Scorpio Tankers Valuation

Is STNG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of STNG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: STNG ($54.67) is trading below our estimate of fair value ($84.67)

Significantly Below Fair Value: STNG is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for STNG?

Key metric: As STNG is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for STNG. This is calculated by dividing STNG's market cap by their current earnings.
What is STNG's PE Ratio?
PE Ratio3.6x
EarningsUS$721.11m
Market CapUS$2.63b

Price to Earnings Ratio vs Peers

How does STNG's PE Ratio compare to its peers?

The above table shows the PE ratio for STNG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average13.8x
CEQP Crestwood Equity Partners
21.8x20.8%US$3.0b
NFE New Fortress Energy
12.2x8.4%US$2.3b
DHT DHT Holdings
10.5x27.7%US$1.7b
HEP Holly Energy Partners
10.8x10.1%US$2.6b
STNG Scorpio Tankers
3.6x-31.7%US$2.6b

Price-To-Earnings vs Peers: STNG is good value based on its Price-To-Earnings Ratio (3.6x) compared to the peer average (11.2x).


Price to Earnings Ratio vs Industry

How does STNG's PE Ratio compare vs other companies in the US Oil and Gas Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
AXAS Abraxas Petroleum
0.09xn/aUS$10.27m
BYRO.F Byron Energy
0.03x-10.3%US$312.17k
USOP.Y U.S. Oil and Gas
n/an/aUS$6.00
No more companies available in this PE range
STNG 3.6xIndustry Avg. 11.8xNo. of Companies15PE0612182430+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: STNG is good value based on its Price-To-Earnings Ratio (3.6x) compared to the US Oil and Gas industry average (11.8x).


Price to Earnings Ratio vs Fair Ratio

What is STNG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

STNG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio3.6x
Fair PE Ratio5.6x

Price-To-Earnings vs Fair Ratio: STNG is good value based on its Price-To-Earnings Ratio (3.6x) compared to the estimated Fair Price-To-Earnings Ratio (5.6x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst STNG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$54.67
US$80.18
+46.7%
17.3%US$108.00US$58.00n/a11
Nov ’25US$58.39
US$81.55
+39.7%
16.5%US$108.00US$63.00n/a11
Oct ’25US$71.26
US$92.64
+30.0%
11.1%US$110.00US$73.00n/a11
Sep ’25US$71.54
US$94.36
+31.9%
8.5%US$110.00US$82.00n/a11
Aug ’25US$76.49
US$95.27
+24.6%
8.5%US$110.00US$82.00n/a11
Jul ’25US$79.37
US$92.91
+17.1%
7.9%US$110.00US$84.00n/a11
Jun ’25US$82.07
US$92.00
+12.1%
7.2%US$104.00US$82.00n/a11
May ’25US$69.31
US$86.36
+24.6%
6.8%US$95.00US$76.00n/a11
Apr ’25US$72.75
US$83.92
+15.3%
7.7%US$93.00US$72.00n/a12
Mar ’25US$67.10
US$84.33
+25.7%
7.4%US$93.00US$72.00n/a12
Feb ’25US$68.04
US$82.00
+20.5%
7.8%US$93.00US$72.00n/a12
Jan ’25US$60.80
US$77.58
+27.6%
10.8%US$93.00US$58.00n/a12
Dec ’24US$55.71
US$76.99
+38.2%
9.4%US$93.00US$63.00n/a12
Nov ’24US$57.89
US$73.83
+27.5%
12.5%US$88.00US$53.00US$58.3911
Oct ’24US$54.12
US$72.72
+34.4%
11.6%US$85.00US$53.00US$71.2611
Sep ’24US$50.27
US$72.08
+43.4%
13.1%US$85.00US$53.00US$71.5411
Aug ’24US$47.41
US$71.95
+51.8%
15.8%US$83.00US$45.00US$76.4911
Jul ’24US$47.23
US$75.92
+60.7%
13.8%US$95.00US$55.00US$79.3711
Jun ’24US$47.05
US$75.92
+61.4%
13.8%US$95.00US$55.00US$82.0711
May ’24US$51.39
US$77.46
+50.7%
9.7%US$90.00US$65.00US$69.3111
Apr ’24US$56.31
US$73.79
+31.0%
10.9%US$87.00US$60.00US$72.7511
Mar ’24US$60.18
US$70.57
+17.3%
12.3%US$86.00US$55.00US$67.1010
Feb ’24US$49.77
US$65.42
+31.4%
11.5%US$83.00US$55.00US$68.0410
Jan ’24US$53.77
US$65.82
+22.4%
11.8%US$80.00US$52.00US$60.8010
Dec ’23US$50.90
US$62.52
+22.8%
10.8%US$78.00US$52.00US$55.7110
Nov ’23US$51.52
US$59.86
+16.2%
12.6%US$78.00US$50.00US$57.8910

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


Discover undervalued companies