FRONTLINE PLC (FRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FRO - CY0200352116 - Common Stock
24.43 USD
+0.76 (+3.21%)
24.7 USD
+0.27 (+1.11%)
We assign a fundamental rating of 5 out of 10 to FRO. FRO was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. FRO has an average financial health and profitability rating. FRO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
FRO had positive earnings in the past year.
In the past year FRO had a positive cash flow from operations.
FRO had positive earnings in 4 of the past 5 years.
In the past 5 years FRO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FRO (3.82%) is comparable to the rest of the industry.
FRO's Return On Equity of 9.37% is fine compared to the rest of the industry. FRO outperforms 62.50% of its industry peers.
The Return On Invested Capital of FRO (6.75%) is better than 62.02% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FRO is significantly below the industry average of 21.28%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.82% | ||
| ROE | 9.37% | ||
| ROIC | 6.75% |
ROA(3y)9.7%
ROA(5y)7.85%
ROE(3y)23.68%
ROE(5y)19.15%
ROIC(3y)9.24%
ROIC(5y)7.64%
1.3 Margins
FRO's Profit Margin of 12.34% is fine compared to the rest of the industry. FRO outperforms 62.50% of its industry peers.
FRO's Profit Margin has improved in the last couple of years.
The Operating Margin of FRO (25.52%) is better than 64.90% of its industry peers.
FRO's Operating Margin has improved in the last couple of years.
The Gross Margin of FRO (45.19%) is comparable to the rest of the industry.
FRO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.52% | ||
| PM (TTM) | 12.34% | ||
| GM | 45.19% |
OM growth 3Y281.28%
OM growth 5Y5.78%
PM growth 3YN/A
PM growth 5Y10.58%
GM growth 3Y25.66%
GM growth 5Y3.8%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FRO is still creating some value.
FRO has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for FRO has been increased compared to 5 years ago.
Compared to 1 year ago, FRO has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.69, we must say that FRO is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 1.69, FRO is doing good in the industry, outperforming 62.02% of the companies in the same industry.
The Debt to FCF ratio of FRO is 5.82, which is a neutral value as it means it would take FRO, 5.82 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FRO (5.82) is better than 62.02% of its industry peers.
A Debt/Equity ratio of 1.27 is on the high side and indicates that FRO has dependencies on debt financing.
FRO has a Debt to Equity ratio of 1.27. This is in the lower half of the industry: FRO underperforms 71.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 5.82 | ||
| Altman-Z | 1.69 |
ROIC/WACC0.81
WACC8.3%
2.3 Liquidity
FRO has a Current Ratio of 1.37. This is a normal value and indicates that FRO is financially healthy and should not expect problems in meeting its short term obligations.
FRO has a Current ratio of 1.37. This is in the better half of the industry: FRO outperforms 62.50% of its industry peers.
FRO has a Quick Ratio of 1.37. 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 1.37, FRO is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
The earnings per share for FRO have decreased strongly by -54.41% 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.
Looking at the last year, FRO shows a very negative growth in Revenue. The Revenue has decreased by -13.41% in the last year.
FRO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.45% yearly.
EPS 1Y (TTM)-54.41%
EPS 3YN/A
EPS 5Y18.25%
EPS Q2Q%-44.12%
Revenue 1Y (TTM)-13.41%
Revenue growth 3Y39.87%
Revenue growth 5Y16.45%
Sales Q2Q%-11.76%
3.2 Future
FRO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.47% yearly.
Based on estimates for the next years, FRO will show a small growth in Revenue. The Revenue will grow by 2.38% on average per year.
EPS Next Y4.57%
EPS Next 2Y32.93%
EPS Next 3Y19.47%
EPS Next 5YN/A
Revenue Next Year-7.58%
Revenue Next 2Y5.55%
Revenue Next 3Y2.38%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 26.27, the valuation of FRO can be described as expensive.
Based on the Price/Earnings ratio, FRO is valued a bit more expensive than the industry average as 61.54% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of FRO to the average of the S&P500 Index (27.00), we can say FRO is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 7.77, the valuation of FRO can be described as very cheap.
FRO's Price/Forward Earnings ratio is rather cheap when compared to the industry. FRO is cheaper than 88.94% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FRO to the average of the S&P500 Index (23.70), we can say FRO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.27 | ||
| Fwd PE | 7.77 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FRO.
78.85% of the companies in the same industry are more expensive than FRO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.76 | ||
| EV/EBITDA | 10.74 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of FRO may justify a higher PE ratio.
A more expensive valuation may be justified as FRO's earnings are expected to grow with 19.47% in the coming years.
PEG (NY)5.75
PEG (5Y)1.44
EPS Next 2Y32.93%
EPS Next 3Y19.47%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.26%, FRO is a good candidate for dividend investing.
FRO's Dividend Yield is a higher than the industry average which is at 3.96.
FRO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.26% |
5.2 History
The dividend of FRO is nicely growing with an annual growth rate of 78.57%!
FRO has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)78.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
110.35% of the earnings are spent on dividend by FRO. This is not a sustainable payout ratio.
