(FRO) Frontline - Overview
Sector: Energy | Industry: Oil & Gas Midstream | Exchange: NYSE (USA) | Market Cap: 8.558m USD | Total Return: 111.4% in 12m
Avg Turnover: 81.5M
EPS Trend: -84.2%
Qual. Beats: -1
Rev. Trend: 10.3%
Qual. Beats: 1
Warnings
No concerns identified
Tailwinds
Rs(ibd) Leader, Tailwind, Pullback 52w, Confidence
Frontline plc (FRO) is a major international shipping company specializing in the ownership and operation of oil and product tankers. Headquartered in Cyprus, the company manages a diverse fleet of 80 vessels, including Very Large Crude Carriers (VLCCs), Suezmax tankers, and LR2/Aframax tankers. Its business model relies on spot market exposure and time charter contracts, alongside the strategic acquisition and sale of vessels to optimize fleet age and capacity.
The crude tanker industry is highly cyclical and sensitive to global oil demand, geopolitical shifts, and OPEC+ production levels. VLCCs, the largest vessels in Frontlines fleet, are primarily used for long-haul transport from the Middle East and US Gulf to Asian markets, benefiting from economies of scale during periods of high export volume. Investors can further examine these industry dynamics and valuation metrics on ValueRay. The company remains a significant player in the Oil & Gas Storage & Transportation sector, maintaining one of the largest publicly traded tanker fleets globally.
- Global crude oil demand fluctuations dictate spot market charter rates
- Geopolitical tensions in Red Sea and Suez Canal impact voyage durations
- Fleet age and fuel efficiency determine operating margins under environmental regulations
- Newbuild vessel supply constraints support increased second-hand asset valuations
- OPEC+ production quotas directly influence VLCC and Suezmax vessel utilization levels
| Net Income: 379.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.12 > 0.02 and ΔFCF/TA 14.52 > 1.0 |
| NWC/Revenue: 10.82% < 20% (prev 11.23%; Δ -0.42% < -1%) |
| CFO/TA 0.12 > 3% & CFO 682.5m > Net Income 379.1m |
| Net Debt (2.82b) to EBITDA (946.0m): 2.98 < 3 |
| Current Ratio: 1.43 > 1.5 & < 3 |
| Outstanding Shares: last quarter (222.6m) vs 12m ago -0.00% < -2% |
| Gross Margin: 32.77% > 18% (prev 0.34%; Δ 3.24k% > 0.5%) |
| Asset Turnover: 32.82% > 50% (prev 32.96%; Δ -0.14% > 0%) |
| Interest Coverage Ratio: 2.67 > 6 (EBITDA TTM 946.0m / Interest Expense TTM 231.1m) |
| A: 0.04 (Total Current Assets 707.3m - Total Current Liabilities 494.7m) / Total Assets 5.75b |
| B: 0.29 (Retained Earnings 1.68b / Total Assets 5.75b) |
| C: 0.10 (EBIT TTM 616.2m / Avg Total Assets 5.99b) |
| D: 0.59 (Book Value of Equity 1.91b / Total Liabilities 3.24b) |
| Altman-Z'' = 2.51 = A |
| DSRI: 0.85 (Receivables 123.5m/151.9m, Revenue 1.97b/2.05b) |
| GMI: 1.05 (GM 32.77% / 34.42%) |
| AQI: 0.99 (AQ_t 0.02 / AQ_t-1 0.02) |
| SGI: 0.96 (Revenue 1.97b / 2.05b) |
| TATA: -0.05 (NI 379.1m - CFO 682.5m) / TA 5.75b) |
| Beneish M = -3.19 (Cap -4..+1) = AA |
As of May 25, 2026, the stock is trading at USD 37.12 with a total of 4,113,808 shares traded.
Over the past week, the price has changed by +1.25%,
over one month by +4.30%,
over three months by +4.87% and
over the past year by +111.35%.
Frontline has received a consensus analysts rating of 4.83. Therefore, it is recommended to buy FRO.
