FRONTLINE PLC (FRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FRO - CY0200352116 - Common Stock
22.85 USD
-0.67 (-2.85%)
23.04 USD
+0.19 (+0.83%)
Overall FRO gets a fundamental rating of 5 out of 10. We evaluated FRO against 209 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of FRO while its profitability can be described as average. 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.
Of the past 5 years FRO 4 years were profitable.
In the past 5 years FRO always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.82%, FRO perfoms like the industry average, outperforming 54.55% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.37%, FRO is in the better half of the industry, outperforming 62.68% of the companies in the same industry.
FRO has a Return On Invested Capital of 6.75%. This is in the better half of the industry: FRO outperforms 60.29% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FRO is significantly below the industry average of 21.47%.
| 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 62.68% of its industry peers.
FRO's Profit Margin has improved in the last couple of years.
FRO has a better Operating Margin (25.52%) than 64.11% 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.
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 3Y281.72%
OM growth 5Y5.78%
PM growth 3YN/A
PM growth 5Y10.57%
GM growth 3Y25.67%
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.
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
FRO has an Altman-Z score of 1.65. This is a bad value and indicates that FRO is not financially healthy and even has some risk of bankruptcy.
FRO has a Altman-Z score of 1.65. This is comparable to the rest of the industry: FRO outperforms 59.81% 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.
The Debt to Equity ratio of FRO (1.27) is worse than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.65 |
ROIC/WACC0.81
WACC8.34%
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.
With a decent Current ratio value of 1.37, FRO is doing good in the industry, outperforming 62.20% 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.
FRO has a Quick ratio of 1.37. This is in the better half of the industry: FRO outperforms 68.42% 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.
The Revenue for FRO has decreased by -13.41% in the past year. This is quite bad
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 3Y39.86%
Revenue growth 5Y16.45%
Sales Q2Q%-11.76%
3.2 Future
FRO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.06% yearly.
Based on estimates for the next years, FRO will show a small growth in Revenue. The Revenue will grow by 0.90% on average per year.
EPS Next Y1.57%
EPS Next 2Y25.98%
EPS Next 3Y22.06%
EPS Next 5YN/A
Revenue Next Year-13.86%
Revenue Next 2Y-0.03%
Revenue Next 3Y0.9%
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 accelerating.
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
FRO is valuated rather expensively with a Price/Earnings ratio of 24.57.
The rest of the industry has a similar Price/Earnings ratio as FRO.
FRO's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.11.
With a Price/Forward Earnings ratio of 8.09, the valuation of FRO can be described as very reasonable.
Based on the Price/Forward Earnings ratio, FRO is valued cheaply inside the industry as 82.78% of the companies are valued more expensively.
FRO is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.57 | ||
| Fwd PE | 8.09 |
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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.49 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FRO does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of FRO may justify a higher PE ratio.
FRO's earnings are expected to grow with 22.06% in the coming years. This may justify a more expensive valuation.
PEG (NY)15.68
PEG (5Y)1.35
EPS Next 2Y25.98%
EPS Next 3Y22.06%
5. Dividend
5.1 Amount
FRO has a Yearly Dividend Yield of 3.95%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.96, FRO pays a bit more dividend than its industry peers.
FRO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.95% |
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
34.74% of the earnings are spent on dividend by FRO. This is a low number and sustainable payout ratio.
FRO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP34.74%
EPS Next 2Y25.98%
EPS Next 3Y22.06%
22.85
-0.67 (-2.85%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners33.37%
Inst Owner Change0.65%
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap5.09B
Revenue(TTM)1.77B
Net Income(TTM)217.88M
Analysts86.67
Price Target25.76 (12.74%)
Short Float %3.37%
Short Ratio2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.95% |
Yearly Dividend1.95
Dividend Growth(5Y)78.57%
DP34.74%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)6.69%
PT rev (3m)6.69%
EPS NQ rev (1m)10.86%
EPS NQ rev (3m)4.8%
EPS NY rev (1m)0.94%
EPS NY rev (3m)-17.7%
Revenue NQ rev (1m)5.25%
Revenue NQ rev (3m)3.62%
Revenue NY rev (1m)2.27%
Revenue NY rev (3m)-4.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.57 | ||
| Fwd PE | 8.09 | ||
| P/S | 2.88 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.19 | ||
| P/tB | 2.3 | ||
| EV/EBITDA | 10.49 |
EPS(TTM)0.93
EY4.07%
EPS(NY)2.83
Fwd EY12.36%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS7.93
BVpS10.45
TBVpS9.94
PEG (NY)15.68
PEG (5Y)1.35
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 | N/A |
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 3Y375.15%
ROICexgc growth 5Y7.27%
ROICexc growth 3Y376.58%
ROICexc growth 5Y7.73%
OM growth 3Y281.72%
OM growth 5Y5.78%
PM growth 3YN/A
PM growth 5Y10.57%
GM growth 3Y25.67%
GM growth 5Y3.8%
F-ScoreN/A
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 1.65 |
F-ScoreN/A
WACC8.34%
ROIC/WACC0.81
Cap/Depr(3y)393.22%
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 Y1.57%
EPS Next 2Y25.98%
EPS Next 3Y22.06%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.41%
Revenue growth 3Y39.86%
Revenue growth 5Y16.45%
Sales Q2Q%-11.76%
Revenue Next Year-13.86%
Revenue Next 2Y-0.03%
Revenue Next 3Y0.9%
Revenue Next 5YN/A
EBIT growth 1Y-42.95%
EBIT growth 3Y433.89%
EBIT growth 5Y23.18%
EBIT Next Year26.17%
EBIT Next 3Y18.01%
EBIT Next 5YN/A
FCF growth 1Y76.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-13.99%
OCF growth 3Y105.14%
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 of FRONTLINE PLC (FRO) stock?
ChartMill assigns a valuation rating of 4 / 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.
How financially healthy is FRONTLINE PLC?
The financial health rating of FRONTLINE PLC (FRO) is 3 / 10.
Can you provide the dividend sustainability for FRO stock?
The dividend rating of FRONTLINE PLC (FRO) is 6 / 10 and the dividend payout ratio is 34.74%.