BW LPG (NYSE:BWLP) vs. Himalaya Shipping (NYSE:HSHP) Critical Contrast

Himalaya Shipping (NYSE:HSHP) and BW LPG (NYSE:BWLP) are both transportation companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, dividends, analyst recommendations, earnings and profitability.

Earnings & Valuation

This table compares Himalaya Shipping and BW LPG”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Himalaya Shipping	$131.90 million	N/A	$17.70 million	$0.38	38.13
BW LPG	$3.56 billion	0.76	$354.30 million	$1.13	15.77

BW LPG has higher revenue and earnings than Himalaya Shipping. BW LPG is trading at a lower price-to-earnings ratio than Himalaya Shipping, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Himalaya Shipping and BW LPG, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Himalaya Shipping	0	1	0	0	2.00
BW LPG	0	1	1	0	2.50

Profitability

This table compares Himalaya Shipping and BW LPG’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Himalaya Shipping	13.44%	11.02%	2.04%
BW LPG	4.57%	8.78%	5.04%

Institutional & Insider Ownership

22.3% of Himalaya Shipping shares are held by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

BW LPG beats Himalaya Shipping on 6 of the 10 factors compared between the two stocks.

About Himalaya Shipping

Himalaya Shipping Ltd. provides dry bulk shipping services worldwide. The company operates a fleet of vessels. It serves major commodity trading, commodity and energy transition, and multi-modal transport companies. Himalaya Shipping Ltd. was incorporated in 2021 and is based in Hamilton, Bermuda.

About BW LPG

BW LPG Limited, an investment holding company, engages in ship owning and chartering activities worldwide. The company operates through Shipping and Product Services segments. The company involved in the transportation of liquefied petroleum gas to oil companies, and trading and utility companies. It also offers integrated liquified petroleum gas (LPG) delivery services and support; wholesale and trade of LPG; and management services. It owns and operates LPG vessels and a fleet of very large gas carriers. The company was formerly known as BW Gas LPG Holding Limited and changed its name to BW LPG Limited in September 2013. BW LPG Limited was founded in 1935 and is headquartered in Singapore.