Frontline Target of Unusually High Options Trading (NYSE:FRO)

Frontline PLC (NYSE:FRO) saw some unusual options trading activity on Wednesday. Traders bought 3,995 put options on the company. This is an increase of approximately 8% compared to the typical volume of 3,690 put options.

Frontline Stock Up 5.5%

Shares of NYSE FRO traded up $1.72 on Wednesday, hitting $33.24. The company had a trading volume of 2,005,005 shares, compared to its average volume of 3,198,100. The firm has a market capitalization of $7.40 billion, a P/E ratio of 33.99 and a beta of 0.07. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 1.27. Frontline has a 12-month low of $12.40 and a 12-month high of $33.41. The business has a 50 day moving average of $25.29 and a two-hundred day moving average of $23.56.

Frontline (NYSE:FRO) last released its quarterly earnings results on Friday, November 21st. The shipping company reported $0.19 earnings per share for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.04). Frontline had a return on equity of 8.89% and a net margin of 12.23%.The company had revenue of $257.04 million during the quarter, compared to analysts’ expectations of $265.23 million. During the same quarter in the prior year, the company earned $0.34 EPS. As a group, equities research analysts forecast that Frontline will post 1.78 earnings per share for the current fiscal year.

Frontline Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, December 19th. Stockholders of record on Friday, December 12th were paid a dividend of $0.19 per share. The ex-dividend date was Friday, December 12th. This represents a $0.76 annualized dividend and a dividend yield of 2.3%. Frontline’s dividend payout ratio (DPR) is currently 77.55%.

Institutional Investors Weigh In On Frontline

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Financial Gravity Companies Inc. bought a new stake in shares of Frontline in the second quarter worth $25,000. University of Texas Texas AM Investment Management Co. bought a new stake in shares of Frontline in the 4th quarter worth about $25,000. Sunbelt Securities Inc. acquired a new stake in shares of Frontline in the 3rd quarter valued at about $41,000. Sound Income Strategies LLC acquired a new stake in shares of Frontline in the 4th quarter valued at about $53,000. Finally, Caitong International Asset Management Co. Ltd grew its stake in Frontline by 3,353.0% in the second quarter. Caitong International Asset Management Co. Ltd now owns 4,627 shares of the shipping company’s stock worth $76,000 after purchasing an additional 4,493 shares in the last quarter. 22.70% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on the stock. Clarkson Capital upgraded shares of Frontline from a “neutral” rating to a “buy” rating in a report on Monday, January 12th. BTIG Research lifted their price target on shares of Frontline from $30.00 to $35.00 and gave the company a “buy” rating in a report on Wednesday, February 4th. Weiss Ratings reissued a “hold (c)” rating on shares of Frontline in a research note on Monday, December 29th. Evercore increased their target price on Frontline from $22.00 to $26.00 and gave the stock an “outperform” rating in a research report on Tuesday, October 28th. Finally, Jefferies Financial Group boosted their price target on Frontline from $28.00 to $30.00 and gave the company a “buy” rating in a research report on Friday, November 21st. Four research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Frontline presently has a consensus rating of “Moderate Buy” and an average target price of $25.87.

About Frontline

Frontline Ltd. (NYSE:FRO) is a leading global shipping company specializing in the seaborne transportation of crude oil and petroleum products. The company’s core business activities encompass the ownership and operation of very large crude carriers (VLCCs), Suezmax tankers and Aframax vessels. Through long-term charters, spot market operations and time charters, Frontline provides flexible shipping solutions that cater to a diverse set of energy producers, refiners and trading houses worldwide.

Frontline’s fleet is geared toward high-capacity, ocean-going tankers capable of carrying large volumes of crude oil over intercontinental distances.