- StrongBuy: 5
- Buy: 1
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 42 | 13.1% |
P/E Trailing = 22.6118
P/E Forward = 7.7882
P/S = 4.3548
P/B = 3.4519
P/EG = 5.5847
Revenue TTM = 1.97b USD
EBIT TTM = 616.2m USD
EBITDA TTM = 946.0m USD
Long Term Debt = 2.75b USD (from longTermDebt, last quarter)
Short Term Debt = 320.5m USD (from shortTermDebt, last quarter)
Debt = 3.07b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.82b USD (calculated: Debt 3.07b - CCE 251.3m)
Enterprise Value = 11.4b USD (8.56b + Debt 3.07b - CCE 251.3m)
Interest Coverage Ratio = 2.67 (Ebit TTM 616.2m / Interest Expense TTM 231.1m)
EV/FCF = 16.98x (Enterprise Value 11.4b / FCF TTM 669.9m)
FCF Yield = 5.89% (FCF TTM 669.9m / Enterprise Value 11.4b)
FCF Margin = 34.09% (FCF TTM 669.9m / Revenue TTM 1.97b)
Net Margin = 19.29% (Net Income TTM 379.1m / Revenue TTM 1.97b)
Gross Margin = 32.77% ((Revenue TTM 1.97b - Cost of Revenue TTM 1.32b) / Revenue TTM)
Gross Margin QoQ = 46.26% (prev 24.34%)
Tobins Q-Ratio = 1.98 (Enterprise Value 11.4b / Total Assets 5.75b)
Interest Expense / Debt = 7.53% (Interest Expense 231.1m / Debt 3.07b)
Taxrate = 0.52% (1.18m / 229.1m)
NOPAT = 613.0m (EBIT 616.2m * (1 - 0.52%))
Current Ratio = 1.43 (Total Current Assets 707.3m / Total Current Liabilities 494.7m)
Debt / Equity = 1.22 (Debt 3.07b / totalStockholderEquity, last quarter 2.51b)
Debt / EBITDA = 2.98 (Net Debt 2.82b / EBITDA 946.0m)
Debt / FCF = 4.20 (Net Debt 2.82b / FCF TTM 669.9m)
Total Stockholder Equity = 2.38b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.33% (Net Income 379.1m / Total Assets 5.75b)
RoE = 15.91% (Net Income TTM 379.1m / Total Stockholder Equity 2.38b)
RoCE = 12.01% (EBIT 616.2m / Capital Employed (Equity 2.38b + L.T.Debt 2.75b))
RoIC = 11.09% (NOPAT 613.0m / Invested Capital 5.53b)
WACC = 7.13% (E(8.56b)/V(11.6b) * Re(7.0%) + D(3.07b)/V(11.6b) * Rd(7.53%) * (1-Tc(0.01)))
Discount Rate = 7.0% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -7.45 | Cagr: -0.00%
[DCF] Terminal Value 75.44% ; FCFF base≈669.9m ; Y1≈672.7m ; Y5≈712.6m
[DCF] Fair Price = 37.13 (EV 11.1b - Net Debt 2.82b = Equity 8.27b / Shares 222.6m; r=8.35% [WACC [floored]]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: -84.21 | EPS CAGR: -30.69% | SUE: -1.58 | # QB: -1
Revenue Correlation: 10.30 | Revenue CAGR: 0.59% | SUE: 3.21 | # QB: 1
EPS current Quarter (2026-06-30): EPS=1.39 | Chg30d=+101.14% | Revisions=+20% | Analysts=3
EPS current Year (2026-12-31): EPS=5.44 | Chg30d=+50.18% | Revisions=+33% | GrowthEPS=+207.4% | GrowthRev=+81.6%
EPS next Year (2027-12-31): EPS=3.10 | Chg30d=+31.76% | Revisions=+43% | GrowthEPS=-43.0% | GrowthRev=-22.7%
[Analyst] Revisions Ratio: +43%