Frontline (NYSE:FRO) Posts Quarterly Earnings Results, Misses Expectations By $0.04 EPS

Frontline (NYSE:FRO) released its quarterly earnings results on Friday. The shipping company reported $0.19 earnings per share for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.04), Zacks reports. The business had revenue of $257.04 million for the quarter, compared to analyst estimates of $265.23 million. Frontline had a net margin of 12.94% and a return on equity of 10.27%. During the same period in the prior year, the business earned $0.34 earnings per share.

Frontline Stock Up 3.6%

NYSE FRO traded up $0.89 during trading hours on Friday, hitting $25.88. 4,478,118 shares of the company traded hands, compared to its average volume of 2,879,981. The stock has a market capitalization of $5.76 billion, a price-to-earnings ratio of 24.19 and a beta of 0.14. Frontline has a twelve month low of $12.40 and a twelve month high of $26.00. The business’s 50-day moving average is $23.72 and its 200-day moving average is $20.56. The company has a debt-to-equity ratio of 1.38, a quick ratio of 1.88 and a current ratio of 1.88.

Frontline Cuts Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 19th. Stockholders of record on Friday, December 12th will be issued a $0.19 dividend. The ex-dividend date is Friday, December 12th. This represents a $0.76 dividend on an annualized basis and a dividend yield of 2.9%. Frontline’s dividend payout ratio (DPR) is 134.58%.

Hedge Funds Weigh In On Frontline

Institutional investors have recently bought and sold shares of the business. Sunbelt Securities Inc. bought a new position in Frontline during the third quarter worth $41,000. Triumph Capital Management acquired a new stake in shares of Frontline during the 3rd quarter worth about $97,000. XTX Topco Ltd bought a new stake in shares of Frontline during the 3rd quarter worth about $652,000. Tidal Investments LLC grew its stake in Frontline by 39.3% in the 3rd quarter. Tidal Investments LLC now owns 110,988 shares of the shipping company’s stock valued at $2,529,000 after buying an additional 31,286 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in Frontline by 7.8% in the 3rd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 797,526 shares of the shipping company’s stock valued at $18,168,000 after acquiring an additional 57,740 shares during the period. Institutional investors and hedge funds own 22.70% of the company’s stock.

Analysts Set New Price Targets

Several research analysts have issued reports on the company. Evercore ISI boosted their price objective on Frontline from $22.00 to $26.00 and gave the stock an “outperform” rating in a report on Tuesday, October 28th. BTIG Research raised their price objective on shares of Frontline from $25.00 to $30.00 and gave the company a “buy” rating in a research note on Wednesday, September 17th. Wall Street Zen raised shares of Frontline from a “sell” rating to a “hold” rating in a report on Friday, September 26th. Jefferies Financial Group increased their price target on Frontline from $28.00 to $30.00 and gave the company a “buy” rating in a research note on Friday. Finally, Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Frontline in a research note on Monday. Four analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $24.62.

Frontline Company Profile

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.