Himalaya Shipping Ltd.

Himalaya Shipping Ltd.

HSHP·NYSE

$14.37

-1.9%
IndustrialsMarine Shipping

Himalaya Shipping Ltd. focuses on the provision of dry bulk shipping services. The company was incorporated in 2021 and is based in Hamilton, Bermuda.

At a Glance

Live Snapshot
Market Cap$677.47M
EPS0.3800
P/E Ratio37.82
Earnings Date08/11/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

High confidence

Valuation multiple is elevated (P/E 37.8).

Valuation inputs: P/E 37.8, earnings yield +2.6%, momentum -1.9%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is acceptable (ROE +10.9%, ROIC +8.0%).

Profitability stack: net margin +13.4%, ROE +10.9%, ROIC +8.0%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile is elevated and scenario stress-testing is essential.

Risk factors: liabilities/assets +81.3%, momentum -1.9%, net margin +13.4%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

hshp

Himalaya Shipping Ltd. Market vs Earnings Trajectory

HSHP · NYSE

Loading price and EPS data...

Himalaya Shipping Ltd.

Himalaya Shipping Ltd. Fair Value Envelope

HSHP · NYSE

Our analysis suggests that HSHP has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $14.37, this represents a potential HIDDEN relative to our calculated worth for Himalaya Shipping Ltd..

Intrinsic Value
Current Price: $14.37
3Y-723.0%
5Y-814.0%
10Y-814.0%
3Y-
5Y-
10Y-
3Y-1006.0%
5Y-1918.0%
10Y-1918.0%
3Y-3675.0%
5Y-10718.0%
10Y-10718.0%
3Y-165.0%
5Y-177.0%
10Y-177.0%
3Y+386.0%
5Y+807.0%
10Y+807.0%
Himalaya Shipping Ltd.

Himalaya Shipping Ltd. Profit Bridge

HSHP · NYSE
Revenue131.90M
Cost of Goods Sold (29.60M)
Gross Profit102.30M
Operating Expenses (34.10M)
Operating Income68.20M
Interest Expense (52.91M)
Other Income/Expense-50.50M
Pretax Income17.70M
Income Tax (0.00)
Net Income17.70M
Net Income
17.70M

Profitability Analysis

Gross Margin

77.6%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

51.7%

Outstanding operational efficiency. The company generates substantial profit from core operations.

Net Profit Margin

13.4%

Strong net margins indicate efficient operations and favorable tax/interest management.

Effective Tax Rate

0.0%

Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.

Profitability Insight

High margin compression: Large gap between gross and net margins suggests operational inefficiencies or heavy debt burden. Focus on expense management and deleveraging.

77.56%
Gross Profit Margin
-2%
3Y-
5Y-
10Y-
51.71%
Operating Profit Margin
-4%
3Y-
5Y-
10Y-
13.42%
Net Profit Margin
-21%
3Y-
5Y-
10Y-
10.95%
Return on Equity
-20%
3Y-606.0%
5Y-1133.0%
10Y-1133.0%
2.05%
Return on Assets
-14%
3Y-287.0%
5Y-300.0%
10Y-300.0%
8.02%
Return on Invested Capital
5%
3Y-746.0%
5Y-877.0%
10Y-877.0%
HSHP

Himalaya Shipping Ltd. Cash Conversion Engine

HSHP · NYSE
Net Income17.70M
Depreciation & Amortization31.90M
Stock-Based Compensation200.00K
Change in Working Capital1.90M
Others0.00
Capital Expenditures0.00
Free Cash Flow51.70M

Cash Flow Quality Analysis

FCF Conversion Rate

292.1%

Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.

FCF Growth Trend

+120.1%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

+$1.90M

Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.

Cash Flow Quality Insight

Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.

hshp

Himalaya Shipping Ltd. Funding & Solvency Profile

HSHP · NYSE
Cash & Cash Equivalents24.50M
Net Receivables1.00M
Inventory1.70M
Other Current Assets5.50M
Total Current Assets33 M
Property, Plant & Equipment816.50M
Goodwill & Intangible Assets0.00
Long-Term Investments400.00K
Other Non-Current Assets0.00
Total Non-Current Assets817 M
Total Assets
849.60M

Financial Health Analysis

Current Ratio

0.95x

Warning: Liquidity concerns. Current assets may not be sufficient to cover short-term obligations.

Debt-to-Equity Ratio

4.45x

High financial leverage. Heavy reliance on debt may indicate increased financial risk and potential solvency concerns.

Working Capital

-1600000

Negative working capital indicates short-term liabilities exceed short-term assets—potential liquidity stress.

Asset Composition

4% Current

Capital-intensive business with significant long-term investments in property, equipment, or intangibles.

Financial Health Insight

Financial stress indicators: Both liquidity and leverage metrics raise concerns. The company may face challenges meeting obligations and should focus on strengthening its balance sheet.

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Himalaya Shipping Ltd. Street Expectations Map

HSHP · NYSE

No Target Data

No analyst price targets available for hshp.

hshp

Himalaya Shipping Ltd. Insider Positioning

HSHP · NYSE

During the last 12 months, insiders have purchased $57K and sold $4.02M worth of HSHP shares, resulting in $3.96M of net selling activity.

3 Months

Bought

4.0K

56.80K

Sold

300.0K

4.02M

Net Activity

-4.0M

-$3.96M

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

1
SL

Svensen Lars-Christian

Officer: Contracted Ceo

4.0K shares1 transactions

$57K

Top Sellers

1
IBAF

Isaksen Bjorn Andreas Freng

Director

300.0K shares1 transactions

$4.02M

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $3.96M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.01:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Recent Trend (3 Months)

$3.96M

Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.

Insider Participation

Balanced

1 insider buyers and 1 sellers. Equal participation suggests mixed or neutral insider views.

Insider Activity Insight

Persistent selling pressure: Consistent insider selling with weak buy/sell ratio suggests insiders may be capitalizing on current valuation. Exercise caution and review recent earnings quality and management commentary.

1.88%
Dividend Yield
-36%
3Y-
5Y-
10Y-
 

hshp Dividend History

HSHP
10Y CAGR +31%
Latest $0.15
Annual $0.974872
5 year growth trend
Last Period: +150%