Canada Pension Plan Investment Board Makes New $22.85 Million Investment in Frontline PLC $FRO

Canada Pension Plan Investment Board acquired a new stake in shares of Frontline PLC (NYSE:FRO) during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund acquired 658,933 shares of the shipping company’s stock, valued at approximately $22,849,000.

Several other large investors also recently modified their holdings of the stock. Fiduciary Financial Advisors bought a new position in shares of Frontline during the 2nd quarter worth approximately $28,000. Assetmark Inc. boosted its stake in shares of Frontline by 278.6% in the 1st quarter. Assetmark Inc. now owns 973 shares of the shipping company’s stock valued at $34,000 after purchasing an additional 716 shares in the last quarter. University of Texas Texas AM Investment Management Co. bought a new stake in shares of Frontline in the 4th quarter worth about $25,000. Parallel Advisors LLC grew its holdings in shares of Frontline by 58.9% in the 1st quarter. Parallel Advisors LLC now owns 1,311 shares of the shipping company’s stock worth $46,000 after purchasing an additional 486 shares during the last quarter. Finally, Global Retirement Partners LLC acquired a new stake in shares of Frontline during the 2nd quarter worth about $48,000. 22.70% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

FRO has been the subject of several analyst reports. Pareto Securities downgraded shares of Frontline from a “buy” rating to a “hold” rating and set a $39.46 price target for the company. in a report on Monday, May 25th. Wall Street Zen raised shares of Frontline from a “buy” rating to a “strong-buy” rating in a report on Saturday. BTIG Research raised their price objective on shares of Frontline from $45.00 to $55.00 and gave the stock a “buy” rating in a report on Wednesday, June 24th. Danske cut shares of Frontline from a “hold” rating to a “sell” rating in a research note on Friday, August 21st. Finally, Weiss Ratings downgraded Frontline from a “buy (b)” rating to a “buy (b-)” rating in a report on Wednesday, August 12th. Four research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $41.62.

Frontline Stock Up 0.6%

Shares of NYSE:FRO opened at $44.02 on Friday. The company has a quick ratio of 2.03, a current ratio of 2.03 and a debt-to-equity ratio of 0.83. The firm has a market cap of $9.80 billion, a P/E ratio of 10.84 and a beta of 0.02. Frontline PLC has a 12 month low of $20.31 and a 12 month high of $45.29. The company’s 50-day moving average price is $39.32 and its two-hundred day moving average price is $36.77.

Frontline (NYSE:FRO) last announced its earnings results on Friday, August 28th. The shipping company reported $2.96 earnings per share for the quarter, topping analysts’ consensus estimates of $2.74 by $0.22. Frontline had a net margin of 36.70% and a return on equity of 27.80%. The company had revenue of $943.30 million during the quarter, compared to the consensus estimate of $758.85 million. During the same period in the previous year, the firm posted $0.36 earnings per share. The company’s revenue was up 96.5% on a year-over-year basis.

Frontline Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 28th. Investors of record on Friday, September 18th will be given a $2.61 dividend. This is a boost from Frontline’s previous quarterly dividend of $1.55. The ex-dividend date is Friday, September 18th. This represents a $10.44 annualized dividend and a yield of 23.7%. Frontline’s dividend payout ratio is presently 152.71%.

More Frontline News

Here are the key news stories impacting Frontline this week:

• Positive Sentiment: Record Q2 results: Frontline reported adjusted EPS of $2.96, exceeding the $2.74 analyst consensus, while revenue reached $943.3 million versus expectations of $758.85 million. Profit rose to a record $659 million, and revenue increased 96.5% year over year, reflecting sharply higher tanker rates amid geopolitical disruptions and tight vessel availability. Frontline’s Profit Hits Record $659 Million as Geopolitical Risks Impact Tanker Rates
• Positive Sentiment: Dividend increased: Frontline declared a quarterly dividend of $2.61 per share, up 68.4% from $1.55 previously. The payout is payable September 28 to investors of record September 18, implying an annualized dividend of approximately $10.44 per share and a reported yield of 23.7%. The larger distribution strengthens the stock’s income appeal, although shipping dividends can vary with freight-market conditions.
• Positive Sentiment: Analyst sentiment improved: Wall Street Zen upgraded Frontline to “Strong Buy,” potentially adding momentum after the company’s earnings and dividend announcements. Frontline Upgraded to Strong-Buy at Wall Street Zen
• Neutral Sentiment: Unusually heavy call activity: Traders purchased 14,816 call options, about 154% above typical daily call volume. This suggests increased bullish speculation, but options activity is not a guarantee of sustained share-price gains.
• Neutral Sentiment: Market-cycle exposure: Frontline’s results are benefiting from an “extraordinary” tanker market and geopolitical risks. Those factors support near-term earnings but may be volatile or reverse, creating longer-term uncertainty for investors.

Frontline Company Profile

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.