Frontline Ltd buy at 8 Long

Frontline PlcNYSE

Description

⋅ Jun 16, 2020 3:30 PM

Frontline Ltd., a shipping company, engages in the seaborne transportation of crude oil and oil products worldwide.

REWARDS
Trading at 48.2% below our estimate of its fair value

Earnings grew by 488.8% over the past year

RISK ANALYSIS
Earnings are forecast to decline by an average of -49.5% per year for the next 3 years

Debt is not well covered by operating cash flow

Unstable dividend track record

Highly volatile share price over past 3 months

Beyond Technical Analysis FRO

Comments

pmp1337

⋅ Jun 17, 2020 9:55 AM

Although Frontline has more debt % than their competition, they do so because they have a renewed fleet. They have the newest fleet out of the crude shipping companies. This is good and bad. It's good because they can go for loner without new ships. It's bad because they can't use scrapping to reduce their fleet.