Teekay Tankers Ltd. (TNK)
FairStock Score: 75/100 — HIGH CONVICTION
Key Financials
| Current Price | $99.47 |
| Market Cap | $2.5B |
| P/E Ratio | 5.86 |
| ROE | 28.04% |
| Dividend Yield | 0.99% |
| Sector | Energy |
AI Analysis
AI-generated, general educational analysis — not personal investment advice.
As a Buffett/Graham investor, I see Teekay Tankers as a cyclical asset play with a remarkably strong current income statement. In fiscal Q2 2026, it earned $225.9M on $379.5M revenue, a 59.53% net margin. FairStock's calculations show ROE 28.04%, ROCE 12.01%, and a debt-to-equity ratio of just 0.02, so the balance sheet is not the risk. The price at the 2026-10-13 close of $106.39 is 6.27 times earnings and 1.68 times book, with EV/EBITDA 2.68 and FCF yield 10.5%. Graham Number $161.74 implies 34.22% margin of safety. Piotroski 8/9 and Altman Z 8.06 reinforce financial strength. But this is still oil tanker shipping: rates are volatile, and the provided growth figures are likely peak-cycle numbers rather than durable. The moat is limited; vessels are commodities, and supply/demand swings dominate. FairStock has no Lynch category because only 0 years of filed results meet its three-year requirement, so I cannot judge consistency. The stock trades near the high end of its 52-week range of $50.94-$110.65 and pays only 0.99%. If rates stay elevated, the valuation is undemanding; if they normalize, earnings could shrink fast. I prefer to demand a larger margin of safety for such cyclicality, though the current balance sheet and cash generation are undeniably attractive.
In plain English: Teekay Tankers moves crude oil and refined products by sea and provides related marine services. The business looks very strong right now, with large recent profits and very little debt, but tanker shipping can be boom-or-bust. At the recent price, the stock looks cheap compared with those current profits, though the cheapness may reflect how quickly shipping earnings can change.
The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.
Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash
Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer