FORESTAR GROUP INC (FOR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FOR - US3462321015 - Common Stock
26.02 USD
-1.38 (-5.04%)
26.36 USD
+0.34 (+1.31%)
We assign a fundamental rating of 4 out of 10 to FOR. FOR was compared to 62 industry peers in the Real Estate Management & Development industry. While FOR has a great profitability rating, there are quite some concerns on its financial health. FOR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year FOR was profitable.
- In the past year FOR has reported a negative cash flow from operations.
- Each year in the past 5 years FOR has been profitable.
- The reported operating cash flow has been mixed in the past 5 years: FOR reported negative operating cash flow in multiple years.
1.2 Ratios
- With an excellent Return On Assets value of 5.35%, FOR belongs to the best of the industry, outperforming 90.32% of the companies in the same industry.
- FOR has a Return On Equity of 9.50%. This is amongst the best in the industry. FOR outperforms 85.48% of its industry peers.
- With a decent Return On Invested Capital value of 6.15%, FOR is doing good in the industry, outperforming 77.42% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for FOR is in line with the industry average of 5.44%.
| 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
- With a decent Profit Margin value of 10.10%, FOR is doing good in the industry, outperforming 79.03% of the companies in the same industry.
- FOR's Profit Margin has improved in the last couple of years.
- FOR has a better Operating Margin (13.01%) than 82.26% of its industry peers.
- FOR's Operating Margin has improved in the last couple of years.
- FOR has a Gross Margin of 22.30%. This is comparable to the rest of the industry: FOR outperforms 51.61% of its industry peers.
- In the last couple of years the Gross Margin of FOR has grown nicely.
| 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
- FOR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- FOR has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, FOR has more shares outstanding
- FOR has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 1.82 indicates that FOR is not a great score, but indicates only limited risk for bankruptcy at the moment.
- FOR's Altman-Z score of 1.82 is in line compared to the rest of the industry. FOR outperforms 53.23% of its industry peers.
- 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 (0.45) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.82 |
ROIC/WACC0.82
WACC7.54%
2.3 Liquidity
- A Current Ratio of 0.89 indicates that FOR may have some problems paying its short term obligations.
- FOR has a worse Current ratio (0.89) than 82.26% of its industry peers.
- A Quick Ratio of 0.89 indicates that FOR may have some problems paying 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 79.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
- The earnings per share for FOR have decreased strongly by -15.99% in the last year.
- 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
- Based on estimates for the next years, FOR will show a small growth in Earnings Per Share. The EPS will grow by 3.24% on average per year.
- The Revenue is expected to grow by 7.81% on average over the next years.
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 7.86, the valuation of FOR can be described as very cheap.
- 93.55% of the companies in the same industry are more expensive than FOR, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 26.94, FOR is valued rather cheaply.
- With a Price/Forward Earnings ratio of 8.51, the valuation of FOR can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of FOR indicates a rather cheap valuation: FOR is cheaper than 98.39% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 23.94, FOR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.86 | ||
| Fwd PE | 8.51 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, FOR is valued cheaper than 95.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.26 |
4.3 Compensation for Growth
- FOR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.35
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% |
26.02
-1.38 (-5.04%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)10-28 2025-10-28/bmo
Earnings (Next)01-20 2026-01-20/bmo
Inst Owners36.98%
Inst Owner Change0.03%
Ins Owners0.52%
Ins Owner Change0.34%
Market Cap1.32B
Revenue(TTM)1.66B
Net Income(TTM)167.90M
Analysts82.5
Price Target33.15 (27.4%)
Short Float %2.95%
Short Ratio4.14
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)0%
PT rev (3m)3.72%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-25.47%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.76%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.86 | ||
| Fwd PE | 8.51 | ||
| P/S | 0.8 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.75 | ||
| P/tB | 0.75 | ||
| EV/EBITDA | 8.26 |
EPS(TTM)3.31
EY12.72%
EPS(NY)3.06
Fwd EY11.75%
FCF(TTM)-3.93
FCFYN/A
OCF(TTM)-3.89
OCFYN/A
SpS32.7
BVpS34.77
TBVpS34.77
PEG (NY)N/A
PEG (5Y)0.35
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 | 1.82 |
F-Score1
WACC7.54%
ROIC/WACC0.82
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
What is the ChartMill fundamental rating of FORESTAR GROUP INC (FOR) stock?
ChartMill assigns a fundamental rating of 4 / 10 to FOR.
Can you provide the valuation status for FORESTAR GROUP INC?
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.
What is the valuation of FORESTAR GROUP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FORESTAR GROUP INC (FOR) is 7.86 and the Price/Book (PB) ratio is 0.75.
How financially healthy is FORESTAR GROUP INC?
The financial health rating of FORESTAR GROUP INC (FOR) is 1 / 10.