Head to Head Contrast: Toro (NASDAQ:TORO) & Frontline (NYSE:FRO)

Toro (NASDAQ:TORO) and Frontline (NYSE:FRO) are both transportation companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, institutional ownership, valuation, profitability, analyst recommendations, earnings and dividends.

Earnings and Valuation

This table compares Toro and Frontline”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Toro	$78.47 million	0.76	$140.64 million	$1.86	1.70
Frontline	$1.83 billion	N/A	$656.41 million	$2.66	7.12

Frontline has higher revenue and earnings than Toro. Toro is trading at a lower price-to-earnings ratio than Frontline, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Toro and Frontline, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Toro	0	0	0	0	0.00
Frontline	0	1	4	1	3.00

Frontline has a consensus target price of $28.06, indicating a potential upside of 48.15%. Given Frontline’s stronger consensus rating and higher probable upside, analysts plainly believe Frontline is more favorable than Toro.

Insider & Institutional Ownership

1.7% of Toro shares are held by institutional investors. Comparatively, 22.7% of Frontline shares are held by institutional investors. 48.1% of Frontline shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility & Risk

Toro has a beta of 2.03, suggesting that its share price is 103% more volatile than the S&P 500. Comparatively, Frontline has a beta of 0.06, suggesting that its share price is 94% less volatile than the S&P 500.

Profitability

This table compares Toro and Frontline’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Toro	247.75%	37.32%	21.72%
Frontline	29.42%	19.73%	7.79%

Summary

Frontline beats Toro on 10 of the 14 factors compared between the two stocks.

About Toro

Toro Corp., a shipping company, acquires, owns, charters, and operates oceangoing tanker vessels and provides seaborne transportation services for crude oil LPG, and refined petroleum products worldwide. The company operates in three segments: Aframax/LR2 Tanker, Handysize Tanker, and LPG Carrier. As of December 31, 2023, it operated a fleet of one Handysize tanker vessel; one Aframax/LR2 vessel; and four LPG carrier vessels with an aggregate cargo carrying capacity of 0.1 million deadweight ton. Toro Corp. was incorporated in 2022 and is based in Limassol, Cyprus.

About Frontline

Frontline plc, a shipping company, engages in the seaborne transportation of crude oil and oil products worldwide. It owns and operates oil and product tankers. As of December 31, 2022, the company operated a fleet of 70 vessels. It is also involved in the charter, purchase, and sale of vessels. The company was founded in 1985 and is based in Limassol, Cyprus.