Frontline Valuation
| FRO Stock | NOK 208.50 3.10 1.47% |
At this time, the firm appears to be overvalued. Frontline shows a prevailing Real Value of 177.23 per share. The current price of the firm is 208.5. Our model computes the value of Frontline from reviewing the firm fundamentals such as Shares Outstanding of 222.62 M, profit margin of 0.23 %, and Current Valuation of 49.22 B as well as analyzing its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Frontline's price fluctuation is very steady at this time. Calculation of the real value of Frontline is based on 3 months time horizon. Increasing Frontline's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Frontline stock is determined by what a typical buyer is willing to pay for full or partial control of Frontline. Since Frontline is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Frontline Stock. However, Frontline's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 208.5 | Real 177.23 | Hype 208.5 |
The intrinsic value of Frontline's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Frontline's stock price.
Estimating the potential upside or downside of Frontline helps investors to forecast how Frontline stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Frontline more accurately as focusing exclusively on Frontline's fundamentals will not take into account other important factors: Frontline Total Value Analysis
Frontline is currently estimated to have takeover price of 49.22 B with market capitalization of 38.98 B, debt of 2.17 B, and cash on hands of 113.07 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Frontline fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
49.22 B | 38.98 B | 2.17 B | 113.07 M |
Frontline Investor Information
About 36.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 1.51. Some equities with similar Price to Book (P/B) outperform the market in the long run. Frontline has Price/Earnings (P/E) ratio of 260.04. The entity recorded earning per share (EPS) of 11.99. The firm last dividend was issued on the 15th of September 2022. Frontline had 1:5 split on the 2nd of February 2016. Based on the measurements of operating efficiency obtained from Frontline's historical financial statements, Frontline is not in a good financial situation at the moment. It has a very high risk of going through financial straits in December.Frontline Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Frontline has an asset utilization ratio of 18.2 percent. This suggests that the Company is making 0.18 for each dollar of assets. An increasing asset utilization means that Frontline is more efficient with each dollar of assets it utilizes for everyday operations.Frontline Ownership Allocation
Frontline holds a total of 222.62 Million outstanding shares. Over half of Frontline's outstanding shares are owned by other corporate entities. These other corporate entities are typically referred to as corporate investors that obtain positions in a given instrument to benefit from reduced trade commissions. Consequently, these institutions are subject to different rules and regulations than regular investors in Frontline. Please watch out for any change in the institutional holdings of Frontline as this could mean something significant has changed or is about to change at the company. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Frontline Profitability Analysis
The company reported the revenue of 749.38 M. Net Loss for the year was (11.15 M) with profit before overhead, payroll, taxes, and interest of 180.68 M.About Frontline Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Frontline. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Frontline based exclusively on its fundamental and basic technical indicators. By analyzing Frontline's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Frontline's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Frontline. We calculate exposure to Frontline's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Frontline's related companies.Frontline Ltd., a shipping company, engages in the seaborne transportation of crude oil and oil products worldwide. It is also involved in the charter, purchase, and sale of vessels. Frontline Ltd operates under Shipping Ports classification in Norway and is traded on Oslo Stock Exchange. It employs 145 people.
8 Steps to conduct Frontline's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Frontline's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Frontline's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Frontline's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Frontline's revenue streams: Identify Frontline's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Frontline's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Frontline's growth potential: Evaluate Frontline's management, business model, and growth potential.
- Determine Frontline's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Frontline's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Information and Resources on Investing in Frontline Stock
When determining whether Frontline offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Frontline's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Frontline Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Frontline Stock:Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Frontline. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. For more information on how to buy Frontline Stock please use our How to buy in Frontline Stock guide.You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..