Analysts Estimate Frontline (FRO) to Report a Decline in Earnings: What to Look Out for

Core Viewpoint - Frontline (FRO) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ended December 2024, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The upcoming earnings report is scheduled for release on February 28, 2025, with a consensus EPS estimate of $0.20, reflecting a year-over-year decrease of 56.5$266.87 million, which is a 3.9% increase from the previous year [3][2]. - The consensus EPS estimate has been revised down by 35.85% over the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate being the same as the consensus for Frontline, resulting in an Earnings ESP of 0% [10][11]. - Frontline currently holds a Zacks Rank of 1 (Strong Buy), but this combination makes it challenging to predict an earnings beat conclusively [11]. Historical Performance - In the last reported quarter, Frontline was expected to post earnings of $0.39 per share but only achieved$0.34, resulting in a surprise of -12.82%. The company has not surpassed consensus EPS estimates in any of the last four quarters [12][13]. Industry Context - EuroDry (EDRY), another player in the Zacks Transportation - Shipping industry, is expected to report earnings of $0.07 per share for the same quarter, indicating a year-over-year change of -110$16.43 million, up 3.3% from the previous year [17]. - The consensus EPS estimate for EuroDry has been revised down by 553.1% over the last 30 days, and it also has an Earnings ESP of 0.00% combined with a Zacks Rank of 5 (Strong Sell), making it difficult to predict an earnings beat [18].