FORESTAR GROUP INC (FOR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FOR - US3462321015 - Common Stock
25.61 USD
+0.97 (+3.94%)
25.61 USD
0 (0%)
Taking everything into account, FOR scores 4 out of 10 in our fundamental rating. FOR was compared to 63 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
FOR had positive earnings in the past year.
In the past year FOR has reported a negative cash flow from operations.
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 better Return On Assets (5.35%) than 90.48% of its industry peers.
FOR has a Return On Equity of 9.50%. This is amongst the best in the industry. FOR outperforms 84.13% of its industry peers.
With a decent Return On Invested Capital value of 6.15%, FOR is doing good in the industry, outperforming 77.78% of the companies in the same industry.
FOR had an Average Return On Invested Capital over the past 3 years of 7.33%. This 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
With a decent Profit Margin value of 10.10%, FOR is doing good in the industry, outperforming 79.37% of the companies in the same industry.
FOR's Profit Margin has improved in the last couple of years.
FOR has a Operating Margin of 13.01%. This is amongst the best in the industry. FOR outperforms 82.54% of its industry peers.
In the last couple of years the Operating Margin of FOR has grown nicely.
FOR's Gross Margin of 22.30% is in line compared to the rest of the industry. FOR outperforms 50.79% of its industry peers.
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
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.
FOR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, FOR has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.78, we must say that FOR is in the distress zone and has some risk of bankruptcy.
FOR's Altman-Z score of 1.78 is in line compared to the rest of the industry. FOR outperforms 49.21% of its industry peers.
A Debt/Equity ratio of 0.45 indicates that FOR is not too dependend on debt financing.
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 | 1.78 |
ROIC/WACC0.8
WACC7.71%
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: 80.95% of the companies in the same industry are doing better.
A Quick Ratio of 0.89 indicates that FOR may have some problems paying its short term obligations.
FOR has a worse Quick ratio (0.89) than 77.78% 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%.
FOR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.29% yearly.
FOR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.13%.
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
FOR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.24% yearly.
FOR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.81% yearly.
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.74, the valuation of FOR can be described as very cheap.
93.65% of the companies in the same industry are more expensive than FOR, based on the Price/Earnings ratio.
FOR is valuated cheaply when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
FOR is valuated reasonably with a Price/Forward Earnings ratio of 8.38.
Based on the Price/Forward Earnings ratio, FOR is valued cheaper than 98.41% of the companies in the same industry.
FOR is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.74 | ||
| Fwd PE | 8.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FOR is valued cheaply inside the industry as 96.83% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.85 |
4.3 Compensation for Growth
The decent profitability rating of FOR 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
No dividends for FOR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
25.61
+0.97 (+3.94%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners36.98%
Inst Owner Change0%
Ins Owners0.52%
Ins Owner Change0.34%
Market Cap1.30B
Revenue(TTM)1.66B
Net Income(TTM)167.90M
Analysts82.5
Price Target33.15 (29.44%)
Short Float %2.82%
Short Ratio4.02
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 | 7.74 | ||
| Fwd PE | 8.38 | ||
| P/S | 0.78 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.74 | ||
| P/tB | 0.74 | ||
| EV/EBITDA | 7.85 |
EPS(TTM)3.31
EY12.92%
EPS(NY)3.06
Fwd EY11.94%
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 | 1.78 |
F-Score1
WACC7.71%
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
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 7.74 and the Price/Book (PB) ratio is 0.74.
How financially healthy is FORESTAR GROUP INC?
The financial health rating of FORESTAR GROUP INC (FOR) is 1 / 10.