The dividend of FRO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP110.35%
EPS Next 2Y32.93%
EPS Next 3Y19.47%
24.43
+0.76 (+3.21%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners31.42%
Inst Owner Change0%
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap5.44B
Revenue(TTM)1.77B
Net Income(TTM)217.88M
Analysts86.67
Price Target29.07 (18.99%)
Short Float %3.13%
Short Ratio1.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.26% |
Yearly Dividend1.95
Dividend Growth(5Y)78.57%
DP110.35%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-31.92%
Min EPS beat(2)-38.99%
Max EPS beat(2)-24.85%
EPS beat(4)0
Avg EPS beat(4)-32.45%
Min EPS beat(4)-44.42%
Max EPS beat(4)-21.54%
EPS beat(8)0
Avg EPS beat(8)-21.91%
EPS beat(12)1
Avg EPS beat(12)-17.02%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)56.87%
Min Revenue beat(2)53.65%
Max Revenue beat(2)60.08%
Revenue beat(4)4
Avg Revenue beat(4)51.47%
Min Revenue beat(4)40.16%
Max Revenue beat(4)60.08%
Revenue beat(8)8
Avg Revenue beat(8)47.42%
Revenue beat(12)11
Avg Revenue beat(12)43.12%
Revenue beat(16)15
Avg Revenue beat(16)53.64%
PT rev (1m)12.87%
PT rev (3m)20.42%
EPS NQ rev (1m)1.79%
EPS NQ rev (3m)20.15%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.92%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)9.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)8.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.27 | ||
| Fwd PE | 7.77 | ||
| P/S | 3.08 | ||
| P/FCF | 9.76 | ||
| P/OCF | 9.59 | ||
| P/B | 2.34 | ||
| P/tB | 2.46 | ||
| EV/EBITDA | 10.74 |
EPS(TTM)0.93
EY3.81%
EPS(NY)3.15
Fwd EY12.88%
FCF(TTM)2.5
FCFY10.24%
OCF(TTM)2.55
OCFY10.42%
SpS7.93
BVpS10.45
TBVpS9.94
PEG (NY)5.75
PEG (5Y)1.44
Graham Number14.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.82% | ||
| ROE | 9.37% | ||
| ROCE | 8.55% | ||
| ROIC | 6.75% | ||
| ROICexc | 7.01% | ||
| ROICexgc | 7.17% | ||
| OM | 25.52% | ||
| PM (TTM) | 12.34% | ||
| GM | 45.19% | ||
| FCFM | 31.54% |
ROA(3y)9.7%
ROA(5y)7.85%
ROE(3y)23.68%
ROE(5y)19.15%
ROIC(3y)9.24%
ROIC(5y)7.64%
ROICexc(3y)10.04%
ROICexc(5y)8.23%
ROICexgc(3y)10.29%
ROICexgc(5y)8.45%
ROCE(3y)11.7%
ROCE(5y)9.67%
ROICexgc growth 3Y374.61%
ROICexgc growth 5Y7.27%
ROICexc growth 3Y376.04%
ROICexc growth 5Y7.73%
OM growth 3Y281.28%
OM growth 5Y5.78%
PM growth 3YN/A
PM growth 5Y10.58%
GM growth 3Y25.66%
GM growth 5Y3.8%
F-Score4
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 5.82 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 2.94% | ||
| Cap/Sales | 0.56% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.79% | ||
| Profit Quality | 255.64% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 1.69 |
F-Score4
WACC8.3%
ROIC/WACC0.81
Cap/Depr(3y)393.23%
Cap/Depr(5y)320.76%
Cap/Sales(3y)52.88%
Cap/Sales(5y)47.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-54.41%
EPS 3YN/A
EPS 5Y18.25%
EPS Q2Q%-44.12%
EPS Next Y4.57%
EPS Next 2Y32.93%
EPS Next 3Y19.47%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.41%
Revenue growth 3Y39.87%
Revenue growth 5Y16.45%
Sales Q2Q%-11.76%
Revenue Next Year-7.58%
Revenue Next 2Y5.55%
Revenue Next 3Y2.38%
Revenue Next 5YN/A
EBIT growth 1Y-42.95%
EBIT growth 3Y433.29%
EBIT growth 5Y23.18%
EBIT Next Year28.18%
EBIT Next 3Y15.98%
EBIT Next 5YN/A
FCF growth 1Y-24.98%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-42.02%
OCF growth 3Y105.18%
OCF growth 5Y21.32%
FRONTLINE PLC / FRO FAQ
What is the ChartMill fundamental rating of FRONTLINE PLC (FRO) stock?
ChartMill assigns a fundamental rating of 5 / 10 to FRO.
What is the valuation status for FRO stock?
ChartMill assigns a valuation rating of 5 / 10 to FRONTLINE PLC (FRO). This can be considered as Fairly Valued.
Can you provide the profitability details for FRONTLINE PLC?
FRONTLINE PLC (FRO) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for FRO stock?
The Price/Earnings (PE) ratio for FRONTLINE PLC (FRO) is 26.27 and the Price/Book (PB) ratio is 2.34.
What is the earnings growth outlook for FRONTLINE PLC?
The Earnings per Share (EPS) of FRONTLINE PLC (FRO) is expected to grow by 4.57% in the next year.