Stock Traders Buy Large Volume of Frontline Call Options (NYSE:FRO)

Frontline plc (NYSE:FRO) was the target of some unusual options trading activity on Tuesday. Investors acquired 15,687 call options on the stock. This represents an increase of 323% compared to the average daily volume of 3,705 call options.

Analyst Ratings Changes

A number of analysts have recently issued reports on the company. Jefferies Financial Group dropped their target price on Frontline from $26.00 to $20.00 and set a “buy” rating on the stock in a research report on Tuesday, December 17th. Kepler Capital Markets downgraded Frontline from a “buy” rating to a “hold” rating and set a $15.83 price objective on the stock. in a report on Thursday, December 12th. One research analyst has rated the stock with a sell rating, two have given a hold rating, three have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $24.03.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. The Manufacturers Life Insurance Company lifted its position in Frontline by 1,326.2% in the third quarter. The Manufacturers Life Insurance Company now owns 527,470 shares of the shipping company’s stock worth $12,053,000 after purchasing an additional 490,486 shares during the period. M&G PLC lifted its holdings in shares of Frontline by 27.2% during the third quarter. M&G PLC now owns 1,110,763 shares of the shipping company’s stock valued at $25,164,000 after purchasing an additional 237,446 shares during the last quarter. Point72 Europe London LLP acquired a new position in shares of Frontline in the 3rd quarter valued at $3,219,000. Cinctive Capital Management LP increased its stake in Frontline by 120.8% in the 3rd quarter. Cinctive Capital Management LP now owns 104,557 shares of the shipping company’s stock worth $2,389,000 after purchasing an additional 57,206 shares in the last quarter. Finally, GSA Capital Partners LLP acquired a new stake in Frontline during the 3rd quarter worth about $1,077,000. 22.70% of the stock is owned by institutional investors and hedge funds.

Frontline Stock Performance

Shares of Frontline stock opened at $18.91 on Wednesday. The company has a debt-to-equity ratio of 1.44, a quick ratio of 1.43 and a current ratio of 1.43. Frontline has a 1 year low of $13.17 and a 1 year high of $29.39. The firm’s 50-day simple moving average is $15.71 and its 200-day simple moving average is $20.01. The firm has a market cap of $4.21 billion and a PE ratio of 7.72.

Frontline (NYSE:FRO) last announced its quarterly earnings data on Wednesday, November 27th. The shipping company reported $0.34 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.39 by ($0.05). Frontline had a net margin of 25.64% and a return on equity of 19.25%. During the same period last year, the firm posted $0.36 EPS. Equities analysts forecast that Frontline will post 1.78 earnings per share for the current fiscal year.

Frontline Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 31st. Stockholders of record on Wednesday, December 11th were given a $0.34 dividend. The ex-dividend date of this dividend was Wednesday, December 11th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 7.19%. Frontline’s payout ratio is currently 55.51%.

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.