Frontline (NYSE:FRO) Trading Down 6.7% – Here’s What Happened

Frontline PLC (NYSE:FRO) shares were down 6.7% during trading on Thursday . The stock traded as low as $36.24 and last traded at $35.8960. Approximately 390,203 shares traded hands during mid-day trading, a decline of 89% from the average session volume of 3,550,838 shares. The stock had previously closed at $38.46.

Analyst Upgrades and Downgrades

A number of equities research analysts recently weighed in on FRO shares. Pareto Securities downgraded Frontline from a “buy” rating to a “hold” rating and set a $39.46 price objective on the stock. in a research report on Monday, May 25th. Weiss Ratings upgraded shares of Frontline from a “hold (c+)” rating to a “buy (b)” rating in a report on Friday, May 22nd. Evercore lowered shares of Frontline from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, April 21st. Danske cut shares of Frontline to a “hold” rating in a report on Tuesday, May 26th. Finally, BTIG Research boosted their price objective on shares of Frontline from $45.00 to $55.00 and gave the stock a “buy” rating in a research note on Wednesday, June 24th. Four equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $41.62.

Frontline Stock Performance

The company has a debt-to-equity ratio of 0.83, a quick ratio of 2.03 and a current ratio of 2.03. The stock has a market cap of $8.47 billion, a PE ratio of 9.37 and a beta of 0.01. The firm has a fifty day moving average price of $37.35 and a 200 day moving average price of $33.08.

Frontline (NYSE:FRO) last announced its earnings results on Friday, May 22nd. The shipping company reported $1.55 earnings per share for the quarter, missing the consensus estimate of $1.58 by ($0.03). Frontline had a return on equity of 27.80% and a net margin of 36.70%.The business had revenue of $714.24 million for the quarter, compared to analysts’ expectations of $579.59 million. During the same quarter last year, the firm earned $0.18 earnings per share. The firm’s quarterly revenue was up 66.9% compared to the same quarter last year.

Frontline Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 23rd. Stockholders of record on Friday, June 12th were paid a dividend of $1.55 per share. The ex-dividend date was Friday, June 12th. This is a positive change from Frontline’s previous quarterly dividend of $1.03. This represents a $6.20 dividend on an annualized basis and a dividend yield of 16.3%. Frontline’s payout ratio is presently 152.71%.

Hedge Funds Weigh In On Frontline

Hedge funds and other institutional investors have recently modified their holdings of the stock. University of Texas Texas AM Investment Management Co. purchased a new stake in Frontline during the 4th quarter worth approximately $25,000. Assetmark Inc. raised its holdings in shares of Frontline by 278.6% in the first quarter. Assetmark Inc. now owns 973 shares of the shipping company’s stock worth $34,000 after buying an additional 716 shares during the last quarter. Sunbelt Securities Inc. acquired a new stake in shares of Frontline during the third quarter worth $41,000. Parallel Advisors LLC lifted its stake in shares of Frontline by 58.9% during the first quarter. Parallel Advisors LLC now owns 1,311 shares of the shipping company’s stock worth $46,000 after buying an additional 486 shares during the period. Finally, NFSG Corp grew its holdings in shares of Frontline by 50.0% during the first quarter. NFSG Corp now owns 1,500 shares of the shipping company’s stock valued at $52,000 after buying an additional 500 shares during the last quarter. 22.70% of the stock is owned by hedge funds and other institutional investors.

About Frontline

Frontline Ltd. (NYSE:FRO) is a leading global shipping company specializing in the seaborne transportation of crude oil and petroleum products. The company’s core business activities encompass the ownership and operation of very large crude carriers (VLCCs), Suezmax tankers and Aframax vessels. Through long-term charters, spot market operations and time charters, Frontline provides flexible shipping solutions that cater to a diverse set of energy producers, refiners and trading houses worldwide.

Frontline’s fleet is geared toward high-capacity, ocean-going tankers capable of carrying large volumes of crude oil over intercontinental distances.