BofA Securities analyst Ken Hoexter maintains $Scorpio Tankers (STNG.US)$ with a hold rating, and adjusts the target price from $73 to $71.
According to TipRanks data, the analyst has a success rate of 50.8% and a total average return of 3.6% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Scorpio Tankers (STNG.US)$'s main analysts recently are as follows:
Softer market product tanker rates along with marginally increased vessel operating expenses have prompted a revision of the earnings estimates for Scorpio Tankers. The estimates for Q3, as well as the years 2024 and 2025, have been adjusted downwards by 32%, 7%, and 6%, respectively.
In recent years, the majority of shipping segments have demonstrated robust performance, a significant turnaround from several years of underperformance. This resurgence is largely attributed to an increase in demand coupled with a constrained supply chain. Factors such as the prolonged ton-miles due to Russian sanctions and the Red Sea's effective closure have further bolstered this strength. While the current dynamics show no immediate signs of diminishing, and the ship supply remains reasonable, albeit increasing, there is an expectation that the momentum of demand drivers may have reached its peak, at least for the short term. It is anticipated that most shipping sectors may experience a stabilization in rates, potentially leading to a decrease in asset values.
Note:
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