This Energy Stock Is Trading at New All-Time Highs, But Barchart’s Technical Analysis Expert Warns It May Be Running Out of Gas

Barchart · 1d ago

Dorian LPG (LPG) demonstrates strong technical momentum, with shares trading at a new all-time high.
The stock is up nearly 80% over the past 52 weeks.
LPG holds a 100% “Buy” technical opinion from Barchart and has a Trend Seeker “Buy” signal intact.
However, I believe LPG may soon run out of gas, as several analyst ratings and sentiment indicators suggest caution at current levels.

Today’s Featured Stock

Valued at $2.36 billion, Dorian LPG (LPG) is a liquefied petroleum gas shipping company. It is primarily focused on owning and operating Very Large Gas Carriers (VLGCs).

What I’m Watching

I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals and superior current momentum. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. LPG checks those boxes. The Trend Seeker issued a new “Buy” signal on July 21. Since then, the stock has gained 24.24%.

Barchart’s Technical Indicators for Dorian LPG

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

Dorian LPG scored an all-time high of $55.28 on Sept. 4.

Dorian has a Weighted Alpha of 101.87.
LPG has a 100% “Buy” opinion from Barchart.
The stock has gained 79.57% over the past 52 weeks.
Dorian has its Trend Seeker “Buy” signal intact.
The stock recently traded at $55.20 with a 50-day moving average of $44.72.
LPG had 10 new highs and gained 26.84% in the last month.
60-month beta of 0.61.
Relative Strength Index (RSI) is at 72.83.
There’s a technical support level around $54.31.

Don’t Forget the Fundamentals

$2.36 billion market capitalization.
8.08x trailing price-earnings ratio.
Revenue is projected to grow 32.32% this year but shrink by 34.02% next year.
Earnings are estimated to increase by 71.48% this year then decrease by 40.28% next year.

Analyst and Investor Sentiment on Dorian LPG

The Wall Street analysts followed by Barchart give the stock 6 “Strong Buy” and 1 “Hold” opinions with price targets between $32 and $55.
Value Line rates the stock "Above Average."
Morningstar thinks the stock is fairly valued.
CFRA’s MarketScope rates the stock as “Hold.”
11,190 investors are following the stock on Seeking Alpha, which rates it a “Hold.”
TipRanks’ analysts’ price target is $54.
Short interest is 4.67% of the float with 3.37 days to cover the float.

The Bottom Line on Dorian LPG

Although Dorian LPG stock has experienced terrific price momentum, my personal opinion is it may soon run out of gas.

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculate should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.

On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.