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

Shares of Scorpio Tankers Inc. (NYSE:STNG) saw an uptick in trading volume on Tuesday after the company announced better than expected quarterly earnings. 1,052,671 shares traded hands during 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. The firm had revenue of $267.99 million during the quarter, compared to the consensus estimate of $267.91 million. Scorpio Tankers had a net margin of 47.36% and a return on equity of 23.83%. The business’s quarterly revenue was down 8.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.91 earnings per share.

Scorpio Tankers Dividend Announcement

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

Wall Street Analyst Weigh In

STNG has been the subject of several recent analyst reports. Stifel Nicolaus downgraded Scorpio Tankers from a “buy” rating to a “hold” rating and lowered their price target for the stock from $90.00 to $65.00 in a report on Wednesday, October 23rd. Jefferies Financial Group reissued a “buy” rating and set a $90.00 target price on shares of Scorpio Tankers in a research note on Tuesday. StockNews.com downgraded shares of Scorpio Tankers from a “buy” rating to a “hold” rating in a report on Friday, August 16th. Fearnley Fonds upgraded shares of Scorpio Tankers to a “hold” rating in a report on Friday, September 27th. Finally, Bank of America dropped their price objective on shares of Scorpio Tankers from $73.00 to $71.00 and set a “neutral” rating on the stock in a report on Tuesday, October 22nd. Four investment analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to data from MarketBeat.com, Scorpio Tankers presently has an average rating of “Hold” and an average target price of $78.40.

Institutional Trading of Scorpio Tankers

A number of hedge funds and other institutional investors have recently made changes to their positions in STNG. Allspring Global Investments Holdings LLC grew its position in Scorpio Tankers by 320.6% in the first quarter. Allspring Global Investments Holdings LLC now owns 8,777 shares of the shipping company’s stock valued at $628,000 after purchasing an additional 6,690 shares in the last quarter. Norden Group LLC bought a new position in shares of Scorpio Tankers in the 1st quarter valued at about $279,000. BNP Paribas Financial Markets increased its position in shares of Scorpio Tankers by 37.0% in the first quarter. BNP Paribas Financial Markets now owns 88,827 shares of the shipping company’s stock valued at $6,356,000 after acquiring an additional 23,975 shares during the last quarter. Janney Montgomery Scott LLC bought a new stake in Scorpio Tankers during the first quarter worth about $596,000. Finally, Capstone Investment Advisors LLC boosted its position in Scorpio Tankers by 126.9% during the first quarter. Capstone Investment Advisors LLC now owns 8,086 shares of the shipping company’s stock valued at $579,000 after purchasing an additional 4,523 shares during the last quarter. 54.64% of the stock is currently owned by institutional investors and hedge funds.

Scorpio Tankers Stock Performance

The stock has a market capitalization of $3.17 billion, a P/E ratio of 5.39 and a beta of 0.15. The stock has a 50 day simple moving average of $68.85 and a two-hundred day simple moving average of $74.06. The company has a quick ratio of 2.63, a current ratio of 2.67 and a debt-to-equity ratio of 0.29.

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.