Frontline (NYSE:FRO) Shares Gap Up - Here's Why

Frontline plc (NYSE:FRO - Get Free Report) shares gapped up before the market opened on Wednesday . The stock had previously closed at $15.81, but opened at $16.50. Frontline shares last traded at $16.62, with a volume of 602,128 shares traded.

Analysts Set New Price Targets

FRO has been the subject of several recent analyst reports. Jefferies Financial Group decreased their target price on Frontline from $26.00 to $20.00 and set a "buy" rating for the company in a research report on Tuesday, December 17th. Kepler Capital Markets cut Frontline from a "buy" rating to a "hold" rating and set a $15.83 target price for the company. in a research report on Thursday, December 12th. One analyst has rated the stock with a sell rating, one has issued a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, Frontline has an average rating of "Moderate Buy" and an average price target of $24.46.

Frontline Trading Down 4.5 %

The company has a fifty day simple moving average of $16.84 and a two-hundred day simple moving average of $18.32. The company has a debt-to-equity ratio of 1.44, a current ratio of 1.43 and a quick ratio of 1.43. The company has a market capitalization of $3.59 billion, a P/E ratio of 6.58 and a beta of -0.04.

Frontline (NYSE:FRO - Get Free Report) last posted its earnings results on Friday, February 28th. The shipping company reported $0.20 earnings per share for the quarter, meeting the consensus estimate of $0.20. Frontline had a return on equity of 19.25% and a net margin of 25.64%. The company had revenue of $425.60 million for the quarter, compared to analyst estimates of $273.16 million. During the same period last year, the company earned $0.46 earnings per share. The business's revenue was up 2.6% compared to the same quarter last year. On average, analysts forecast that Frontline plc will post 1.78 earnings per share for the current fiscal year.

Remove Ads

Frontline Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Friday, March 14th will be issued a dividend of $0.20 per share. The ex-dividend date is Friday, March 14th. This represents a $0.80 annualized dividend and a yield of 4.96%. Frontline's dividend payout ratio (DPR) is currently 36.04%.

Hedge Funds Weigh In On Frontline

Institutional investors have recently bought and sold shares of the stock. Jones Financial Companies Lllp acquired a new stake in shares of Frontline in the fourth quarter valued at about $31,000. Golden State Wealth Management LLC acquired a new stake in shares of Frontline in the fourth quarter valued at about $84,000. National Bank of Canada FI grew its position in shares of Frontline by 331.8% in the fourth quarter. National Bank of Canada FI now owns 6,166 shares of the shipping company's stock valued at $87,000 after purchasing an additional 4,738 shares during the last quarter. Blue Trust Inc. grew its position in shares of Frontline by 84.4% in the fourth quarter. Blue Trust Inc. now owns 8,921 shares of the shipping company's stock valued at $127,000 after purchasing an additional 4,084 shares during the last quarter. Finally, Nexpoint Asset Management L.P. acquired a new stake in shares of Frontline in the fourth quarter valued at about $159,000. 22.70% of the stock is currently owned by institutional investors.

About Frontline

Frontline plc, a shipping company, engages in the seaborne transportation of crude oil and oil products worldwide. It owns and operates oil and product tankers. As of December 31, 2022, the company operated a fleet of 70 vessels. It is also involved in the charter, purchase, and sale of vessels. The company was founded in 1985 and is based in Limassol, Cyprus.