Encompass Capital Advisors LLC Invests $45.03 Million in Frontline PLC $FRO

Key Points

• Encompass Capital Advisors LLC acquired 3,032,023 shares of Frontline PLC, totaling approximately $45.03 million, making it the firm's 23rd largest position.
• Frontline recently reported $0.36 earnings per share for its latest quarter, missing analysts' estimates, while revenue increased by 34.2% year-over-year.
• The company announced a quarterly dividend of $0.36 per share, representing a 6.6% yield, with the ex-dividend date set for September 12th.

Encompass Capital Advisors LLC acquired a new position in shares of Frontline PLC (NYSE:FRO - Free Report) in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 3,032,023 shares of the shipping company's stock, valued at approximately $45,026,000. Frontline makes up about 1.7% of Encompass Capital Advisors LLC's portfolio, making the stock its 23rd largest holding. Encompass Capital Advisors LLC owned approximately 1.36% of Frontline at the end of the most recent quarter.

Other large investors also recently made changes to their positions in the company. SVB Wealth LLC bought a new stake in shares of Frontline during the first quarter worth $32,000. Bayforest Capital Ltd bought a new stake in shares of Frontline during the first quarter worth $34,000. Signaturefd LLC increased its position in shares of Frontline by 59.3% during the first quarter. Signaturefd LLC now owns 2,657 shares of the shipping company's stock worth $39,000 after acquiring an additional 989 shares in the last quarter. Tower Research Capital LLC TRC increased its position in shares of Frontline by 5,500.0% during the fourth quarter. Tower Research Capital LLC TRC now owns 11,200 shares of the shipping company's stock worth $159,000 after acquiring an additional 11,000 shares in the last quarter. Finally, Golden State Wealth Management LLC grew its position in Frontline by 100.0% in the first quarter. Golden State Wealth Management LLC now owns 11,800 shares of the shipping company's stock valued at $175,000 after purchasing an additional 5,900 shares in the last quarter. Institutional investors own 22.70% of the company's stock.

Frontline Stock Performance

Shares of FRO traded up $0.75 during midday trading on Monday, reaching $22.90. The stock had a trading volume of 2,676,308 shares, compared to its average volume of 3,004,162. The firm has a 50 day simple moving average of $19.11 and a 200-day simple moving average of $17.49. Frontline PLC has a one year low of $12.40 and a one year high of $25.68. The firm has a market cap of $5.10 billion, a PE ratio of 21.40 and a beta of 0.25. The company has a current ratio of 1.88, a quick ratio of 1.88 and a debt-to-equity ratio of 1.38.

Frontline (NYSE:FRO - Get Free Report) last announced its quarterly earnings data on Friday, August 29th. The shipping company reported $0.36 EPS for the quarter, missing analysts' consensus estimates of $0.42 by ($0.06). The firm had revenue of $282.95 million during the quarter, compared to the consensus estimate of $328.71 million. Frontline had a net margin of 12.94% and a return on equity of 10.27%. The business's revenue was up 34.2% on a year-over-year basis. During the same period last year, the business earned $0.62 EPS. As a group, sell-side analysts anticipate that Frontline PLC will post 1.78 EPS for the current year.

Frontline Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 24th. Stockholders of record on Friday, September 12th will be paid a dividend of $0.36 per share. This represents a $1.44 dividend on an annualized basis and a dividend yield of 6.3%. The ex-dividend date is Friday, September 12th. Frontline's dividend payout ratio (DPR) is currently 67.29%.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on FRO shares. Wall Street Zen downgraded shares of Frontline from a "hold" rating to a "sell" rating in a research report on Sunday, July 6th. Jefferies Financial Group reaffirmed a "buy" rating and issued a $25.00 target price on shares of Frontline in a research report on Friday, August 29th. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $21.87.

Frontline Company Profile

Frontline plc, a shipping company, engages in the seaborne transportation of crude oil and oil products worldwide. It owns and operates oil and product tankers. As of December 31, 2022, the company operated a fleet of 70 vessels. It is also involved in the charter, purchase, and sale of vessels. The company was founded in 1985 and is based in Limassol, Cyprus.