Head-To-Head Survey: Himalaya Shipping (HSHP) versus The Competition

Himalaya Shipping (NYSE:HSHP) is one of 57 public companies in the “Deep sea foreign transportation of freight” industry, but how does it contrast to its peers? We will compare Himalaya Shipping to similar businesses based on the strength of its risk, dividends, institutional ownership, earnings, valuation, profitability and analyst recommendations.

Dividends

Himalaya Shipping pays an annual dividend of $0.20 per share and has a dividend yield of 4.0%. As a group, “Deep sea foreign transportation of freight” companies pay a dividend yield of 5.7% and pay out 23.8% of their earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Himalaya Shipping and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Himalaya Shipping	1	0	0	0	1.00
Himalaya Shipping Competitors	280	1683	1876	95	2.45

As a group, “Deep sea foreign transportation of freight” companies have a potential upside of 47.28%. Given Himalaya Shipping’s peers stronger consensus rating and higher probable upside, analysts plainly believe Himalaya Shipping has less favorable growth aspects than its peers.

Insider & Institutional Ownership

22.3% of Himalaya Shipping shares are held by institutional investors. Comparatively, 43.7% of shares of all “Deep sea foreign transportation of freight” companies are held by institutional investors. 14.5% of shares of all “Deep sea foreign transportation of freight” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Volatility and Risk

Himalaya Shipping has a beta of 2.36, meaning that its stock price is 136% more volatile than the S&P 500. Comparatively, Himalaya Shipping’s peers have a beta of 1.13, meaning that their average stock price is 13% more volatile than the S&P 500.

Profitability

This table compares Himalaya Shipping and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Himalaya Shipping	21.93%	15.72%	3.14%
Himalaya Shipping Competitors	31.53%	16.20%	8.24%

Valuation and Earnings

This table compares Himalaya Shipping and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Himalaya Shipping	$112.30 million	$1.51 million	N/A
Himalaya Shipping Competitors	$831.54 million	$120.80 million	5.88

Himalaya Shipping’s peers have higher revenue and earnings than Himalaya Shipping.

Summary

Himalaya Shipping peers beat Himalaya Shipping on 12 of the 14 factors compared.

Himalaya Shipping Company Profile

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.