X
<

Frontline's earnings call sent its stock up over 25%

PART:
1 2 3 4 5
Frontline's earnings call sent its stock up over 25% PART 1 OF 5

Must-know: Frontline rallies more than 25% after its earnings call

Company earnings presentations

Company earnings call presentations are a valuable resource that investors can use to learn about recent performance and development as well as what managers have to say about the market and its business outlook.

Must-know: Frontline rallies more than 25% after its earnings call

Crude tankers lagged performance

Everybody knows crude tankers, which are vessels used to transport crude oil across the ocean, have lagged the market (SPY) over the past few years—including 2013. Lower U.S. oil imports and excess supply growth had negatively affected rates, driving the share prices of companies like Frontline Ltd. (FRO), Nordic American Tankers Ltd. (NAT), Tsakos Energy Navigation Ltd. (TNP), and Teekay Tankers Ltd. (TNK) down more than 70%.

Frontline Ltd. (FRO) rallies

But since reporting its third quarter results on the morning of November 27, 2013, Frontline Ltd. (FRO) has rallied more than 25%. It rallied about 11% on November 27, followed by another 11% on the day after the Thanksgiving holiday. Because Frontline Ltd. (FRO) is a major player in the crude tanker business, with 46 vessels operating, the company’s calls should be read by investors who currently hold positions or are thinking of opening positions in crude tanker stocks or ETFs like the Guggenheim Shipping ETF (SEA).

In this series, we’ll investigate key points that investors should take away from the company’s earnings call presentation and why the market had rallied after the news.

Interested in FRO? Receive notifications on the latest research and sign up for a Market Realist account in one simple step:

Suceess! Your Market Realist account has been created and you’ll receive email alerts on the latest research. Check your email for your temporary account password.

Success! has been added to your Ticker Alerts.

Success! has been added to your Ticker Alerts. Click here to manage subscriptions.

X

Please select a profession that best describes you: