
Scorpio Tankers (STNG) Stock Forecast & Price Target
Scorpio Tankers (STNG) Analyst Ratings
Bulls say
Scorpio Tankers Inc. operates the newest eco-friendly fleet, specializing in the marine transportation of clean petroleum products, with the majority of its revenue derived from LR2 tankers. The company's positive outlook is supported by increased OPEC+ crude exports, which are expected to lead to higher refinery runs and subsequently raise product tanker rates as the sector approaches its peak winter earnings period. Additionally, the projected rise in seaborne crude flows is anticipated to enhance the overall financial performance of product tankers, aligning with Scorpio Tankers' operational strengths.
Bears say
Scorpio Tankers Inc. has experienced a modest share price increase of only 7% this year, which raises concerns about its performance relative to peers, especially considering the company's conservative approach to shareholder returns aimed at long-term pay-offs. While the final third-quarter averages are expected to reflect improved earnings per share (EPS) of approximately $3.00 due to current rates, the reliance on external oil volume fluctuations could significantly affect charter rates, thus contributing to revenue instability. Consequently, the combination of stagnant share price growth coupled with potential volatility in earnings driven by market conditions presents a challenging outlook for the company's stock.
This aggregate rating is based on analysts' research of Scorpio Tankers and is not a guaranteed prediction by Public.com or investment advice.
Scorpio Tankers (STNG) Analyst Forecast & Price Prediction
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