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Frontline (FRO) Dips More Than Broader Markets: What You Should Know

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Frontline (FRO - Free Report) closed the most recent trading day at $6.65, moving -1.77% from the previous trading session. This change lagged the S&P 500's 0.48% loss on the day. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq lost 0.21%.

Coming into today, shares of the shipping company had gained 2.58% in the past month. In that same time, the Transportation sector gained 6.06%, while the S&P 500 gained 4.41%.

FRO will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.35, up 683.33% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $188.05 million, up 99.71% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.28 per share and revenue of $979.71 million, which would represent changes of +178.05% and +74.38%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for FRO. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 14.15% lower. FRO currently has a Zacks Rank of #3 (Hold).

Digging into valuation, FRO currently has a Forward P/E ratio of 2.98. This valuation marks a discount compared to its industry's average Forward P/E of 6.6.

The Transportation - Shipping industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 212, which puts it in the bottom 17% 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.

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