Scorpio Tankers Price Up 0.71% on Strong Q3 Earnings and Strategic Moves

On OCT 30 2025, SFP rose by 0.71% within 24 hours to reach $0.3401, SFP dropped by 13.31% within 7 days, dropped by 31.45% within 1 month, and dropped by 52.9% within 1 year.

Scorpio Tankers Inc. delivered robust third-quarter financial results, driven by strong Adjusted EBITDA and strategic debt and vessel management. The company reported Adjusted EBITDA of $148.1 million and Adjusted net income of $72.7 million, translating to earnings per share of $1.56. These figures reflect operational efficiency and strong demand in the product tanker sector.

A key strategic move was the 5% increase in the quarterly dividend to $0.42 per share, which will be paid in December 2025. This adjustment underscores the company’s commitment to returning value to shareholders.

Scorpio Tankers also announced significant debt prepayments totaling $154.6 million, representing the remaining scheduled principal amortization for 2026 and 2027. This action is expected to reduce the company’s break-even level to $11,000 per day, enhancing financial flexibility and resilience.

In terms of operations, Scorpio Tankers secured two time charter-out agreements in the third quarter. An LR2 product tanker, STI Orchard, was chartered for five years at a rate of $28,350 per day, and another LR2 product tanker, STI Spiga, was chartered for one year at $35,000 per day. These long-term agreements provide a stable revenue stream and reflect confidence in the company’s asset management strategy.

In addition, Scorpio Tankers announced the sale of three scrubber-fitted vessels for a total of $185.2 million. These sales are expected to close in the fourth quarter of 2025 and will further strengthen the company’s balance sheet. Following these transactions, the company will have pro-forma cash and cash equivalents of $626.2 million and pro-forma net debt of $33.9 million, significantly improving its liquidity position.

The company’s financial highlights are complemented by its strategic focus on chartering out vessels and optimizing fleet utilization. With a clear focus on long-term value creation and financial prudence, Scorpio Tankers is positioning itself for sustained performance in a competitive market.

Backtest Hypothesis

Given the strong earnings performance and strategic actions taken in the third quarter, the use of technical indicators like moving averages and RSI could help assess the stock’s potential trajectory post-earnings. A backtesting strategy centered on earnings release dates offers a robust framework to evaluate market responses to such events.

For Scorpio Tankers, the backtest would analyze price movement around the October 30, 2025 earnings release, using daily closing prices as the primary data series. The strategy would involve measuring the average return over event windows of -5 to +5 days around the earnings date, as well as assessing volatility and volume changes.

To refine the backtest, a 20-day moving average could be used as a benchmark for trend confirmation, and a Relative Strength Index (RSI) of 30 and 70 could indicate overbought and oversold conditions. These indicators could help determine whether the price reaction was in line with typical post-earnings patterns or deviated significantly.