SCORPIO TANKERS INC (STNG)

MHY7542C1306 - Common Stock

80.51  -0.24 (-0.3%)

After market: 80.51 0 (0%)

Fundamental Rating

6

Taking everything into account, STNG scores 6 out of 10 in our fundamental rating. STNG was compared to 212 industry peers in the Oil, Gas & Consumable Fuels industry. STNG has an excellent profitability rating, but there are some minor concerns on its financial health. STNG has a bad growth rate and is valued cheaply. These ratings would make STNG suitable for value investing!



7

1. Profitability

1.1 Basic Checks

STNG had positive earnings in the past year.
In the past year STNG had a positive cash flow from operations.
In multiple years STNG reported negative net income over the last 5 years.
STNG had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

Looking at the Return On Assets, with a value of 13.49%, STNG belongs to the top of the industry, outperforming 81.99% of the companies in the same industry.
STNG's Return On Equity of 20.60% is fine compared to the rest of the industry. STNG outperforms 69.67% of its industry peers.
STNG has a Return On Invested Capital of 14.68%. This is in the better half of the industry: STNG outperforms 78.67% of its industry peers.
Industry RankSector Rank
ROA 13.49%
ROE 20.6%
ROIC 14.68%
ROA(3y)7.41%
ROA(5y)4.62%
ROE(3y)11.36%
ROE(5y)7.24%
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

Looking at the Profit Margin, with a value of 42.12%, STNG belongs to the top of the industry, outperforming 87.20% of the companies in the same industry.
STNG's Profit Margin has improved in the last couple of years.
STNG has a better Operating Margin (52.37%) than 88.15% of its industry peers.
In the last couple of years the Operating Margin of STNG has grown nicely.
With an excellent Gross Margin value of 76.26%, STNG belongs to the best of the industry, outperforming 83.41% of the companies in the same industry.
In the last couple of years the Gross Margin of STNG has grown nicely.
Industry RankSector Rank
OM 52.37%
PM (TTM) 42.12%
GM 76.26%
OM growth 3Y22.37%
OM growth 5Y95.31%
PM growth 3Y58.33%
PM growth 5YN/A
GM growth 3Y6.36%
GM growth 5Y12.8%

6

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), STNG is creating some value.
Compared to 1 year ago, STNG has less shares outstanding
Compared to 5 years ago, STNG has more shares outstanding
Compared to 1 year ago, STNG has an improved debt to assets ratio.

2.2 Solvency

STNG has an Altman-Z score of 2.97. This is not the best score and indicates that STNG is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.97, STNG is doing good in the industry, outperforming 74.88% of the companies in the same industry.
The Debt to FCF ratio of STNG is 1.69, which is an excellent value as it means it would take STNG, only 1.69 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of STNG (1.69) is better than 78.20% of its industry peers.
STNG has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
STNG's Debt to Equity ratio of 0.38 is in line compared to the rest of the industry. STNG outperforms 55.45% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.38
Debt/FCF 1.69
Altman-Z 2.97
ROIC/WACC1.77
WACC8.3%

2.3 Liquidity

A Current Ratio of 1.60 indicates that STNG should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.60, STNG is in the better half of the industry, outperforming 67.77% of the companies in the same industry.
A Quick Ratio of 1.58 indicates that STNG should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.58, STNG is in the better half of the industry, outperforming 70.62% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.6
Quick Ratio 1.58

3

3. Growth

3.1 Past

The earnings per share for STNG have decreased strongly by -28.73% in the last year.
The Earnings Per Share has been growing by 78.99% on average over the past years. This is a very strong growth
Looking at the last year, STNG shows a very negative growth in Revenue. The Revenue has decreased by -23.98% in the last year.
STNG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.05% yearly.
EPS 1Y (TTM)-28.73%
EPS 3Y78.99%
EPS 5YN/A
EPS Q2Q%19.94%
Revenue 1Y (TTM)-23.98%
Revenue growth 3Y13.56%
Revenue growth 5Y18.05%
Sales Q2Q%1.8%

3.2 Future

Based on estimates for the next years, STNG will show a decrease in Earnings Per Share. The EPS will decrease by -3.40% on average per year.
STNG is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.67% yearly.
EPS Next Y34.63%
EPS Next 2Y3.55%
EPS Next 3Y-3.4%
EPS Next 5YN/A
Revenue Next Year6.91%
Revenue Next 2Y-1.37%
Revenue Next 3Y-2.67%
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.

8

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 7.29, which indicates a rather cheap valuation of STNG.
Based on the Price/Earnings ratio, STNG is valued a bit cheaper than the industry average as 76.30% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 28.57. STNG is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 7.23 indicates a rather cheap valuation of STNG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of STNG indicates a somewhat cheap valuation: STNG is cheaper than 75.36% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of STNG to the average of the S&P500 Index (20.18), we can say STNG is valued rather cheaply.
Industry RankSector Rank
PE 7.29
Fwd PE 7.23

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of STNG is on the same level as its industry peers.
88.15% of the companies in the same industry are more expensive than STNG, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 5.27
EV/EBITDA 5.84

4.3 Compensation for Growth

STNG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of STNG may justify a higher PE ratio.
A cheap valuation may be justified as STNG's earnings are expected to decrease with -3.40% in the coming years.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y3.55%
EPS Next 3Y-3.4%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 2.04%, STNG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.19, STNG has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, STNG has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 2.04%

5.2 History

On average, the dividend of STNG grows each year by 22.93%, which is quite nice.
STNG has paid a dividend for at least 10 years, which is a reliable track record.
STNG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)22.93%
Div Incr Years1
Div Non Decr Years3

5.3 Sustainability

11.80% of the earnings are spent on dividend by STNG. This is a low number and sustainable payout ratio.
DP11.8%
EPS Next 2Y3.55%
EPS Next 3Y-3.4%

SCORPIO TANKERS INC

NYSE:STNG (6/20/2024, 3:47:03 PM)

After market: 80.51 0 (0%)

80.51

-0.24 (-0.3%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap4.28B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 2.04%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 7.29
Fwd PE 7.23
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.21
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 13.49%
ROE 20.6%
ROCE
ROIC
ROICexc
ROICexgc
OM 52.37%
PM (TTM) 42.12%
GM 76.26%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.32
Health
Industry RankSector Rank
Debt/Equity 0.38
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.6
Quick Ratio 1.58
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-28.73%
EPS 3Y78.99%
EPS 5Y
EPS Q2Q%
EPS Next Y34.63%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-23.98%
Revenue growth 3Y13.56%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y