FRONTLINE PLC (FRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FRO - CY0200352116 - Common Stock
21.82 USD
+0.1 (+0.46%)
21.75 USD
-0.07 (-0.32%)
Taking everything into account, FRO scores 5 out of 10 in our fundamental rating. FRO was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. FRO has only an average score on both its financial health and profitability. FRO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year FRO was profitable.
FRO had a positive operating cash flow in the past year.
FRO had positive earnings in 4 of the past 5 years.
Each year in the past 5 years FRO had a positive operating cash flow.
1.2 Ratios
FRO has a Return On Assets (3.82%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 9.37%, FRO is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
FRO has a better Return On Invested Capital (6.75%) than 62.20% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FRO is significantly below the industry average of 21.27%.
| 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
Looking at the Profit Margin, with a value of 12.34%, FRO is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
FRO's Profit Margin has improved in the last couple of years.
FRO has a better Operating Margin (25.52%) than 65.07% of its industry peers.
In the last couple of years the Operating Margin of FRO has grown nicely.
FRO has a Gross Margin (45.19%) which is in line with 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.
Compared to 1 year ago, FRO has about the same amount of shares outstanding.
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
Based on the Altman-Z score of 1.59, we must say that FRO is in the distress zone and has some risk of bankruptcy.
FRO has a Altman-Z score of 1.59. This is in the better half of the industry: FRO outperforms 61.24% 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.
FRO has a Debt to FCF ratio of 5.82. This is in the better half of the industry: FRO outperforms 62.20% of its industry peers.
FRO has a Debt/Equity ratio of 1.27. This is a high value indicating a heavy dependency on external financing.
FRO's Debt to Equity ratio of 1.27 is on the low side compared to the rest of the industry. FRO is outperformed by 71.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 5.82 | ||
| Altman-Z | 1.59 |
ROIC/WACC0.81
WACC8.31%
2.3 Liquidity
A Current Ratio of 1.37 indicates that FRO should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.37, FRO is doing good in the industry, outperforming 62.68% of the companies in the same industry.
A Quick Ratio of 1.37 indicates that FRO should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.37, FRO is doing good in the industry, outperforming 68.90% of the companies in the same industry.
| 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%.
Measured over the past years, FRO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.25% on average per year.
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.
The Revenue is expected to grow by 2.38% on average over the next years.
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.46, the valuation of FRO can be described as rather expensive.
FRO's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.51, FRO is valued at the same level.
The Price/Forward Earnings ratio is 6.94, which indicates a rather cheap valuation of FRO.
90.91% 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 (23.13), we can say FRO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.46 | ||
| Fwd PE | 6.94 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FRO.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FRO indicates a rather cheap valuation: FRO is cheaper than 80.86% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.72 | ||
| EV/EBITDA | 10.01 |
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.
FRO's earnings are expected to grow with 19.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.14
PEG (5Y)1.29
EPS Next 2Y32.93%
EPS Next 3Y19.47%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.34%, FRO is a good candidate for dividend investing.
FRO's Dividend Yield is a higher than the industry average which is at 3.93.
Compared to an average S&P500 Dividend Yield of 2.00, FRO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.34% |
5.2 History
On average, the dividend of FRO grows each year by 78.57%, which is quite nice.
FRO has paid a dividend for at least 10 years, which is 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%
21.82
+0.1 (+0.46%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners31.77%
Inst Owner Change0.66%
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap4.86B
Revenue(TTM)1.77B
Net Income(TTM)217.88M
Analysts86.67
Price Target29.07 (33.23%)
Short Float %3.13%
Short Ratio1.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.34% |
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)6.3%
EPS NQ rev (3m)13.74%
EPS NY rev (1m)2.95%
EPS NY rev (3m)-0.92%
Revenue NQ rev (1m)3.74%
Revenue NQ rev (3m)6.79%
Revenue NY rev (1m)7.29%
Revenue NY rev (3m)8.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.46 | ||
| Fwd PE | 6.94 | ||
| P/S | 2.75 | ||
| P/FCF | 8.72 | ||
| P/OCF | 8.57 | ||
| P/B | 2.09 | ||
| P/tB | 2.19 | ||
| EV/EBITDA | 10.01 |
EPS(TTM)0.93
EY4.26%
EPS(NY)3.15
Fwd EY14.42%
FCF(TTM)2.5
FCFY11.47%
OCF(TTM)2.55
OCFY11.67%
SpS7.93
BVpS10.45
TBVpS9.94
PEG (NY)5.14
PEG (5Y)1.29
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 | 1.59 |
F-Score4
WACC8.31%
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 6 / 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 23.46 and the Price/Book (PB) ratio is 2.09.
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.