International Seaways, Inc. (NYSE:INSW) is a prominent player in the shipping industry, primarily engaged in the transportation of crude oil and petroleum products. The company operates a diverse fleet of vessels, providing essential services in the global energy supply chain. In a competitive landscape, INSW's performance is often compared with peers like Scorpio Tankers Inc., Euronav N.V., Ardmore Shipping Corporation, Teekay Tankers Ltd., and Dorian LPG Ltd.
INSW's Return on Invested Capital (ROIC) is 8.85%, while its Weighted Average Cost of Capital (WACC) is 5.19%. This results in a ROIC to WACC ratio of 1.70, indicating that the company is generating returns above its cost of capital. This is a positive indicator for investors, as it suggests efficient capital utilization.
Comparatively, Scorpio Tankers Inc. has a ROIC of 8.01% and a WACC of 6.39%, resulting in a ROIC to WACC ratio of 1.25. While still positive, it is lower than INSW's, indicating less efficiency in generating returns over its cost of capital.
Euronav N.V. boasts a high ROIC of 18.03% against a WACC of 6.98%, leading to a ROIC to WACC ratio of 2.58. This suggests that Euronav is highly effective in using its capital to generate returns, surpassing INSW's performance in this metric.
Teekay Tankers Ltd. stands out with a ROIC of 12.88% and a WACC of 4.89%, resulting in the highest ROIC to WACC ratio of 2.63 among the peers. This indicates that Teekay is the most efficient in utilizing its capital to generate returns, outperforming INSW and other competitors in this regard.
