Scorpio Tankers (STNG) vs. Its Rivals Critical Contrast

Scorpio Tankers (NYSE:STNG) is one of 1,051 publicly-traded companies in the “Oil, Gas & Consumable Fuels” industry, but how does it weigh in compared to its competitors? We will compare Scorpio Tankers to similar businesses based on the strength of its risk, earnings, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Risk & Volatility

Scorpio Tankers has a beta of -0.1, indicating that its share price is 110% less volatile than the S&P 500. Comparatively, Scorpio Tankers’ competitors have a beta of -3.76, indicating that their average share price is 476% less volatile than the S&P 500.

Profitability

This table compares Scorpio Tankers and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Scorpio Tankers	77.07%	17.06%	13.90%
Scorpio Tankers Competitors	-456.96%	19.46%	6.50%

Earnings & Valuation

This table compares Scorpio Tankers and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Scorpio Tankers	$1.24 billion	$344.29 million	4.28
Scorpio Tankers Competitors	$14.81 billion	$5.51 billion	-0.95

Scorpio Tankers’ competitors have higher revenue and earnings than Scorpio Tankers. Scorpio Tankers is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Scorpio Tankers and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Scorpio Tankers	1	4	5	1	2.55
Scorpio Tankers Competitors	5982	26994	40850	2423	2.52

Scorpio Tankers currently has a consensus price target of $109.56, indicating a potential upside of 35.52%. As a group, “Oil, Gas & Consumable Fuels” companies have a potential upside of 28.95%. Given Scorpio Tankers’ stronger consensus rating and higher possible upside, equities analysts clearly believe Scorpio Tankers is more favorable than its competitors.

Institutional & Insider Ownership

54.6% of Scorpio Tankers shares are held by institutional investors. Comparatively, 30.8% of shares of all “Oil, Gas & Consumable Fuels” companies are held by institutional investors. 7.3% of Scorpio Tankers shares are held by company insiders. Comparatively, 15.3% of shares of all “Oil, Gas & Consumable Fuels” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

Scorpio Tankers pays an annual dividend of $3.00 per share and has a dividend yield of 3.7%. Scorpio Tankers pays out 15.9% of its earnings in the form of a dividend. As a group, “Oil, Gas & Consumable Fuels” companies pay a dividend yield of 9.2% and pay out -133.7% of their earnings in the form of a dividend. Scorpio Tankers has raised its dividend for 2 consecutive years. Scorpio Tankers lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Summary

Scorpio Tankers beats its competitors on 8 of the 15 factors compared.

Scorpio Tankers Company Profile

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. Scorpio Tankers Inc. was incorporated in 2009 and is headquartered in Monaco.