Arctic Securities chopped its estimates for three LPG carrier owners but kept a bullish stance on their New York and Oslo-listed shares.
The reductions for Dorial LPG, Aurora LPG and BW LPG came as the analyst Erik Nikolai Stavseth predicted that slumping spot rates for very large gas carriers (VLGCs) have further to fall before finding their bottom.
But Arctic kept its "buy" ratings on all three stocks.
"As the VLGC market is showing clear signs of having passed the zenith of the cycle seen in 2014 and 2015, the focus turns to how low we can go before reaching the nadir, which we see in 2017," Stavseth said in a note to clients.
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