FRONTLINE PLC (FRO.OL) Stock Fundamental Analysis
Europe - OSL:FRO - CY0200352116 - Common Stock
232.3 NOK
-4.6 (-1.94%)
We assign a fundamental rating of 5 out of 10 to FRO. FRO was compared to 65 industry peers in the Oil, Gas & Consumable Fuels industry. While FRO belongs to the best of the industry regarding profitability, there are concerns on its financial health. FRO has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
FRO had positive earnings in the past year.
FRO had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: FRO reported negative net income in multiple years.
Of the past 5 years FRO 4 years had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 11.16%, FRO belongs to the best of the industry, outperforming 89.23% of the companies in the same industry.
FRO has a better Return On Equity (28.82%) than 89.23% of its industry peers.
With a decent Return On Invested Capital value of 10.50%, FRO is doing good in the industry, outperforming 80.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FRO is below the industry average of 9.96%.
The last Return On Invested Capital (10.50%) for FRO is above the 3 year average (6.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.16% | ||
| ROE | 28.82% | ||
| ROIC | 10.5% |
ROA(3y)6.95%
ROA(5y)7.04%
ROE(3y)16.39%
ROE(5y)16.81%
ROIC(3y)6.11%
ROIC(5y)6.97%
1.3 Margins
With an excellent Profit Margin value of 36.42%, FRO belongs to the best of the industry, outperforming 93.85% of the companies in the same industry.
FRO's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 41.43%, FRO belongs to the best of the industry, outperforming 89.23% of the companies in the same industry.
In the last couple of years the Operating Margin of FRO has grown nicely.
FRO has a better Gross Margin (55.88%) than 64.62% of its industry peers.
In the last couple of years the Gross Margin of FRO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41.43% | ||
| PM (TTM) | 36.42% | ||
| GM | 55.88% |
OM growth 3Y1.92%
OM growth 5Y33.51%
PM growth 3Y2.51%
PM growth 5YN/A
GM growth 3Y-0.13%
GM growth 5Y12.14%
2. Health
2.1 Basic Checks
FRO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
There is no outstanding debt for FRO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
Based on the Altman-Z score of 1.79, we must say that FRO is in the distress zone and has some risk of bankruptcy.
FRO's Altman-Z score of 1.79 is in line compared to the rest of the industry. FRO outperforms 49.23% of its industry peers.
A Debt/Equity ratio of 1.40 is on the high side and indicates that FRO has dependencies on debt financing.
FRO has a worse Debt to Equity ratio (1.40) than 78.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.79 |
ROIC/WACC1.24
WACC8.46%
2.3 Liquidity
A Current Ratio of 1.78 indicates that FRO should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.78, FRO is in the better half of the industry, outperforming 66.15% of the companies in the same industry.
FRO has a Quick Ratio of 1.78. This is a normal value and indicates that FRO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.78, FRO is in the better half of the industry, outperforming 75.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
The earnings per share for FRO have decreased strongly by -47.57% in the last year.
FRO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.25% yearly.
EPS 1Y (TTM)-47.57%
EPS 3YN/A
EPS 5Y18.25%
EPS Q2Q%-41.94%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-13.66%
3.2 Future
FRO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.73% yearly.
Based on estimates for the next years, FRO will show a small growth in Revenue. The Revenue will grow by 7.15% on average per year.
EPS Next Y23.41%
EPS Next 2Y30.2%
EPS Next 3Y28.73%
EPS Next 5YN/A
Revenue Next Year-14.68%
Revenue Next 2Y2.09%
Revenue Next 3Y7.15%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.89, which indicates a rather expensive current valuation of FRO.
Compared to the rest of the industry, the Price/Earnings ratio of FRO indicates a slightly more expensive valuation: FRO is more expensive than 64.62% of the companies listed in the same industry.
FRO's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.20.
A Price/Forward Earnings ratio of 7.84 indicates a rather cheap valuation of FRO.
76.92% of the companies in the same industry are more expensive than FRO, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of FRO to the average of the S&P500 Index (22.71), we can say FRO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.89 | ||
| Fwd PE | 7.84 |
4.2 Price Multiples
FRO's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.7 |
4.3 Compensation for Growth
FRO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FRO has an outstanding profitability rating, which may justify a higher PE ratio.
FRO's earnings are expected to grow with 28.73% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.94
PEG (5Y)1.2
EPS Next 2Y30.2%
EPS Next 3Y28.73%
5. Dividend
5.1 Amount
FRO has a Yearly Dividend Yield of 4.69%, which is a nice return.
