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BW LPG Limited (BWLP)



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Upturn Advisory Summary
08/14/2025: BWLP (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Analysis of Past Performance
Type Stock | Historic Profit 38.4% | Avg. Invested days 37 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Small-Cap Stock | Market Capitalization 1.83B USD | Price to earnings Ratio 6.42 | 1Y Target Price - |
Price to earnings Ratio 6.42 | 1Y Target Price - | ||
Volume (30-day avg) - | Beta 0.4 | 52 Weeks Range 7.66 - 16.82 | Updated Date 06/29/2025 |
52 Weeks Range 7.66 - 16.82 | Updated Date 06/29/2025 | ||
Dividends yield (FY) 9.33% | Basic EPS (TTM) 1.87 |
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 7.63% | Operating Margin (TTM) 5.37% |
Management Effectiveness
Return on Assets (TTM) 7.1% | Return on Equity (TTM) 17.41% |
Valuation
Trailing PE 6.42 | Forward PE 6.54 | Enterprise Value 2679478784 | Price to Sales(TTM) 0.54 |
Enterprise Value 2679478784 | Price to Sales(TTM) 0.54 | ||
Enterprise Value to Revenue 0.79 | Enterprise Value to EBITDA 4.59 | Shares Outstanding 151343008 | Shares Floating 79510316 |
Shares Outstanding 151343008 | Shares Floating 79510316 | ||
Percent Insiders 39.75 | Percent Institutions 32.14 |
Upturn AI SWOT
BW LPG Limited
Company Overview
History and Background
BW LPG Limited was founded in 1955 as Bergesen d.y. ASA. It evolved from a shipping company focusing on crude oil to specializing in LPG transportation. It was later acquired by the BW Group and rebranded as BW LPG Limited.
Core Business Areas
- LPG Transportation: The core business involves the transportation of liquefied petroleum gas (LPG) across global routes using a fleet of Very Large Gas Carriers (VLGCs).
- LPG Trading: BW LPG engages in LPG trading activities, optimizing vessel utilization and capitalizing on market price fluctuations.
- Terminal Operations: BW LPG owns and operates LPG terminals, providing storage and handling services.
Leadership and Structure
The company is led by a board of directors and an executive management team. Andreas Sohmen-Pao is the Chairman, and Kristian Su00f8rensen is the CEO. The organizational structure includes departments for commercial operations, technical management, and finance.
Top Products and Market Share
Key Offerings
- VLGC Transportation: This encompasses the transportation of LPG via Very Large Gas Carriers. BW LPG operates one of the world's largest fleets of VLGCs, serving major LPG import and export markets globally. Market share varies by region and trade lane, but BW LPG is considered a leading player. Competitors include Avance Gas, Dorian LPG, and Navigator Gas.
- LPG Trading: BW LPG actively trades LPG cargoes, optimizing its vessel positions and taking advantage of arbitrage opportunities. Revenue from trading contributes significantly to overall earnings. Competitors include major energy trading houses and other shipping companies with trading desks.
Market Dynamics
Industry Overview
The LPG transportation industry is driven by global demand for LPG, primarily for heating, cooking, and petrochemical feedstock. The market is influenced by factors such as crude oil prices, geopolitical events, and infrastructure development. Expansion of the U.S. shale gas production is creating increased LPG export volumes. Increasing regulations on environmental standards for fuel are also impacting the industry positively as LPG is cleaner than other alternatives.
Positioning
BW LPG is a leading player in the VLGC market, known for its modern fleet, operational efficiency, and strong relationships with major LPG producers and consumers. It has a competitive advantage due to its scale, expertise, and integrated business model.
Total Addressable Market (TAM)
The TAM for seaborne LPG trade is estimated to be over $20 billion annually. BW LPG, with its extensive fleet and global network, is well-positioned to capture a significant portion of this market.
Upturn SWOT Analysis
Strengths
- Large and modern VLGC fleet
- Strong operational efficiency
- Experienced management team
- Established relationships with key customers
- Global presence
Weaknesses
- Exposure to volatile freight rates
- High capital expenditure requirements
- Dependence on global LPG demand
- Geopolitical risk in key trading routes
Opportunities
- Growing global LPG demand
- Expansion of U.S. LPG exports
- Development of new LPG import infrastructure in emerging markets
- Adoption of LPG as a cleaner fuel alternative
- Potential for consolidation in the VLGC market
Threats
- Overcapacity in the VLGC market
- Fluctuations in crude oil and LPG prices
- Geopolitical instability affecting trade routes
- Environmental regulations and decarbonization pressures
- Competition from other shipping companies
Competitors and Market Share
Key Competitors
- AVACF
- DLPG
- NVGS
Competitive Landscape
BW LPG benefits from its scale and experience. Competitors are attempting to capture a piece of the market by offering comparable rates and leveraging pre-existing customer relationships. BW LPG can leverage its market presence and brand familiarity to maintain its position.
Major Acquisitions
Aurora LPG Holding ASA
- Year: 2016
- Acquisition Price (USD millions): 317.3
- Strategic Rationale: The acquisition of Aurora LPG strengthened BW LPG's market position and expanded its fleet of VLGCs.
Growth Trajectory and Initiatives
Historical Growth: BW LPG's historical growth has been driven by increased global LPG demand and strategic fleet expansion.
Future Projections: Future growth projections would depend on analyst estimates and market forecasts, considering factors such as LPG demand, freight rates, and fleet expansion plans.
Recent Initiatives: Recent strategic initiatives include fleet upgrades to dual-fuel LPG propulsion, investing in new technologies, and forming strategic partnerships to expand its service offerings.
Summary
BW LPG is a major player in the LPG shipping industry, benefiting from a large fleet and global presence. Its profitability is susceptible to the volatility of freight rates and LPG prices. The company is taking steps to grow through strategic acquisitions and investments in new technologies. Monitoring the global LPG supply/demand balance and potential overcapacity in the VLGC sector are crucial.
Peer Comparison
Sources and Disclaimers
Data Sources:
- BW LPG Limited Investor Relations
- Industry Reports (e.g., Clarksons, Drewry)
- Financial News Outlets
- Company Filings (SEC, Oslo Stock Exchange)
- Third party providers such as Yahoo Finance, Marketwatch, and Reuters
Disclaimers:
This analysis is based on publicly available information and general market knowledge. It should not be considered financial advice. The accuracy of projections and estimates cannot be guaranteed.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About BW LPG Limited
Exchange NYSE | Headquaters - | ||
IPO Launch date 2014-01-28 | CEO & Interim Head of Commercial Mr. Kristian Sorensen | ||
Sector Industrials | Industry Marine Shipping | Full time employees 1429 | Website https://www.bwlpg.com |
Full time employees 1429 | Website https://www.bwlpg.com |
BW LPG Limited, an investment holding company, engages in ship owning and chartering activities worldwide. It operates through Shipping and Product Services segments. The company engages in the transportation of liquefied petroleum gas (LPG); provision of integrated LPG delivery services, as well as management services; wholesale and trade of LPG; and investment in commercial enterprises. As of December 31, 2024, it owned and operated a fleet of 55 vessels, including 53 very large gas carriers (of which 29 were owned), 2 large gas carriers time chartered in by product services, and 8 VLGCs owned by BW LPG India Pte. Ltd. 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.

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