Frontline (NYSE:FRO) Posts Quarterly Earnings Results, Meets Expectations

Frontline (NYSE:FRO) announced its quarterly earnings data on Friday. The shipping company reported $0.18 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.18, Zacks reports. Frontline had a net margin of 25.64% and a return on equity of 19.25%. The company had revenue of $427.87 million during the quarter, compared to analysts’ expectations of $252.26 million. During the same period in the previous year, the company earned $0.62 EPS. The business’s quarterly revenue was down 26.0% compared to the same quarter last year.

Frontline Stock Up 6.9%

Shares of Frontline stock opened at $18.36 on Friday. The company has a fifty day moving average price of $16.05 and a 200 day moving average price of $16.37. The company has a current ratio of 1.43, a quick ratio of 1.43 and a debt-to-equity ratio of 1.44. Frontline has a twelve month low of $12.40 and a twelve month high of $29.39. The stock has a market cap of $4.09 billion, a price-to-earnings ratio of 7.49 and a beta of 0.24.

Frontline Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, March 31st. Investors of record on Friday, March 14th were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Friday, March 14th. This represents a $0.80 dividend on an annualized basis and a yield of 4.36%. Frontline’s dividend payout ratio (DPR) is 36.04%.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on FRO. Evercore ISI lowered their price objective on shares of Frontline from $22.00 to $20.00 and set an “outperform” rating for the company in a research note on Tuesday, April 22nd. Kepler Capital Markets set a $12.49 price objective on shares of Frontline in a research note on Thursday, March 27th. Two equities research analysts have rated the stock with a sell rating, three have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $20.62.

Institutional Trading of Frontline

Institutional investors have recently added to or reduced their stakes in the business. Royal Bank of Canada boosted its position in Frontline by 32.3% during the 1st quarter. Royal Bank of Canada now owns 26,342 shares of the shipping company’s stock worth $392,000 after purchasing an additional 6,424 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in Frontline by 12.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 185,226 shares of the shipping company’s stock worth $2,751,000 after buying an additional 20,370 shares in the last quarter. Finally, Millennium Management LLC acquired a new position in Frontline in the 1st quarter worth $7,587,000. 22.70% of the stock is owned by hedge funds and other 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.