Morgan Downgrades Frontline Shares
The Bermuda domiciled oil-shipping company Frontline had its shares downgraded from an “overweight” rating to an “underweight” rating in a research note issued to investors by J.P. Morgan equity analysts on Friday [Jan. 21]. The analysts currently have a $23.00 price target on the stock.
Founded in Sweden in 1985, Frontline redomiciled in Bermuda in 1997. Frontline’s largest shareholder is chairman John Fredriksen, the Swedish shipping magnate who has helped establish the company as the world leader in the international seaborne transportation of crude oil, with one of the world’s largest tanker fleets
Frontline operates through subsidiaries and partnerships located in Bermuda, the Bahamas, the Cayman Islands, the Isle of Man, Liberia, Norway, the United Kingdom and Singapore. It is also involved in the charter, purchase and sale of vessels.
As of December 31, 2009, the Company’s tanker fleet consisted of 76 vessels.
Shares of Frontline Ltd. opened at $24.93 today [Jan. 24]. Frontline Ltd. has a 52 week low of $24.81 and a 52 week high of $38.85. The company has a market cap of $1.941 billion and a price-to-earnings ratio of 10.96.
In November Frontline anticipated a spike in supertanker charters given unprecedented levels of demand for crude oil imports in China.
