In this piece, we will take a look at the five LPG shipping companies in the world. If you want to skip our industry introduction and jump ahead to the top five firms in the list, then take a look at Top 10 LPG Shipping Companies in the World.
5. Dorian LPG Ltd. (NYSE:LPG)
Revenue as of 2021: $274 million
Dorian LPG Ltd. (NYSE:LPG) is a pure play LPG carrier that is headquartered in Stamford, Connecticut, the United States. The firm operates only very large gas carriers (VLGCs), and it has 22 of these ships in its fleet.
Dorian LPG Ltd. (NYSE:LPG) is one of the strongest performing stocks on the market this year, as the firm’s shares have appreciated by a whopping 42% year to date. This is due to share repurchases and market sentiment, as the firm has repurchased more than one fifth of its shares this year, and the strong demand for tankers has injected fresh sentiment into its fortunes. The firm also announced an additional $100 million of share buybacks in its third fiscal quarter, and Dorian LPG Ltd. (NYSE:LPG) is also expected to post a 10% dividend yield in the near term future.
Dorian LPG Ltd. (NYSE:LPG)’s free cash flow yield has ranged between 16% and 26% during its fiscal years 2020 and 2022, indicating a strong ability to generate cash that is readily available to investors – a crucial fact when its strong dividend payouts are also considered. Additionally, the firm does not have a fixed dividend policy, but an irregular one. As part of this, its latest dividend announcement came in October 2022, when it announced a $1 payout per share, payable in December to shareholders of record in November.
Dorian LPG Ltd. (NYSE:LPG)’s largest investor in our database of 895 hedge funds is Michael Lowenstein Kensico Capital which owns 2.8 million shares that are worth $42 million.
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4. Navigator Holdings Ltd. (NYSE:NVGS)
Revenue as of 2021: $403 million
Navigator Holdings Ltd. (NYSE:NVGS) is a British company that operates liquefied gas carriers. These ship ammonia, LPG, and other gasses all over the globe. The firm is headquartered in London and it has a fleet of 53 ships.
Navigator Holdings Ltd. (NYSE:NVGS)’s have appreciated by 40% this year, and the firm is focusing its attention on the U.S. exports of natural gas liquids (NGLs). The demand for these is expected to grow significantly, especially as Europe diversifies its energy sources away from Russia. The firm also has stakes in an ethylene export terminal with an American firm and it is the carrier of choice for several other American firms. Navigator Holdings Ltd. (NYSE:NVGS) is also revamping its shareholder returns policy, and it is expected that this will consist of both share repurchases and dividends.
Navigator Holdings Ltd. (NYSE:NVGS)’s largest investor in our second quarter of 2022 investor database is Chuck Royce’s Royce & Associates which owns 1 million shares that are worth $11.8 million.
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3. BW LPG Limited (OTCMKTS:BWLLF)
Revenue as of 2021: $508 million
BW LPG Limited (OTCMKTS:BWLLF) is a Singaporean shipping company that transports LPG and performs trading services. The firm has a fleet of 41 very large gas carriers (VLGCs) and it operates these ships itself and also leases them out for time charter voyages.
BW LPG Limited (OTCMKTS:BWLLF) earned $508 million in spot revenue in 2021. This revenue represents the firm’s sales of shipping services through its own operations. During the same time period, it also brought in $179 million through time charter voyages. Through these, BW LPG Limited (OTCMKTS:BWLLF) leases out its ships to other entities for a fixed time period. Additionally, during its second fiscal quarter of 2022, BW LPG Limited (OTCMKTS:BWLLF) had a high capacity utilization rate of 98%, indicating that the firm is operating all of its assets.
2. Teekay Corporation (NYSE:TK)
Revenue as of 2021: $682 million
Teekay Corporation (NYSE:TK) is an oil, gas, and dry bulk shipping company. The firm is headquartered in Bermuda, and it has a fleet of 55 vessels.
Teekay Corporation (NYSE:TK) earned $682 million in revenue last year, and the firm is heavily discounted if we consider its Net Asset Value (NAV) as of August 2022. The NAV stands at $6.11 per share, which is significantly lower than the current share price of $4.29. Additionally, the firm has a market capitalization of $435 million, 68% of which is covered by its net cash position of $295 million – a strong indicator of Teekay Corporation (NYSE:TK)’s ability to generate value that is equivalent to its market valuation.
Teekay Corporation (NYSE:TK)’s largest investor is Jim Simons’ Renaissance Technologies which owns 2.2 million shares that are worth $6.5 million.
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1. Qatar Gas Transport Company Limited (Nakilat) (QPSC) (QGTS.QA)
Revenue as of 2021: $1.1 billion
Qatar Gas Transport Company Limited (Nakilat) (QPSC) (QGTS.QA) is a Qatari firm that is also the world’s largest liquefied natural gas (LNG) carrier. The firm has access to a massive fleet of 74 ships. Out of these, it has a full stake in 29 ships and joint ownership of 40 vessels.
Qatar Gas Transport Company Limited (Nakilat) (QPSC) (QGTS.QA) operates four LPG shipping vessels. Its biggest carrier is the Al Wukir, which has a capacity of 82,491 meters cube, a tonnage of 47,058 tonnes, and is currently operating under the flag of the Marshall Islands. Qatar Gas Transport Company Limited (Nakilat) (QPSC) (QGTS.QA)’s LPG carriers are operated under a 50-50 joint venture with Gulf LPG.
Disclosure: None. You can also take a look at 10 Defensive Stocks in Billionaire Ray Dalio’s Latest Portfolio and 10 Biggest Publishing Companies in the World.
