
Frontline (FRO) Stock Forecast & Price Target
Frontline (FRO) Analyst Ratings
Bulls say
Frontline PLC has demonstrated strong financial maneuverability by successfully repaying significant loans, including the shareholder loan from Hemen Holdings, which indicates effective cash management and balance sheet strengthening. The company has improved its liquidity through a $512.1 million sale/leaseback agreement and the sale of its oldest Suezmax tanker, further enhancing its cash position and driving down its loan-to-value ratio to a healthy 41%. With an all-in fleet-wide breakeven rate of $25,700 per day and expected blended rates of $41,000 per day, Frontline retains a substantial margin for free cash flow, positioning it favorably even amid soft market conditions.
Bears say
Frontline PLC's recent financial results indicate a concerning trend, with adjusted earnings per share for the second quarter falling short of expectations at $0.62, down from a projected $0.65, and a subsequent third quarter earnings report of $0.34, which also missed estimates. The company's net revenues in the second quarter were $15 million below projections, and anticipated weak results for the fourth quarter are expected due to persistently low tanker spot rates around $30,000 per day across its operating segments. Additionally, geopolitical uncertainties and ballast days accounting may further exacerbate revenue declines, as highlighted by adjusted total commercial earnings (TCE) revenues of $358 million compared to an expected $376 million.
This aggregate rating is based on analysts' research of Frontline and is not a guaranteed prediction by Public.com or investment advice.
Frontline (FRO) Analyst Forecast & Price Prediction
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