International Seaways Inc (INSW, Financial) has recently caught the attention of investors with its notable stock performance. The company's market capitalization stands at a robust $2.36 billion, with the current stock price at $48.22. Over the past week, INSW has seen a 4.44% gain, while the past three months have been even more impressive with a 12.89% increase. This growth trajectory has sparked interest in the stock's valuation and future prospects.
The GF Value, a metric that provides insight into a stock's intrinsic value, is currently at $44.64. This figure is slightly lower than the past GF Value of $46.6, indicating a shift in the stock's perceived value over the last quarter. Despite these changes, INSW remains "Fairly Valued," both currently and as it was three months ago, according to GuruFocus valuation metrics. This suggests that the stock's recent price movements are in line with its fundamental worth.
Introduction to International Seaways Inc
International Seaways Inc operates within the Oil & Gas industry, focusing on the transportation of crude oil and petroleum products. The company's fleet is diverse, including ULCC, VLCC, Suezmax, Aframax, and Panamax crude tankers, as well as LR1, LR2, and MR product carriers. With operations divided into two segments, Crude Tankers and Product Carriers, INSW plays a critical role in the global oil supply chain.
Assessing Profitability
INSW's Profitability Rank is currently at 5/10, placing it at the midpoint when compared to its industry peers. The company's Operating Margin is an impressive 58.68%, outperforming 95.62% of 982 companies in the same industry. Additionally, INSW's Return on Equity (ROE) stands at 42.04%, surpassing 90.53% of its competitors. The Return on Assets (ROA) and Return on Invested Capital (ROIC) are also strong at 24.98% and 29.98%, respectively, indicating efficient management and profitability. However, it's worth noting that INSW has only been profitable for 2 out of the past 10 years, which is a point of consideration for long-term investors.
Growth Prospects of International Seaways
The company's Growth Rank is 4/10, reflecting moderate growth potential. INSW's 3-Year Revenue Growth Rate per Share is 11.50%, which is better than 51.39% of 862 companies in the industry. The 5-Year Revenue Growth Rate per Share is also positive at 6.30%. However, the estimated Total Revenue Growth Rate for the next 3 to 5 years is projected at -1.99%, which may raise concerns about the company's long-term revenue trajectory. On a brighter note, the 3-Year EPS without NRI Growth Rate is an astonishing 327.60%, indicating significant earnings growth and potential for future profitability.
Investor Confidence and Shareholders
Investor confidence in INSW is evidenced by the holdings of prominent investors. Donald Smith & Co is the leading shareholder with 1,294,841 shares, representing a 2.65% stake in the company. Following closely is Jim Simons (Trades, Portfolio), holding 715,531 shares, which translates to a 1.46% share percentage. Keeley-Teton Advisors, LLC (Trades, Portfolio) also holds a significant number of shares at 83,120, accounting for 0.17% of INSW's shares. These investments reflect a level of confidence from seasoned investors in the company's performance and future.
Competitive Landscape
When compared to its competitors, INSW holds its ground with a market cap of $2.36 billion. Golar LNG Ltd (GLNG, Financial) has a slightly higher market cap at $2.44 billion, while NuStar Energy LP (NS, Financial) is on par with INSW at $2.37 billion. Holly Energy Partners LP (HEP, Financial) leads the pack with a market cap of $2.59 billion. These comparisons highlight a competitive but stable position for INSW within the industry.
Conclusion: Evaluating INSW's Market Position
In summary, International Seaways Inc's stock performance has been robust, with a 12.89% gain over the past three months and a current valuation that is considered fair. The company's profitability metrics are strong, particularly in terms of operating margin, ROE, ROA, and ROIC. Growth prospects are mixed, with impressive EPS growth but a concerning forecast for total revenue growth. Shareholder confidence is solid, with significant investments from notable investors. Finally, INSW's market cap holds up well against its competitors, suggesting a stable position in the market. As investors continue to monitor INSW's performance, these factors will play a crucial role in shaping the company's future trajectory.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
