Håkon Astrup ...
  • Jesper Ingildsen
  • Jon Masdal
  • Karl-Johan Bonnevier
  • Marius Knudssøn
  • Martin Hoang Nguyen
  • Martin Huseby Karlsen
  • Nicolay Dyvik
  • Ole Martin Westgaard
  • Ole-Andreas Krohn
  • Patrik Ling
  • Paul Harper
  • Rune Majlund Dahl

Northern Lights

Ford Equity US Rating and Forecast Report

Ford Equity Research covers more than 4,000 stocks using a proprietary quantitative model that evaluates a company’s earnings strength, its relative valuation and recent price movement. Ford’s five recommendation ratings include strong buy, buy, hold, sell, strong sell. For all stocks in our coverage universe, ratings are generated each week and reflect the fundamental and price data as of the last trading day of the week.

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