FRONTLINE PLC (FRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FRO - CY0200352116 - Common Stock
24.43 USD
+0.76 (+3.21%)
25.08 USD
+0.65 (+2.66%)
Taking everything into account, FRO scores 5 out of 10 in our fundamental rating. 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 decent growth rate and is not valued too expensively.
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.
FRO had positive earnings in 4 of the past 5 years.
FRO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.82%, FRO is in line with its industry, outperforming 55.29% of the companies in the same industry.
The Return On Equity of FRO (9.37%) is better than 62.50% of its industry peers.
FRO's Return On Invested Capital of 6.75% is fine compared to the rest of the industry. FRO outperforms 62.02% of its industry peers.
FRO had an Average Return On Invested Capital over the past 3 years of 9.24%. This 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
The Profit Margin of FRO (12.34%) is better than 62.50% of its industry peers.
In the last couple of years the Profit Margin of FRO has grown nicely.
With a decent Operating Margin value of 25.52%, FRO is doing good in the industry, outperforming 64.90% of the companies in the same industry.
In the last couple of years the Operating Margin of FRO has grown nicely.
FRO's Gross Margin of 45.19% is in line compared to the rest of the industry. FRO outperforms 54.33% of its industry peers.
In the last couple of years the Gross Margin of FRO has grown nicely.
| 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
FRO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for FRO remains at a similar level compared to 1 year ago.
Compared to 5 years ago, FRO has more shares outstanding
Compared to 1 year ago, FRO has a worse debt to assets ratio.
2.2 Solvency
FRO has an Altman-Z score of 1.66. This is a bad value and indicates that FRO is not financially healthy and even has some risk of bankruptcy.
FRO has a better Altman-Z score (1.66) than 62.02% of its industry peers.
FRO has a debt to FCF ratio of 5.82. This is a neutral value as FRO would need 5.82 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.82, FRO is in the better half of the industry, outperforming 62.02% of the companies in the same industry.
A Debt/Equity ratio of 1.27 is on the high side and indicates that FRO has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.27, FRO is doing worse than 71.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 5.82 | ||
| Altman-Z | 1.66 |
ROIC/WACC0.81
WACC8.29%
2.3 Liquidity
A Current Ratio of 1.37 indicates that FRO should not have too much problems paying its short term obligations.
The Current ratio of FRO (1.37) is better than 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.
FRO has a better Quick ratio (1.37) than 68.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
FRO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -54.41%.
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.
Measured over the past years, FRO shows a quite strong growth in Revenue. The Revenue has been growing by 16.45% on average per year.
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
The Earnings Per Share is expected to grow by 19.47% on average over the next years. This is quite good.
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
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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 61.06% of the companies in the same industry.
When comparing the Price/Earnings ratio of FRO to the average of the S&P500 Index (26.92), we can say FRO is valued inline with the index average.
A Price/Forward Earnings ratio of 7.77 indicates a rather cheap valuation of FRO.
Based on the Price/Forward Earnings ratio, FRO is valued cheaply inside the industry as 89.42% of the companies are valued more expensively.
FRO is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.27 | ||
| Fwd PE | 7.77 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FRO is on the same level as its industry peers.
79.33% 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 | 10.53 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
FRO has a very decent profitability rating, which may justify a higher PE ratio.
FRO's earnings are expected to grow with 19.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.75
PEG (5Y)1.44
EPS Next 2Y32.93%
EPS Next 3Y19.47%
5. Dividend
5.1 Amount
FRO has a Yearly Dividend Yield of 4.26%, which is a nice return.
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
On average, the dividend of FRO grows each year by 78.57%, which is quite nice.
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
FRO pays out 110.35% of its income as dividend. 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 | 10.53 |
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 | 1.66 |
F-Score4
WACC8.29%
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.