By The Value Investor:
Navigator Holdings (NVGS) made its public debut on Thursday, November 21. Shares of the owner and operator of handysize liquefied gas carriers ended their first day with gains of 5.2%.
While Navigator is a great company, being a leader in its field while nicely growing revenues and earnings, the valuation is too high for me to pick up some shares at this level.
I remain on the sidelines.
The Public Offering
Navigator is an owner and operator of what it claims is the largest fleet of handysize liquefied gas carriers. It provides transportation of LPG, petrochemical gases and ammonia for energy companies, industrial users and commodity traders.
By cooling the load, volumes will be reduced up to 900 times, depending on the cargo. US shale oil and gas provides companies like Navigator the possibility to export these gases to worldwide markets as the transportation is relatively cost-efficient.
Navigator Holdings
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