Analyzing Toro (NASDAQ:TORO) and Hafnia (NYSE:HAFN)

Hafnia (NYSE:HAFN) and Toro (NASDAQ:TORO) are both transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, institutional ownership, earnings, dividends, analyst recommendations, valuation and profitability.

Risk & Volatility

Hafnia has a beta of 1.04, indicating that its stock price is 4% more volatile than the S&P 500. Comparatively, Toro has a beta of 1.14, indicating that its stock price is 14% more volatile than the S&P 500.

Insider and Institutional Ownership

1.7% of Toro shares are held by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Hafnia and Toro’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hafnia	29.50%	13.50%	8.46%
Toro	26.12%	2.61%	1.58%

Earnings and Valuation

This table compares Hafnia and Toro”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hafnia	$1.94 billion	N/A	$774.03 million	$0.61	10.07
Toro	$22.39 million	3.61	$25.21 million	$0.04	94.00

Hafnia has higher revenue and earnings than Toro. Hafnia is trading at a lower price-to-earnings ratio than Toro, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and price targets for Hafnia and Toro, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hafnia	0	1	0	1	3.00
Toro	1	0	0	0	1.00

Summary

Hafnia beats Toro on 8 of the 11 factors compared between the two stocks.

About Hafnia

Hafnia Limited owns and operates oil product tankers in Bermuda. It operates through Long Range II, Long Range I, Medium Range (MR), Handy size, and Specialized segments. The company transports clean and dirty, refined oil products, vegetable oil, and easy chemicals to national and international oil companies, and chemical companies, as well as trading and utility companies; and owns and operates 200 vessels. It provides ship owning, ship-management, investment, management, corporate support, and agency office services. In addition, the company provides integrated shipping platform, including technical management, commercial and chartering services, pool management, and large-scale bunker desk services. Hafnia Limited is based in Hamilton, Bermuda.

About Toro

Toro Corp., a shipping company, acquires, owns, charters, and operates oceangoing tanker vessels and provides seaborne transportation services for crude oil LPG, and refined petroleum products worldwide. The company operates in three segments: Aframax/LR2 Tanker, Handysize Tanker, and LPG Carrier. As of December 31, 2023, it operated a fleet of one Handysize tanker vessel; one Aframax/LR2 vessel; and four LPG carrier vessels with an aggregate cargo carrying capacity of 0.1 million deadweight ton. Toro Corp. was incorporated in 2022 and is based in Limassol, Cyprus.