Compared to an average industry Dividend Yield of 54.34, FRO has a dividend in line with its industry peers.
FRO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.69% |
5.2 History
The dividend of FRO is nicely growing with an annual growth rate of 78.57%!
Dividend Growth(5Y)78.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
97.34% of the earnings are spent on dividend by FRO. This is not a sustainable payout ratio.
FRO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP97.34%
EPS Next 2Y30.2%
EPS Next 3Y28.73%
OSL:FRO (9/16/2025, 7:00:00 PM)
232.3
-4.6 (-1.94%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners32.16%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap51.71B
Analysts85
Price Target242.13 (4.23%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.69% |
Yearly Dividend19.28
Dividend Growth(5Y)78.57%
DP97.34%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.31%
Min EPS beat(2)-20.35%
Max EPS beat(2)-0.27%
EPS beat(4)1
Avg EPS beat(4)-4.86%
Min EPS beat(4)-20.35%
Max EPS beat(4)11.91%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)50.92%
Min Revenue beat(2)49.69%
Max Revenue beat(2)52.15%
Revenue beat(4)3
Avg Revenue beat(4)36.61%
Min Revenue beat(4)-6.31%
Max Revenue beat(4)52.15%
Revenue beat(8)7
Avg Revenue beat(8)55.14%
Revenue beat(12)11
Avg Revenue beat(12)69.68%
Revenue beat(16)15
Avg Revenue beat(16)62.23%
PT rev (1m)-0.21%
PT rev (3m)-14%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.89 | ||
| Fwd PE | 7.84 | ||
| P/S | 2.92 | ||
| P/FCF | N/A | ||
| P/OCF | 6.15 | ||
| P/B | 2.31 | ||
| P/tB | 2.43 | ||
| EV/EBITDA | 8.7 |
EPS(TTM)10.61
EY4.57%
EPS(NY)29.64
Fwd EY12.76%
FCF(TTM)-34.2
FCFYN/A
OCF(TTM)37.77
OCFY16.26%
SpS79.51
BVpS100.5
TBVpS95.54
PEG (NY)0.94
PEG (5Y)1.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.16% | ||
| ROE | 28.82% | ||
| ROCE | 13.64% | ||
| ROIC | 10.5% | ||
| ROICexc | 11.15% | ||
| ROICexgc | 11.39% | ||
| OM | 41.43% | ||
| PM (TTM) | 36.42% | ||
| GM | 55.88% | ||
| FCFM | N/A |
ROA(3y)6.95%
ROA(5y)7.04%
ROE(3y)16.39%
ROE(5y)16.81%
ROIC(3y)6.11%
ROIC(5y)6.97%
ROICexc(3y)6.65%
ROICexc(5y)7.49%
ROICexgc(3y)6.82%
ROICexgc(5y)7.72%
ROCE(3y)7.93%
ROCE(5y)9.05%
ROICexcg growth 3Y1.14%
ROICexcg growth 5Y40.31%
ROICexc growth 3Y1.52%
ROICexc growth 5Y40.86%
OM growth 3Y1.92%
OM growth 5Y33.51%
PM growth 3Y2.51%
PM growth 5YN/A
GM growth 3Y-0.13%
GM growth 5Y12.14%
F-Score6
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.27 | ||
| Cap/Depr | 706.42% | ||
| Cap/Sales | 90.52% | ||
| Interest Coverage | 4.52 | ||
| Cash Conversion | 87.58% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 1.79 |
F-Score6
WACC8.46%
ROIC/WACC1.24
Cap/Depr(3y)407.55%
Cap/Depr(5y)305.25%
Cap/Sales(3y)58.57%
Cap/Sales(5y)42.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-47.57%
EPS 3YN/A
EPS 5Y18.25%
EPS Q2Q%-41.94%
EPS Next Y23.41%
EPS Next 2Y30.2%
EPS Next 3Y28.73%
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-13.66%
Revenue Next Year-14.68%
Revenue Next 2Y2.09%
Revenue Next 3Y7.15%
Revenue Next 5YN/A
EBIT growth 1Y72.52%
EBIT growth 3Y16.04%
EBIT growth 5Y59.42%
EBIT Next Year43.81%
EBIT Next 3Y16.09%
EBIT Next 5Y15.66%
FCF growth 1Y-1665.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y122.19%
OCF growth 3Y12.33%
OCF growth 5Y79.32%