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Frontline (FRO) Gains But Lags Market: What You Should Know

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Frontline (FRO) closed the most recent trading day at $5.64, moving +0.71% from the previous trading session. The stock lagged the S&P 500's daily gain of 1.78%. Meanwhile, the Dow gained 2.06%, and the Nasdaq, a tech-heavy index, added 1.85%.

Coming into today, shares of the shipping company had lost 17.4% in the past month. In that same time, the Transportation sector lost 1.24%, while the S&P 500 lost 1.1%.

Wall Street will be looking for positivity from FRO as it approaches its next earnings report date. In that report, analysts expect FRO to post earnings of $0.35 per share. This would mark year-over-year growth of 683.33%. Our most recent consensus estimate is calling for quarterly revenue of $188.05 million, up 99.71% from the year-ago period.

FRO's full-year Zacks Consensus Estimates are calling for earnings of $2.28 per share and revenue of $979.71 million. These results would represent year-over-year changes of +178.05% and +74.38%, respectively.

Any recent changes to analyst estimates for FRO should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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. The Zacks Consensus EPS estimate has moved 14.15% lower within the past month. FRO currently has a Zacks Rank of #3 (Hold).

In terms of valuation, FRO is currently trading at a Forward P/E ratio of 2.46. This valuation marks a discount compared to its industry's average Forward P/E of 5.61.

The Transportation - Shipping industry is part of the Transportation sector. This group has a Zacks Industry Rank of 210, putting it in the bottom 18% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

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