While "the trend is your friend" when it comes to short-term investing or trading, timing entries into the trend is a key determinant of success. And increasing the odds of success by making sure the sustainability of a trend isn't easy.The trend often reverses before exiting the trade, leading to a short-term capital loss for investors. So, for a profitable trade, one should confirm factors such as sound fundamentals, positive earnings estimate revisions, etc. that could keep the momentum in the stock aliv ...

Shares of Ardmore Shipping (ASC) have gained 0.6% over the past four weeks to close the last trading session at $16.32, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $20.67 indicates a potential upside of 26.7%.The mean estimate comprises three short-term price targets with a standard deviation of $1.15. While the lowest estimate of $20 indicates a 22.6% increase from the curr ...

Industry Overview - Tensions in the Middle East are escalating, impacting oil prices and creating investment opportunities in oil stocks [1] - OPEC+ production cuts and sanctions on major oil producers like Russia and Venezuela are expected to keep oil prices elevated [1] Plains All American Pipeline (PAA) - PAA is a master limited partnership involved in crude oil transportation in the U.S. and Canada, with activities including pipeline transport, marketing, and storage [2] - The stock has shown strong performance due to America's industrial boom and a shift towards reducing foreign oil dependence [2] - PAA has a forward P/E of 14 and a high dividend yield of 7%, with a total estimated CapEx for 2024 at $600 million and EBITDA of approximately $2.75 billion [3] Dynagas LNG Partners LP (DLNG) - DLNG specializes in transporting liquefied natural gas (LNG) globally, operating a fleet of six LNG carriers with a capacity nearing 1 million cubic meters [4][5] - The company has appreciated 25% year-to-date, trading at 2.7 times forward earnings, with potential for further upside due to steady profits and debt reduction [5] Ardmore Shipping Corporation (ASC) - ASC focuses on the seaborne transportation of refined oil products and chemicals, operating a fleet of 22 owned and four chartered vessels [6] - The company benefits from increased shipping expenses due to Middle East tensions, particularly in critical chokepoints [6] - Despite a 370% increase since 2022, ASC has a forward dividend yield of 5.7% and trades at only 5 times forward earnings, with strong margins of 29.5% [7]

Core Viewpoint - Ardmore Shipping (ASC) is well-positioned to continue its earnings-beat streak in upcoming reports, supported by a strong history of exceeding earnings estimates and positive earnings expectations [1][2]. Group 1: Earnings Performance - Ardmore Shipping has an average surprise of 10.37% over the past two quarters, indicating a consistent ability to outperform earnings estimates [1]. - In the last reported quarter, the company achieved earnings of $0.63 per share, surpassing the Zacks Consensus Estimate of $0.59 per share by 6.78% [1]. - For the previous quarter, Ardmore Shipping's earnings were $0.49 per share against an expected $0.43 per share, resulting in a surprise of 13.95% [1]. Group 2: Earnings Estimates and Predictions - Estimates for Ardmore Shipping have been trending higher, influenced by its history of earnings surprises [2]. - The company currently has a positive Zacks Earnings ESP of +1.21%, indicating increased analyst optimism regarding its near-term earnings potential [3]. - The combination of a positive Earnings ESP and a Zacks Rank of 2 (Buy) suggests a strong likelihood of another earnings beat [3]. Group 3: Importance of Earnings ESP - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [3]. - A negative Earnings ESP does not necessarily indicate an earnings miss but can reduce the predictive power of the metric [3]. - It is crucial for investors to check a company's Earnings ESP prior to quarterly releases to enhance the chances of successful investment decisions [4].

Ardmore Shipping (ASC) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #1 (Strong Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power o ...

Investors interested in Transportation stocks should always be looking to find the best-performing companies in the group. Has Ardmore Shipping (ASC) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Transportation peers, we might be able to answer that question.Ardmore Shipping is a member of the Transportation sector. This group includes 132 individual stocks and currently holds a Zacks Sector Rank of #13. The Zacks Sector Rank considers 16 d ...

Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value ...

Ardmore Shipping (ASC) closed the most recent trading day at $16.70, moving +0.06% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 1.11%. Meanwhile, the Dow experienced a rise of 0.8%, and the technology-dominated Nasdaq saw an increase of 1.24%.Coming into today, shares of the shipping company had gained 5.1% in the past month. In that same time, the Transportation sector gained 0.33%, while the S&P 500 gained 0.48%.The investment community will be closely ...

Core Viewpoint - The average brokerage recommendation (ABR) for Ardmore Shipping (ASC) is 1.00, indicating a Strong Buy, based on three brokerage firms' recommendations, all of which are Strong Buy [1][2] Group 1: Brokerage Recommendations - Brokerage recommendations often exhibit a strong positive bias due to the vested interests of the firms, leading to a higher number of Strong Buy ratings compared to Strong Sell ratings [2][3] - The ABR is calculated solely from brokerage recommendations, which may not accurately reflect the stock's potential for price appreciation [2][4] Group 2: Zacks Rank vs. ABR - Zacks Rank is a quantitative model based on earnings estimate revisions, providing a more reliable indicator of near-term stock performance compared to ABR [4][5] - The Zacks Rank is updated more frequently and reflects timely changes in earnings estimates, while ABR may not be current [5] Group 3: Current Earnings Estimates for Ardmore Shipping - The Zacks Consensus Estimate for Ardmore Shipping remains unchanged at $2.60 for the current year, indicating steady analyst views on earnings prospects [6] - Due to the unchanged consensus estimate and other factors, Ardmore Shipping holds a Zacks Rank of 3 (Hold), suggesting caution despite the Buy-equivalent ABR [6]

Industry Overview - The MR tanker market is experiencing a positive trend, with 2024 rates projected to be higher than the seasonal average from 2019 to 2023 due to a deficit of MR tankers and increasing tonne-mile demand for petrol products [6][7] - The MR orderbook is at a historical low of 7.7% of the fleet, with a significant portion of the fleet being over 20 years old, indicating a need for replacement [6][7] Company Performance - Ardmore Shipping Corporation (ASC) reported a net revenue of $395.978 million in FY23, a decrease of 11% from $445.741 million in FY22, with net income attributable to common stockholders at $113.408 million, down 16% year-over-year [11][12] - Despite lower revenues, ASC achieved strong cash flow performance, generating $159 million in operating cash flow and $134 million in free cash flow in FY23, compared to $124 million and $120 million respectively in FY22 [12][18] - The average TCE (Time Charter Equivalent) rates for ASC increased from $27,460/day in 2Q23 to $35,400/day in 1Q24, with a cash break-even cost of $13,900/day [9][12] Fleet and Operational Strategy - ASC's fleet consists of 1 MR tanker, 17 product/chemical MR tankers, and 4 Handysize tankers, with an average fleet age of 9.6 years [8][19] - The company has installed scrubbers on 25% of its fleet, enhancing its competitive position in the market due to higher TCE rates for scrubber-equipped vessels [8][19] - ASC plans to retrofit five more MR tankers with scrubbers in FY24, further improving operational efficiency [8] Financial Metrics and Valuation - ASC's dividend yield stands at 5.43% with a payout ratio of 33.3%, indicating a safe dividend distribution [17][18] - The company has a conservative balance sheet with total debt/equity at 16% and total liabilities/total assets at 16.9%, allowing for low service costs [19] - ASC is considered relatively cheap compared to competitors based on EV/Sales and EV/EBITDA metrics [20][21] Market Position and Outlook - ASC operates in a niche market focused solely on MR tankers, with no direct competitors in the product tanker segment [22] - The demand for MR vessels is expected to remain strong due to global needs for refined petrol products and chemicals, with a projected 11% year-over-year growth in tonne-mile demand in 2023 [7][25] - The company is positioned to benefit from the anticipated resilience in MR TCE rates in 2024, supported by favorable market conditions [7][25]