Frontline (NYSE:FRO) Hits New 12-Month High – What’s Next?

Frontline PLC (NYSE:FRO)’s share price reached a new 52-week high during trading on Tuesday . The company traded as high as $50.78 and last traded at $50.5480, with a volume of 4002429 shares traded. The stock had previously closed at $49.21.

Analysts Set New Price Targets

A number of research analysts have recently commented on the stock. DZ Bank lowered shares of Frontline from a “hold” rating to a “sell” rating in a research report on Friday, August 21st. BTIG Research lifted their price objective on shares of Frontline from $45.00 to $55.00 and gave the stock a “buy” rating in a report on Wednesday, June 24th. Pareto Securities lowered shares of Frontline from a “buy” rating to a “hold” rating and set a $39.46 target price for the company. in a research report on Monday, May 25th. Nordea Equity Research cut Frontline to a “hold” rating in a research note on Monday, August 31st. Finally, Weiss Ratings raised Frontline from a “buy (b-)” rating to a “buy (b)” rating in a research note on Friday, August 28th. Four investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Frontline has an average rating of “Hold” and a consensus target price of $41.62.

Frontline Price Performance

The company has a quick ratio of 1.87, a current ratio of 1.87 and a debt-to-equity ratio of 0.69. The business’s 50-day simple moving average is $41.88 and its 200 day simple moving average is $38.16. The firm has a market capitalization of $11.96 billion, a P/E ratio of 8.06 and a beta of 0.05.

Frontline (NYSE:FRO) last posted its quarterly earnings results on Friday, August 28th. The shipping company reported $2.61 EPS for the quarter, missing the consensus estimate of $2.74 by ($0.13). Frontline had a return on equity of 44.24% and a net margin of 49.47%.The business had revenue of $943.30 million for the quarter, compared to analysts’ expectations of $758.89 million. During the same period last year, the business posted $0.36 earnings per share. The company’s revenue was up 96.5% compared to the same quarter last year.

Frontline Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 28th. Shareholders of record on Friday, September 18th will be given a dividend of $2.61 per share. The ex-dividend date is Friday, September 18th. This is a positive change from Frontline’s previous quarterly dividend of $1.55. This represents a $10.44 annualized dividend and a yield of 19.4%. Frontline’s dividend payout ratio (DPR) is currently 92.95%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Arrowstreet Capital Limited Partnership increased its stake in Frontline by 4,659.9% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 5,783,681 shares of the shipping company’s stock worth $202,080,000 after purchasing an additional 5,662,172 shares during the period. BlackRock Inc. purchased a new stake in shares of Frontline during the second quarter valued at approximately $50,846,000. Bank of America Corp DE purchased a new stake in shares of Frontline during the second quarter valued at approximately $30,123,000. Cooper Creek Partners Management LLC bought a new position in shares of Frontline in the first quarter worth approximately $26,911,000. Finally, Canada Pension Plan Investment Board bought a new position in shares of Frontline in the second quarter worth approximately $22,849,000. 22.70% of the stock is owned by institutional investors.

About Frontline

Frontline plc is a maritime shipping company that owns and operates tankers engaged primarily in the transportation of crude oil and refined petroleum products. Its fleet has included very large crude carriers (VLCCs), Suezmax tankers and long-range product tankers, which transport energy commodities for oil companies, trading firms and other customers worldwide.

The company’s vessels operate on international shipping routes, serving major oil-producing, refining and consuming regions.