Frontline (NYSE:FRO) Downgraded by StockNews.com to Sell

StockNews.com lowered shares of Frontline (NYSE:FRO) from a hold rating to a sell rating in a research note issued to investors on Wednesday.

FRO has been the subject of a number of other research reports. Deutsche Bank Aktiengesellschaft raised Frontline from a hold rating to a buy rating and raised their price target for the stock from $17.00 to $26.00 in a research note on Tuesday, January 9th. Jefferies Financial Group raised Frontline from a hold rating to a buy rating and raised their price target for the stock from $22.00 to $30.00 in a research note on Thursday, March 21st. Finally, JPMorgan Chase & Co. lowered their price objective on Frontline from $23.00 to $22.30 and set a neutral rating for the company in a research report on Friday, March 1st.

Frontline Stock Performance

Shares of FRO stock opened at $23.39 on Wednesday. The stock has a fifty day moving average of $23.34 and a 200 day moving average of $22.13. Frontline has a 52 week low of $13.35 and a 52 week high of $25.14. The firm has a market capitalization of $5.21 billion, a price-to-earnings ratio of 7.93 and a beta of 0.06. The company has a quick ratio of 1.79, a current ratio of 1.78 and a debt-to-equity ratio of 1.40.

Frontline (NYSE:FRO) last announced its quarterly earnings results on Thursday, February 29th. The shipping company reported $0.46 EPS for the quarter, missing analysts’ consensus estimates of $0.51 by ($0.05). Frontline had a return on equity of 26.00% and a net margin of 35.95%. The business had revenue of $415.00 million during the quarter, compared to analysts’ expectations of $280.36 million. During the same period in the previous year, the business earned $0.97 EPS. The business’s revenue was down 21.7% compared to the same quarter last year. As a group, research analysts expect that Frontline will post 3.09 earnings per share for the current year.

Frontline Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, March 27th. Shareholders of record on Friday, March 15th were given a dividend of $0.37 per share. The ex-dividend date was Thursday, March 14th. This represents a $1.48 annualized dividend and a yield of 6.33%. This is a positive change from Frontline’s previous quarterly dividend of $0.30. Frontline’s dividend payout ratio (DPR) is currently 50.17%.

Hedge Funds Weigh In On Frontline

Several institutional investors and hedge funds have recently modified their holdings of the stock. Global Retirement Partners LLC increased its holdings in shares of Frontline by 4.2% during the first quarter. Global Retirement Partners LLC now owns 13,307 shares of the shipping company’s stock valued at $311,000 after acquiring an additional 534 shares in the last quarter. Hexagon Capital Partners LLC increased its holdings in Frontline by 27.9% in the 3rd quarter. Hexagon Capital Partners LLC now owns 2,882 shares of the shipping company’s stock worth $54,000 after buying an additional 628 shares in the last quarter. RMR Wealth Builders increased its holdings in Frontline by 4.4% in the 4th quarter. RMR Wealth Builders now owns 15,612 shares of the shipping company’s stock worth $313,000 after buying an additional 652 shares in the last quarter. SeaCrest Wealth Management LLC increased its holdings in Frontline by 2.4% in the 4th quarter. SeaCrest Wealth Management LLC now owns 51,585 shares of the shipping company’s stock worth $1,147,000 after buying an additional 1,200 shares in the last quarter. Finally, ICA Group Wealth Management LLC bought a new stake in Frontline in the 4th quarter worth about $25,000. 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.