Frontline (NYSE:FRO) Sets New 12-Month High – Still a Buy?

Frontline PLC (NYSE:FRO) shares reached a new 52-week high on Tuesday . The stock traded as high as $30.98 and last traded at $30.9210, with a volume of 1467613 shares trading hands. The stock had previously closed at $30.92.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on FRO. Jefferies Financial Group boosted their price objective on shares of Frontline from $28.00 to $30.00 and gave the stock a “buy” rating in a report on Friday, November 21st. Clarkson Capital upgraded Frontline from a “neutral” rating to a “buy” rating in a research report on Monday, January 12th. Weiss Ratings restated a “hold (c)” rating on shares of Frontline in a research report on Monday, December 29th. Evercore raised their target price on Frontline from $22.00 to $26.00 and gave the stock an “outperform” rating in a research report on Tuesday, October 28th. Finally, BTIG Research boosted their price target on shares of Frontline from $30.00 to $35.00 and gave the company a “buy” rating in a report on Wednesday, February 4th. Four research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $25.87.

Frontline Stock Performance

The firm has a market cap of $7.01 billion, a P/E ratio of 32.13 and a beta of 0.07. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 1.27. The firm has a fifty day moving average of $25.11 and a 200-day moving average of $23.48.

Frontline (NYSE:FRO) last issued its earnings results on Friday, November 21st. The shipping company reported $0.19 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.23 by ($0.04). Frontline had a net margin of 12.23% and a return on equity of 8.89%. The business had revenue of $257.04 million during the quarter, compared to the consensus estimate of $265.23 million. During the same period last year, the business posted $0.34 EPS. Research analysts predict that Frontline PLC will post 1.78 earnings per share for the current fiscal year.

Frontline Cuts Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, December 19th. Investors of record on Friday, December 12th were given a $0.19 dividend. The ex-dividend date of this dividend was Friday, December 12th. This represents a $0.76 dividend on an annualized basis and a dividend yield of 2.4%. Frontline’s payout ratio is currently 77.55%.

Hedge Funds Weigh In On Frontline

Hedge funds and other institutional investors have recently made changes to their positions in the company. Marshall Wace LLP raised its holdings in shares of Frontline by 155.1% in the 2nd quarter. Marshall Wace LLP now owns 1,692,537 shares of the shipping company’s stock valued at $27,775,000 after purchasing an additional 1,029,034 shares during the period. Balyasny Asset Management L.P. lifted its holdings in Frontline by 44.0% during the 3rd quarter. Balyasny Asset Management L.P. now owns 2,247,120 shares of the shipping company’s stock worth $51,212,000 after purchasing an additional 686,212 shares during the last quarter. SG Americas Securities LLC boosted its position in shares of Frontline by 274.3% in the second quarter. SG Americas Securities LLC now owns 877,529 shares of the shipping company’s stock valued at $14,400,000 after acquiring an additional 643,100 shares during the period. Barclays PLC grew its position in shares of Frontline by 256.9% during the 4th quarter. Barclays PLC now owns 826,343 shares of the shipping company’s stock worth $18,031,000 after purchasing an additional 594,811 shares in the last quarter. Finally, Forest Avenue Capital Management LP acquired a new position in shares of Frontline during the 4th quarter worth approximately $11,917,000. 22.70% of the stock is owned by institutional investors.

Frontline Company Profile

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.