FORESTAR GROUP INC (FOR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FOR - US3462321015 - Common Stock
24.53 USD
-0.02 (-0.08%)
24.53 USD
0 (0%)
FOR gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 64 industry peers in the Real Estate Management & Development industry. While FOR belongs to the best of the industry regarding profitability, there are concerns on its financial health. FOR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
FOR had positive earnings in the past year.
FOR had a negative operating cash flow in the past year.
Each year in the past 5 years FOR has been profitable.
In multiple years FOR reported negative operating cash flow during the last 5 years.
1.2 Ratios
FOR has a Return On Assets of 5.35%. This is amongst the best in the industry. FOR outperforms 90.63% of its industry peers.
The Return On Equity of FOR (9.50%) is better than 84.38% of its industry peers.
The Return On Invested Capital of FOR (6.15%) is better than 78.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FOR is in line with the industry average of 5.35%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.35% | ||
| ROE | 9.5% | ||
| ROIC | 6.15% |
ROA(3y)6.42%
ROA(5y)6.43%
ROE(3y)11.48%
ROE(5y)12.05%
ROIC(3y)7.33%
ROIC(5y)7.6%
1.3 Margins
FOR has a Profit Margin of 10.10%. This is in the better half of the industry: FOR outperforms 79.69% of its industry peers.
In the last couple of years the Profit Margin of FOR has grown nicely.
Looking at the Operating Margin, with a value of 13.01%, FOR belongs to the top of the industry, outperforming 82.81% of the companies in the same industry.
FOR's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 22.30%, FOR perfoms like the industry average, outperforming 51.56% of the companies in the same industry.
FOR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.01% | ||
| PM (TTM) | 10.1% | ||
| GM | 22.3% |
OM growth 3Y-5.5%
OM growth 5Y10.86%
PM growth 3Y-4.97%
PM growth 5Y9.13%
GM growth 3Y1.1%
GM growth 5Y11.96%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FOR is destroying value.
Compared to 1 year ago, FOR has more shares outstanding
The number of shares outstanding for FOR has been increased compared to 5 years ago.
FOR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.75, we must say that FOR is in the distress zone and has some risk of bankruptcy.
FOR has a Altman-Z score (1.75) which is comparable to the rest of the industry.
FOR has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
FOR has a Debt to Equity ratio of 0.45. This is comparable to the rest of the industry: FOR outperforms 56.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.75 |
ROIC/WACC0.8
WACC7.68%
2.3 Liquidity
FOR has a Current Ratio of 0.89. This is a bad value and indicates that FOR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.89, FOR is not doing good in the industry: 79.69% of the companies in the same industry are doing better.
FOR has a Quick Ratio of 0.89. This is a bad value and indicates that FOR is not financially healthy enough and could expect problems in meeting its short term obligations.
FOR's Quick ratio of 0.89 is on the low side compared to the rest of the industry. FOR is outperformed by 76.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
FOR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.99%.
The Earnings Per Share has been growing by 22.29% on average over the past years. This is a very strong growth
Looking at the last year, FOR shows a quite strong growth in Revenue. The Revenue has grown by 10.13% in the last year.
The Revenue has been growing by 12.27% on average over the past years. This is quite good.
EPS 1Y (TTM)-15.99%
EPS 3Y-3.21%
EPS 5Y22.29%
EPS Q2Q%6.25%
Revenue 1Y (TTM)10.13%
Revenue growth 3Y3.05%
Revenue growth 5Y12.27%
Sales Q2Q%21.6%
3.2 Future
The Earnings Per Share is expected to grow by 3.24% on average over the next years.
Based on estimates for the next years, FOR will show a small growth in Revenue. The Revenue will grow by 7.81% on average per year.
EPS Next Y-7.65%
EPS Next 2Y3.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.91%
Revenue Next 2Y7.81%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.41, the valuation of FOR can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of FOR indicates a rather cheap valuation: FOR is cheaper than 93.75% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.57. FOR is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 8.02, which indicates a very decent valuation of FOR.
