Fearnley sticks to guns in valuation row with Bugbee

Analysts from Norway’s Fearnley Securities are refusing to back down from an assessment that downgraded shares of US-listed Scorpio Tankers and drew a complaint from management.

Scorpio president Robert Bugbee complained to Fearnley Securities last week after his company was cut to “sell” from “hold”.

Bugbee tells TradeWinds that Fearnley Securities analysts had understated his firm’s net asset value (NAV) by nearly $2 per share — or close to $300m — because of errors in modelling its cash flow and tanker valuations.