Scorpio Tankers (NYSE:STNG) Shares Gap Up – Still a Buy?

Scorpio Tankers Inc. (NYSE:STNG)’s share price gapped up prior to trading on Friday . The stock had previously closed at $52.39, but opened at $55.57. Scorpio Tankers shares last traded at $55.08, with a volume of 225,936 shares.

Analyst Ratings Changes

STNG has been the subject of several recent research reports. Fearnley Fonds raised Scorpio Tankers to a “hold” rating in a report on Friday, September 27th. Stifel Nicolaus downgraded Scorpio Tankers from a “buy” rating to a “hold” rating and cut their price objective for the company from $90.00 to $65.00 in a research note on Wednesday, October 23rd. Bank of America reduced their target price on shares of Scorpio Tankers from $73.00 to $71.00 and set a “neutral” rating for the company in a report on Tuesday, October 22nd. Jefferies Financial Group lowered their price target on shares of Scorpio Tankers from $80.00 to $75.00 and set a “buy” rating on the stock in a report on Thursday, December 12th. Finally, Evercore ISI decreased their price objective on shares of Scorpio Tankers from $84.00 to $80.00 and set an “outperform” rating on the stock in a research report on Wednesday, October 30th. Four analysts have rated the stock with a hold rating and three have given a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $75.40.

Scorpio Tankers Stock Performance

The business’s fifty day simple moving average is $51.33 and its 200-day simple moving average is $64.91. The company has a market capitalization of $2.78 billion, a P/E ratio of 3.95 and a beta of 0.12. The company has a debt-to-equity ratio of 0.27, a quick ratio of 2.18 and a current ratio of 2.21.

Scorpio Tankers (NYSE:STNG) last posted its earnings results on Tuesday, October 29th. The shipping company reported $1.75 EPS for the quarter, topping analysts’ consensus estimates of $1.61 by $0.14. Scorpio Tankers had a return on equity of 22.56% and a net margin of 52.40%. The company had revenue of $267.99 million for the quarter, compared to the consensus estimate of $267.91 million. During the same period in the previous year, the business earned $1.91 earnings per share. The firm’s revenue for the quarter was down 8.0% on a year-over-year basis. As a group, equities analysts anticipate that Scorpio Tankers Inc. will post 11.04 earnings per share for the current fiscal year.

Scorpio Tankers Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, December 13th. Stockholders of record on Friday, November 22nd were issued a dividend of $0.40 per share. The ex-dividend date of this dividend was Friday, November 22nd. This represents a $1.60 annualized dividend and a dividend yield of 2.90%. Scorpio Tankers’s dividend payout ratio (DPR) is 11.47%.

Hedge Funds Weigh In On Scorpio Tankers

A number of institutional investors and hedge funds have recently made changes to their positions in the business. EverSource Wealth Advisors LLC raised its position in Scorpio Tankers by 970.0% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 321 shares of the shipping company’s stock worth $25,000 after purchasing an additional 291 shares during the period. Harbor Capital Advisors Inc. bought a new stake in shares of Scorpio Tankers during the third quarter worth $28,000. GAMMA Investing LLC boosted its stake in shares of Scorpio Tankers by 204.1% during the fourth quarter. GAMMA Investing LLC now owns 599 shares of the shipping company’s stock valued at $30,000 after purchasing an additional 402 shares during the period. Quarry LP grew its holdings in shares of Scorpio Tankers by 52.8% in the second quarter. Quarry LP now owns 663 shares of the shipping company’s stock worth $54,000 after purchasing an additional 229 shares during the last quarter. Finally, Newbridge Financial Services Group Inc. increased its stake in Scorpio Tankers by 34.2% in the 2nd quarter. Newbridge Financial Services Group Inc. now owns 695 shares of the shipping company’s stock worth $57,000 after buying an additional 177 shares during the period. 54.64% of the stock is owned by hedge funds and other institutional investors.

Scorpio Tankers Company Profile

Scorpio Tankers Inc, together with its subsidiaries, engages in the seaborne transportation of crude oi and refined petroleum products in the shipping markets worldwide. As of March 21, 2024, its fleet consisted of 110 owned and leases financed tanker, including 39 LR2, 57 MR, and 14 Handymax with a weighted average age of approximately 8.1 years.