Is Dorian LPG Ltd. overvalued or undervalued?

As of 7 July 2025, Dorian LPG Ltd. has moved from an expensive to a very expensive valuation grade. The company is overvalued based on its current metrics. Key ratios include a P/E ratio of 13, an EV to EBITDA of 8.25, and a Price to Book Value of 1.16, which indicate a premium compared to its peers. For instance, International Seaways, Inc. has a P/E ratio of 9.81 and an EV to EBITDA of 6.74, while Golar LNG Ltd. shows a higher P/E of 22.93 but a significantly higher EV to EBITDA of 54.71, highlighting the relative overvaluation of Dorian LPG.
In terms of stock performance, Dorian LPG has shown strong returns over the longer term, with a 3-year return of 131.30% compared to the S&P 500's 70.41%, but it has underperformed over the past year with a return of -8.32% against the S&P 500's 17.14%. This mixed performance further supports the conclusion that the stock is currently overvalued.