Scorpio Tankers (NYSE:STNG) Shares Down 6% – Should You Sell?

Scorpio Tankers Inc. (NYSE:STNG)’s share price was down 6% on Tuesday . The stock traded as low as $50.21 and last traded at $49.64. Approximately 140,566 shares were traded during mid-day trading, a decline of 87% from the average daily volume of 1,068,956 shares. The stock had previously closed at $52.82.

Wall Street Analyst Weigh In

A number of analysts have recently commented on the stock. Stifel Nicolaus cut shares of Scorpio Tankers from a “buy” rating to a “hold” rating and cut their target price for the stock from $90.00 to $65.00 in a research note on Wednesday, October 23rd. Bank of America cut their price objective on Scorpio Tankers from $73.00 to $71.00 and set a “neutral” rating for the company in a research note on Tuesday, October 22nd. Fearnley Fonds upgraded Scorpio Tankers to a “hold” rating in a research report on Friday, September 27th. Jefferies Financial Group dropped their price target on Scorpio Tankers from $80.00 to $75.00 and set a “buy” rating for the company in a research report on Thursday, December 12th. Finally, Evercore ISI decreased their price objective on Scorpio Tankers from $84.00 to $80.00 and set an “outperform” rating on the stock in a report on Wednesday, October 30th. Four analysts have rated the stock with a hold rating and three have issued a buy rating to the company. Based on data from MarketBeat, Scorpio Tankers presently has a consensus rating of “Hold” and a consensus target price of $75.40.

Scorpio Tankers Price Performance

The stock has a market capitalization of $2.46 billion, a price-to-earnings ratio of 3.49 and a beta of 0.12. The company has a quick ratio of 2.18, a current ratio of 2.21 and a debt-to-equity ratio of 0.27. The stock has a fifty day moving average of $51.13 and a 200-day moving average of $63.34.

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. The business had revenue of $267.99 million for the quarter, compared to analysts’ expectations of $267.91 million. Scorpio Tankers had a return on equity of 22.56% and a net margin of 52.40%. The business’s revenue was down 8.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.91 earnings per share. On average, equities research analysts predict that Scorpio Tankers Inc. will post 10.88 EPS for the current fiscal year.

Scorpio Tankers Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, December 13th. Shareholders of record on Friday, November 22nd were paid a dividend of $0.40 per share. This represents a $1.60 annualized dividend and a yield of 3.29%. The ex-dividend date of this dividend was Friday, November 22nd. Scorpio Tankers’s dividend payout ratio is presently 11.47%.

Institutional Trading of Scorpio Tankers

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Exchange Traded Concepts LLC purchased a new position in Scorpio Tankers in the fourth quarter worth $303,000. Janney Montgomery Scott LLC acquired a new position in shares of Scorpio Tankers during the 4th quarter worth $249,000. Assenagon Asset Management S.A. increased its holdings in shares of Scorpio Tankers by 882.8% in the 4th quarter. Assenagon Asset Management S.A. now owns 201,653 shares of the shipping company’s stock valued at $10,020,000 after purchasing an additional 181,135 shares in the last quarter. GAMMA Investing LLC lifted its stake in shares of Scorpio Tankers by 204.1% in 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. Finally, Principal Financial Group Inc. boosted its holdings in Scorpio Tankers by 2.5% during the third quarter. Principal Financial Group Inc. now owns 41,416 shares of the shipping company’s stock worth $2,953,000 after buying an additional 992 shares in the last quarter. Hedge funds and other institutional investors own 54.64% of the company’s stock.

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.