98.44% of the companies in the same industry are more expensive than FOR, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.04, FOR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.41 | ||
| Fwd PE | 8.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FOR is valued cheaper than 96.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.61 |
4.3 Compensation for Growth
The decent profitability rating of FOR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.33
EPS Next 2Y3.24%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FOR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
24.53
-0.02 (-0.08%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners37.06%
Inst Owner Change2.79%
Ins Owners0.5%
Ins Owner Change0.34%
Market Cap1.25B
Revenue(TTM)1.66B
Net Income(TTM)167.90M
Analysts82.5
Price TargetN/A
Short Float %2.97%
Short Ratio4.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.25%
Min EPS beat(2)-12.84%
Max EPS beat(2)33.35%
EPS beat(4)1
Avg EPS beat(4)-13.55%
Min EPS beat(4)-54.74%
Max EPS beat(4)33.35%
EPS beat(8)4
Avg EPS beat(8)2.01%
EPS beat(12)7
Avg EPS beat(12)13.4%
EPS beat(16)10
Avg EPS beat(16)20.39%
Revenue beat(2)1
Avg Revenue beat(2)9.13%
Min Revenue beat(2)-1.01%
Max Revenue beat(2)19.27%
Revenue beat(4)1
Avg Revenue beat(4)-3.7%
Min Revenue beat(4)-24.59%
Max Revenue beat(4)19.27%
Revenue beat(8)4
Avg Revenue beat(8)-1.33%
Revenue beat(12)7
Avg Revenue beat(12)5.53%
Revenue beat(16)10
Avg Revenue beat(16)5.76%
PT rev (1m)3.72%
PT rev (3m)3.72%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-25.47%
EPS NY rev (1m)-0.66%
EPS NY rev (3m)-1.63%
Revenue NQ rev (1m)-2.42%
Revenue NQ rev (3m)-1.76%
Revenue NY rev (1m)-0.65%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.41 | ||
| Fwd PE | 8.02 | ||
| P/S | 0.75 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.71 | ||
| P/tB | 0.71 | ||
| EV/EBITDA | 7.61 |
EPS(TTM)3.31
EY13.49%
EPS(NY)3.06
Fwd EY12.46%
FCF(TTM)-3.93
FCFYN/A
OCF(TTM)-3.89
OCFYN/A
SpS32.7
BVpS34.77
TBVpS34.77
PEG (NY)N/A
PEG (5Y)0.33
Graham Number50.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.35% | ||
| ROE | 9.5% | ||
| ROCE | 8.1% | ||
| ROIC | 6.15% | ||
| ROICexc | 7.17% | ||
| ROICexgc | 7.33% | ||
| OM | 13.01% | ||
| PM (TTM) | 10.1% | ||
| GM | 22.3% | ||
| FCFM | N/A |
ROA(3y)6.42%
ROA(5y)6.43%
ROE(3y)11.48%
ROE(5y)12.05%
ROIC(3y)7.33%
ROIC(5y)7.6%
ROICexc(3y)9.42%
ROICexc(5y)9.27%
ROICexgc(3y)9.54%
ROICexgc(5y)9.37%
ROCE(3y)9.66%
ROCE(5y)10.01%
ROICexgc growth 3Y-11.4%
ROICexgc growth 5Y8.61%
ROICexc growth 3Y-11.87%
ROICexc growth 5Y8.33%
OM growth 3Y-5.5%
OM growth 5Y10.86%
PM growth 3Y-4.97%
PM growth 5Y9.13%
GM growth 3Y1.1%
GM growth 5Y11.96%
F-Score1
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.65 | ||
| Cap/Depr | 62.86% | ||
| Cap/Sales | 0.13% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 1.75 |
F-Score1
WACC7.68%
ROIC/WACC0.8
Cap/Depr(3y)59.84%
Cap/Depr(5y)73.68%
Cap/Sales(3y)0.12%
Cap/Sales(5y)0.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.99%
EPS 3Y-3.21%
EPS 5Y22.29%
EPS Q2Q%6.25%
EPS Next Y-7.65%
EPS Next 2Y3.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)10.13%
Revenue growth 3Y3.05%
Revenue growth 5Y12.27%
Sales Q2Q%21.6%
Revenue Next Year6.91%
Revenue Next 2Y7.81%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-11.75%
EBIT growth 3Y-2.62%
EBIT growth 5Y24.47%
EBIT Next Year12.05%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-24.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-24.81%
OCF growth 3YN/A
OCF growth 5YN/A
FORESTAR GROUP INC / FOR FAQ
Can you provide the ChartMill fundamental rating for FORESTAR GROUP INC?
ChartMill assigns a fundamental rating of 4 / 10 to FOR.
What is the valuation status for FOR stock?
ChartMill assigns a valuation rating of 6 / 10 to FORESTAR GROUP INC (FOR). This can be considered as Fairly Valued.
How profitable is FORESTAR GROUP INC (FOR) stock?
FORESTAR GROUP INC (FOR) has a profitability rating of 7 / 10.
Can you provide the financial health for FOR stock?
The financial health rating of FORESTAR GROUP INC (FOR) is 1 / 10.