JP Morgan is bumping up its Scorpio Tankers rating ahead of the expected sector rally brought on by the incoming IMO 2020 emissions regulations.
Noah Parquette, analyst at the investment banking giant, upgraded the New York-traded shipowner to overweight from neutral and raised the target price to $34 from $29.
In his note, Parquette said institutional interest in the sector was growing thanks to IMO 2020, which has players in the product tanker sector salivating over increased demand brought on by the need for lower sulphur fuel.
