Here’s Why Frontline Plc (FRO) Led This Week’s Rally

We recently published an article titled These 10 Firms Led This Week’s Rally. In this article, we are going to take a look at where Frontline Plc (NYSE:FRO) stands against the other stocks.

Ten companies finished stronger this week, outpacing the broader market thanks to a series of catalysts that lifted investor sentiment.

On Friday, the Dow Jones recorded its largest weekly drop, falling 1.07%, while the S&P’s main index and Nasdaq declined by 0.71% and 0.62%, respectively.

Despite a lackluster performance from Wall Street’s major indices, 10 companies demonstrated notable resilience. In this article, we will look at their past week’s performance and the reasons that fueled their rally.

To come up with this week’s top gainers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A fleet of oil tankers sailing across the open sea under a clear sky.

Frontline Plc (NYSE:FRO)

Oil shipping giant Frontline Plc (NYSE:FRO) rose by 17.61 percent week-on-week, finishing at $17.23 on Friday as compared with the $14.65 close the week prior as traders bought up shares after President Joe Biden announced the imposition of taxes on the Russian energy sector and its shadow fleet of oil tankers.

Frontline plc (NYSE:FRO), the world’s largest oil tanker based in Cyprus, stands to benefit from the new Russia tariffs, on expectations that oil buyers will look elsewhere for supply. Other oil-producing countries such as the Middle East and Africa may step in to fill the gap left by Russian exports.

In other news, Frontline recently earned a “strong buy” rating from Fearnley Fonds.

Jefferies Financial Group, while lowering its target price on Frontline (NYSE:FRO) shares from $26.00 to $20.00, has set a “buy” rating on the stock, indicating a positive outlook.

Finally, BTIG Research upgraded Frontline (NYSE:FRO) from a “neutral” rating to a “buy” rating and set a $30.00 price target for the company.

Overall FRO ranks 4th on our list of the firms that led this week’s rally. While we acknowledge the potential of FRO as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than FRO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.