8.08 USD
+0.08 (+1%)
8.08 USD
0 (0%)
FORR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 87 industry peers in the Professional Services industry. The financial health of FORR is average, but there are quite some concerns on its profitability. FORR has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year FORR was profitable.
- FORR had a positive operating cash flow in the past year.
- FORR had positive earnings in 4 of the past 5 years.
- Of the past 5 years FORR 4 years had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of -20.54%, FORR is doing worse than 80.46% of the companies in the same industry.
- FORR's Return On Equity of -53.94% is on the low side compared to the rest of the industry. FORR is outperformed by 79.31% of its industry peers.
- FORR has a Return On Invested Capital (4.49%) which is in line with its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for FORR is significantly below the industry average of 11.85%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.54% | ||
| ROE | -53.94% | ||
| ROIC | 4.49% |
ROA(3y)0.99%
ROA(5y)1.64%
ROE(3y)2.87%
ROE(5y)5.23%
ROIC(3y)6.15%
ROIC(5y)6.29%
1.3 Margins
- Looking at the Operating Margin, with a value of 3.26%, FORR is in line with its industry, outperforming 48.28% of the companies in the same industry.
- In the last couple of years the Operating Margin of FORR has grown nicely.
- FORR's Gross Margin of 57.54% is fine compared to the rest of the industry. FORR outperforms 75.86% of its industry peers.
- In the last couple of years the Gross Margin of FORR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.26% | ||
| PM (TTM) | N/A | ||
| GM | 57.54% |
OM growth 3Y-25.12%
OM growth 5Y14.36%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.78%
GM growth 5Y0.14%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FORR is destroying value.
- FORR has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for FORR has been increased compared to 5 years ago.
- Compared to 1 year ago, FORR has a worse debt to assets ratio.
2.2 Solvency
- FORR has an Altman-Z score of 1.76. This is a bad value and indicates that FORR is not financially healthy and even has some risk of bankruptcy.
- With a Altman-Z score value of 1.76, FORR is not doing good in the industry: 60.92% of the companies in the same industry are doing better.
- The Debt to FCF ratio of FORR is 1.76, which is an excellent value as it means it would take FORR, only 1.76 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 1.76, FORR is in the better half of the industry, outperforming 73.56% of the companies in the same industry.
- A Debt/Equity ratio of 0.22 indicates that FORR is not too dependend on debt financing.
- FORR has a Debt to Equity ratio (0.22) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 1.76 | ||
| Altman-Z | 1.76 |
ROIC/WACC0.54
WACC8.3%
2.3 Liquidity
- FORR has a Current Ratio of 1.06. This is a normal value and indicates that FORR is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of FORR (1.06) is worse than 70.11% of its industry peers.
- A Quick Ratio of 1.06 indicates that FORR should not have too much problems paying its short term obligations.
- FORR has a worse Quick ratio (1.06) than 70.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
- FORR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.74%.
- Measured over the past years, FORR shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.16% on average per year.
- Looking at the last year, FORR shows a decrease in Revenue. The Revenue has decreased by -8.73% in the last year.
- Measured over the past years, FORR shows a decrease in Revenue. The Revenue has been decreasing by -1.30% on average per year.
EPS 1Y (TTM)-0.74%
EPS 3Y-11.35%
EPS 5Y-2.16%
EPS Q2Q%27.59%
Revenue 1Y (TTM)-8.73%
Revenue growth 3Y-4.36%
Revenue growth 5Y-1.3%
Sales Q2Q%-8.03%
3.2 Future
- Based on estimates for the next years, FORR will show a small growth in Earnings Per Share. The EPS will grow by 6.89% on average per year.
- The Revenue is expected to decrease by -1.77% on average over the next years.
EPS Next Y-15.81%
EPS Next 2Y-3.93%
EPS Next 3Y6.89%
EPS Next 5YN/A
Revenue Next Year-7.34%
Revenue Next 2Y-4.27%
Revenue Next 3Y-1.77%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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 5.99, the valuation of FORR can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of FORR indicates a rather cheap valuation: FORR is cheaper than 90.80% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of FORR to the average of the S&P500 Index (27.25), we can say FORR is valued rather cheaply.
- A Price/Forward Earnings ratio of 5.96 indicates a rather cheap valuation of FORR.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of FORR indicates a rather cheap valuation: FORR is cheaper than 93.10% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, FORR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.99 | ||
| Fwd PE | 5.96 |
4.2 Price Multiples
- 90.80% of the companies in the same industry are more expensive than FORR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.72 | ||
| EV/EBITDA | -0.42 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-3.93%
EPS Next 3Y6.89%
5. Dividend
5.1 Amount
- FORR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FORRESTER RESEARCH INC / FORR FAQ
What is the fundamental rating for FORR stock?
ChartMill assigns a fundamental rating of 3 / 10 to FORR.
Can you provide the valuation status for FORRESTER RESEARCH INC?
ChartMill assigns a valuation rating of 6 / 10 to FORRESTER RESEARCH INC (FORR). This can be considered as Fairly Valued.
Can you provide the profitability details for FORRESTER RESEARCH INC?
FORRESTER RESEARCH INC (FORR) has a profitability rating of 3 / 10.
What is the financial health of FORRESTER RESEARCH INC (FORR) stock?
The financial health rating of FORRESTER RESEARCH INC (FORR) is 4 / 10.
Can you provide the expected EPS growth for FORR stock?
The Earnings per Share (EPS) of FORRESTER RESEARCH INC (FORR) is expected to decline by -15.81% in the next year.