Scorpio Tankers Inc. to Issue Quarterly Dividend of $0.45 (NYSE:STNG)

Scorpio Tankers Inc. (NYSE:STNG) declared a quarterly dividend on Wednesday, July 29th. Investors of record on Monday, August 17th will be paid a dividend of 0.45 per share by the shipping company on Monday, August 31st. This represents a c) annualized dividend and a yield of 2.4%. The ex-dividend date of this dividend is Monday, August 17th.

Scorpio Tankers has raised its dividend payment by an average of 0.3%annually over the last three years and has raised its dividend every year for the last 2 years. Scorpio Tankers has a dividend payout ratio of 29.9% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Scorpio Tankers to earn $6.27 per share next year, which means the company should continue to be able to cover its $1.80 annual dividend with an expected future payout ratio of 28.7%.

Scorpio Tankers Stock Down 3.5%

Shares of NYSE STNG traded down $2.75 during trading on Thursday, hitting $75.78. 1,346,478 shares of the company traded hands, compared to its average volume of 1,070,888. The business’s fifty day moving average is $77.03 and its 200 day moving average is $73.87. Scorpio Tankers has a fifty-two week low of $43.78 and a fifty-two week high of $87.39. The firm has a market capitalization of $3.82 billion, a price-to-earnings ratio of 7.45 and a beta of -0.24. The company has a debt-to-equity ratio of 0.16, a quick ratio of 13.87 and a current ratio of 13.98.

Scorpio Tankers (NYSE:STNG) last released its quarterly earnings data on Thursday, July 30th. The shipping company reported $4.68 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $5.14 by ($0.46). The company had revenue of $408.73 million for the quarter, compared to the consensus estimate of $398.29 million. Scorpio Tankers had a return on equity of 11.72% and a net margin of 48.44%.Scorpio Tankers’s revenue for the quarter was up 77.5% compared to the same quarter last year. During the same period last year, the company earned $1.41 EPS. Equities research analysts predict that Scorpio Tankers will post 12.15 earnings per share for the current fiscal year.

Scorpio Tankers News Roundup

Here are the key news stories impacting Scorpio Tankers this week:

• Positive Sentiment: Scorpio Tankers reported second-quarter net income of $387.5 million, or $7.37 diluted EPS, compared with $73.5 million and $1.53 diluted EPS a year earlier. Adjusted diluted EPS was $4.68, which exceeded the Zacks consensus estimate of $4.51. Scorpio Tankers Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Revenue rose 77.5% year over year to $408.7 million, while average daily time charter equivalent revenue more than doubled to $52,661 from $25,569. Adjusted EBITDA also increased to $300.5 million from $144.5 million, reflecting a much stronger product-tanker market. Scorpio Tankers Announces Second-Quarter Results and Dividend
• Positive Sentiment: The board declared a $0.45-per-share quarterly dividend, payable August 31 to shareholders of record August 17. The company also ended July with approximately $2.0 billion in unrestricted cash and $1.3 billion of net cash, supporting shareholder returns and fleet investment.
• Positive Sentiment: Management is locking in future capacity through new LR2 and MR tanker orders, multi-year time charters, and a minority investment in a VLCC joint venture. Debt reduction efforts included $389.1 million of secured-debt prepayments and redemption of $200 million of senior notes.
• Neutral Sentiment: Second-quarter earnings exceeded the Zacks estimate but came in below another consensus estimate of $5.14 for diluted EPS. Investors are therefore assessing differing expectations for underlying profitability.
• Negative Sentiment: Adjusted net income excluded a $154.1 million vessel-sale gain, while debt-extinguishment costs, financing write-offs, convertible-note transaction costs, and fair-value gains added volatility. Spot tanker rates also declined from quarter highs as Middle East disruptions eased, creating uncertainty about the sustainability of recent earnings.

Scorpio Tankers Company Profile

Scorpio Tankers Inc (NYSE: STNG) is an independent provider of marine transportation services, specializing in the carriage of refined petroleum products. The company’s core operations focus on moving clean petroleum cargoes—such as gasoline, diesel, jet fuel and naphtha—on a global scale. By catering to both spot and time charter markets, Scorpio Tankers enables energy companies, refiners and traders to manage their supply chains with flexibility and reliability.

The company’s fleet is composed of modern, eco-designed product tankers, including medium range (MR) and long range (LR) vessels.