J.P.Morgan sees strength in Scorpio Tankers' growth potential

Scorpio Tankers

08/03/2023 05:34

** J.P.Morgan initiates coverage on Scorpio Tankers  STNG.N 
 with an "overweight" rating and PT of $87, a ~50% premium over
Monday's closing price
    ** JPM says STNG, which operates tanker ships for refined
oil products, is moving from weak earnings and over-leverage to
strong earnings and rapid deleveraging
    ** "We have reasons to think the next two years will remain
strong, and this alone creates material upside to the share
price" - JPM
    ** 11 brokerages rate the stock "buy" or higher and 1
"hold"; their median PT is $69.35 - Refinitiv data
    ** Stock is up 12.35% YTD, extending a ~320% gain in 2022

 (Reporting by Aniruddha Ghosh in Bengaluru)
 ((Aniruddha.Ghosh@thomsonreuters.com; 91 83 83 81 2416;))