Update shared on 15 Nov 2025
Fair value Increased 2.21%Analysts have increased their price target for Frontline from $27.20 to $27.80 per share, citing improved profit margin forecasts and a favorable outlook for the company's modern tanker fleet this winter.
Analyst Commentary
Recent Street Research highlights a generally optimistic outlook on Frontline, with analysts adjusting their models and price targets upward ahead of the winter tanker season.
Bullish Takeaways- Analysts expect the winter season to bolster rates, which could provide a favorable environment for earnings growth and improved profitability.
- Frontline's focus on a modern, Very Large Crude Carrier-heavy fleet is viewed as a structural advantage that may drive outperformance compared to peers with smaller or older vessels.
- Raised price targets reflect greater confidence in the company's execution and its ability to capture upside in a tightened tanker market.
- Ongoing operational discipline combined with positive sector dynamics are anticipated to support valuation expansion over the coming months.
- Some analysts note that pricing improvements remain closely tied to seasonal factors, which introduces cyclical risk to Frontline's growth narrative.
- Execution risks remain present, as the company must maintain operational efficiency to fully capitalize on supportive market dynamics.
- Potential volatility in global crude demand could impact realized rates, even with the current favorable fleet positioning.
What's in the News
- Frontline plc has announced a dividend of $0.36 per share for the second quarter of 2025, with an ex-date set for 11 September, a record date on 12 September, and payment expected on or about 24 September 2025 (company announcement).
Valuation Changes
- Consensus Analyst Price Target has risen slightly, moving from $27.20 to $27.80 per share.
- Discount Rate has fallen moderately, decreasing from 9.22% to 8.58%.
- Revenue Growth expectations have declined marginally, with the outlook shifting from -4.99% to -5.12%.
- Net Profit Margin has improved notably, increasing from 62.86% to 69.79%.
- Future P/E has decreased, moving from 8.00x to 7.26x. This indicates improved earnings expectations relative to price.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.