Scorpio Tankers (NYSE:STNG) Sees Strong Trading Volume Following Better-Than-Expected Earnings

Scorpio Tankers Inc. (NYSE:STNG) saw unusually-strong trading volume on Tuesday following a better than expected earnings announcement. Approximately 1,052,671 shares traded hands during mid-day trading, an increase of 16% from the previous session’s volume of 905,167 shares.The stock last traded at $58.93 and had previously closed at $60.95.

The shipping company reported $1.75 EPS for the quarter, beating the consensus estimate of $1.61 by $0.14. Scorpio Tankers had a return on equity of 23.83% and a net margin of 47.36%. The business had revenue of $267.99 million for the quarter, compared to analyst estimates of $267.91 million. During the same quarter in the previous year, the firm earned $1.91 EPS. Scorpio Tankers’s quarterly revenue was down 8.0% on a year-over-year basis.

Scorpio Tankers Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, December 13th. Stockholders of record on Friday, November 22nd will be issued a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 2.76%. The ex-dividend date of this dividend is Friday, November 22nd. Scorpio Tankers’s payout ratio is 14.84%.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on STNG shares. Bank of America cut their price target 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. StockNews.com downgraded Scorpio Tankers from a “buy” rating to a “hold” rating in a report on Friday, August 16th. Jefferies Financial Group restated a “buy” rating and set a $90.00 price target on shares of Scorpio Tankers in a research report on Tuesday. Evercore ISI cut their price objective on Scorpio Tankers from $84.00 to $80.00 and set an “outperform” rating for the company in a research report on Wednesday. Finally, Stifel Nicolaus cut Scorpio Tankers from a “buy” rating to a “hold” rating and decreased their target price for the stock from $90.00 to $65.00 in a report on Wednesday, October 23rd. Four equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company’s stock. Based on data from MarketBeat, Scorpio Tankers presently has a consensus rating of “Hold” and an average price target of $78.40.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Truist Financial Corp increased its stake in shares of Scorpio Tankers by 1.4% in the 2nd quarter. Truist Financial Corp now owns 10,933 shares of the shipping company’s stock valued at $889,000 after buying an additional 149 shares during the period. Newbridge Financial Services Group Inc. increased its position in Scorpio Tankers by 34.2% in the second quarter. Newbridge Financial Services Group Inc. now owns 695 shares of the shipping company’s stock worth $57,000 after purchasing an additional 177 shares during the period. Quarry LP raised its holdings in Scorpio Tankers by 52.8% during the 2nd 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. EverSource Wealth Advisors LLC lifted its position in Scorpio Tankers by 970.0% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 321 shares of the shipping company’s stock valued at $25,000 after purchasing an additional 291 shares during the period. Finally, Fifth Third Bancorp boosted its stake 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 last quarter. Institutional investors and hedge funds own 54.64% of the company’s stock.

Scorpio Tankers Stock Performance

The company has a debt-to-equity ratio of 0.29, a quick ratio of 2.63 and a current ratio of 2.67. The company has a market cap of $3.17 billion, a price-to-earnings ratio of 5.39 and a beta of 0.15. The firm’s 50-day moving average price is $68.85 and its 200 day moving average price is $74.06.

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.