Frontline (FRO) closed at $7.61 in the latest trading session, marking a -1.93% move from the prior day. This change lagged the S&P 500's 0.34% loss on the day. Meanwhile, the Dow lost 0.5%, and the Nasdaq, a tech-heavy index, lost 0.73%.
Prior to today's trading, shares of the shipping company had gained 1.84% over the past month. This has lagged the Transportation sector's gain of 4.21% and the S&P 500's gain of 5.71% in that time.
FRO will be looking to display strength as it nears its next earnings release. On that day, FRO is projected to report earnings of $0.98 per share, which would represent year-over-year growth of 4800%. Our most recent consensus estimate is calling for quarterly revenue of $315.29 million, up 206.88% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.33 per share and revenue of $1.17 billion, which would represent changes of +184.15% and +109.11%, respectively, from the prior year.
Any recent changes to analyst estimates for FRO should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. FRO is holding a Zacks Rank of #4 (Sell) right now.
Digging into valuation, FRO currently has a Forward P/E ratio of 3.33. For comparison, its industry has an average Forward P/E of 4.74, which means FRO is trading at a discount to the group.
The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 229, putting it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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