Investors Buy High Volume of Call Options on Frontline (NYSE:FRO)

Frontline plc (NYSE:FRO - Get Free Report) was the recipient of some unusual options trading activity on Tuesday. Traders bought 15,687 call options on the stock. This represents an increase of approximately 323% compared to the average daily volume of 3,705 call options.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on FRO shares. Jefferies Financial Group cut their target price on Frontline from $26.00 to $20.00 and set a "buy" rating on the stock in a research note on Tuesday, December 17th. Kepler Capital Markets lowered 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 research analyst has rated the stock with a sell rating, two have assigned a hold rating, three have issued a buy rating and one has given a strong buy rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $24.03.

Hedge Funds Weigh In On Frontline

Institutional investors have recently modified their holdings of the company. Private Advisor Group LLC grew its position in Frontline by 4.8% during the third quarter. Private Advisor Group LLC now owns 10,625 shares of the shipping company's stock valued at $243,000 after acquiring an additional 490 shares during the last quarter. IHT Wealth Management LLC raised its position in Frontline by 3.5% in the 3rd quarter. IHT Wealth Management LLC now owns 15,723 shares of the shipping company's stock worth $359,000 after purchasing an additional 535 shares during the period. Godsey & Gibb Inc. purchased a new position in Frontline in the 3rd quarter worth $25,000. Redhawk Wealth Advisors Inc. lifted its stake in Frontline by 6.7% in the third quarter. Redhawk Wealth Advisors Inc. now owns 25,675 shares of the shipping company's stock worth $587,000 after purchasing an additional 1,608 shares during the last quarter. Finally, Blue Trust Inc. boosted its position in Frontline by 124.4% during the third quarter. Blue Trust Inc. now owns 4,837 shares of the shipping company's stock valued at $111,000 after buying an additional 2,681 shares during the period. 22.70% of the stock is currently owned by institutional investors.

Frontline Stock Performance

Frontline stock traded down $0.39 during midday trading on Wednesday, reaching $18.49. The stock had a trading volume of 2,421,929 shares, compared to its average volume of 4,194,156. The company has a quick ratio of 1.43, a current ratio of 1.43 and a debt-to-equity ratio of 1.44. Frontline has a 12 month low of $13.17 and a 12 month high of $29.39. The firm has a market capitalization of $4.12 billion and a PE ratio of 7.54. The firm's 50-day moving average price is $15.71 and its 200 day moving average price is $20.01.

Frontline (NYSE:FRO - Get Free Report) last announced its quarterly earnings results on Wednesday, November 27th. The shipping company reported $0.34 earnings per share for the quarter, missing the consensus estimate of $0.39 by ($0.05). Frontline had a net margin of 25.64% and a return on equity of 19.25%. During the same period in the prior year, the firm earned $0.36 EPS. As a group, research analysts predict that Frontline will post 1.78 earnings per share for the current fiscal year.

Frontline Cuts Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, December 31st. Stockholders of record on Wednesday, December 11th were issued a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a dividend yield of 7.36%. The ex-dividend date was Wednesday, December 11th. Frontline's payout ratio is currently 55.51%.

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.