Scorpio Tankers (NYSE:STNG) Shares Gap Down on Analyst Downgrade

Scorpio Tankers Inc. (NYSE:STNG)’s share price gapped down before the market opened on Wednesday after Stifel Nicolaus downgraded the stock from a buy rating to a hold rating. The stock had previously closed at $64.76, but opened at $62.16. Stifel Nicolaus now has a $65.00 price target on the stock, down from their previous price target of $90.00. Scorpio Tankers shares last traded at $61.67, with a volume of 237,998 shares changing hands.

Other equities research analysts have also issued research reports about the stock. StockNews.com lowered shares of Scorpio Tankers from a “buy” rating to a “hold” rating in a research note on Friday, August 16th. Fearnley Fonds raised Scorpio Tankers to a “hold” rating in a report on Friday, September 27th. Bank of America decreased their target price on Scorpio Tankers from $73.00 to $71.00 and set a “neutral” rating for the company in a research report on Tuesday. Jefferies Financial Group reissued a “buy” rating and set a $90.00 price target on shares of Scorpio Tankers in a research report on Tuesday, July 30th. Finally, Evercore ISI raised their price objective on Scorpio Tankers from $99.00 to $100.00 and gave the stock an “outperform” rating in a research note on Tuesday, July 23rd. Four investment analysts have rated the stock with a hold rating and three have given a buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $82.40.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. EverSource Wealth Advisors LLC boosted its stake in shares of Scorpio Tankers by 970.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 321 shares of the shipping company’s stock worth $25,000 after acquiring an additional 291 shares in the last quarter. Fifth Third Bancorp boosted its position in shares of Scorpio Tankers by 319.0% in the 2nd quarter. Fifth Third Bancorp now owns 419 shares of the shipping company’s stock valued at $34,000 after purchasing an additional 319 shares during the period. Quarry LP increased its stake in Scorpio Tankers by 52.8% in the 2nd quarter. Quarry LP now owns 663 shares of the shipping company’s stock worth $54,000 after purchasing an additional 229 shares in the last quarter. Newbridge Financial Services Group Inc. raised its holdings in Scorpio Tankers by 34.2% during 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. Finally, Fidelis Capital Partners LLC purchased a new position in shares of Scorpio Tankers in the first quarter worth approximately $58,000. Institutional investors and hedge funds own 54.64% of the company’s stock.

Scorpio Tankers Stock Down 3.7 %

The business’s 50 day moving average is $70.05 and its 200 day moving average is $74.39. The stock has a market cap of $3.32 billion, a price-to-earnings ratio of 5.09, a price-to-earnings-growth ratio of 1.87 and a beta of 0.15. The company has a debt-to-equity ratio of 0.29, a quick ratio of 2.63 and a current ratio of 2.67.

Scorpio Tankers (NYSE:STNG) last released its earnings results on Tuesday, July 30th. The shipping company reported $3.60 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.52 by $0.08. Scorpio Tankers had a net margin of 47.36% and a return on equity of 23.83%. The company had revenue of $380.70 million during the quarter, compared to the consensus estimate of $368.62 million. During the same quarter in the prior year, the firm earned $2.41 EPS. The company’s revenue was up 15.6% compared to the same quarter last year. Equities analysts expect that Scorpio Tankers Inc. will post 12.43 earnings per share for the current year.

Scorpio Tankers Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, September 13th. Stockholders of record on Thursday, August 15th were issued a dividend of $0.40 per share. The ex-dividend date was Thursday, August 15th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 2.57%. Scorpio Tankers’s dividend payout ratio is currently 12.58%.

About Scorpio Tankers

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.