FORRESTER RESEARCH INC (FORR) Stock Fundamental Analysis
USA - NASDAQ:FORR - US3465631097 - Common Stock
8.9 USD
-0.41 (-4.4%)
8.9 USD
0 (0%)
Taking everything into account, FORR scores 3 out of 10 in our fundamental rating. FORR was compared to 86 industry peers in the Professional Services industry. While FORR seems to be doing ok healthwise, there are quite some concerns on its profitability. FORR is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year FORR was profitable.
In the past year FORR had a positive cash flow from operations.
Of the past 5 years FORR 4 years were profitable.
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 -20.35%, FORR is doing worse than 81.40% of the companies in the same industry.
FORR has a worse Return On Equity (-55.61%) than 80.23% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.58%, FORR is in line with its industry, outperforming 44.19% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FORR is significantly below the industry average of 13.31%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.35% | ||
| ROE | -55.61% | ||
| ROIC | 3.58% |
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 2.63%, FORR is in line with its industry, outperforming 44.19% of the companies in the same industry.
FORR's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 57.31%, FORR is doing good in the industry, outperforming 72.09% of the companies in the same industry.
FORR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.63% | ||
| PM (TTM) | N/A | ||
| GM | 57.31% |
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
FORR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for FORR has been reduced compared to 1 year ago.
FORR has more shares outstanding than it did 5 years ago.
FORR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.74, we must say that FORR is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of FORR (1.74) is worse than 66.28% of its industry peers.
FORR has a debt to FCF ratio of 1.83. This is a very positive value and a sign of high solvency as it would only need 1.83 years to pay back of all of its debts.
The Debt to FCF ratio of FORR (1.83) is better than 68.60% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that FORR is not too dependend on debt financing.
The Debt to Equity ratio of FORR (0.22) is better than 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 1.83 | ||
| Altman-Z | 1.74 |
ROIC/WACC0.44
WACC8.17%
2.3 Liquidity
A Current Ratio of 1.09 indicates that FORR should not have too much problems paying its short term obligations.
The Current ratio of FORR (1.09) is worse than 68.60% of its industry peers.
A Quick Ratio of 1.09 indicates that FORR should not have too much problems paying its short term obligations.
FORR has a Quick ratio of 1.09. This is in the lower half of the industry: FORR underperforms 68.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
FORR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.89%.
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.
The Revenue has decreased by -9.11% in the past year.
The Revenue has been decreasing by -1.30% on average over the past years.
EPS 1Y (TTM)-15.89%
EPS 3Y-11.35%
EPS 5Y-2.16%
EPS Q2Q%-25%
Revenue 1Y (TTM)-9.11%
Revenue growth 3Y-4.36%
Revenue growth 5Y-1.3%
Sales Q2Q%-8.34%
3.2 Future
FORR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.65% yearly.
FORR is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.38% yearly.
EPS Next Y-11.41%
EPS Next 2Y0.65%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-6.12%
Revenue Next 2Y-2.38%
Revenue Next 3YN/A
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.
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 7.01, 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 93.02% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.08. FORR is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 5.98, the valuation of FORR can be described as very cheap.
FORR's Price/Forward Earnings ratio is rather cheap when compared to the industry. FORR is cheaper than 93.02% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.09, FORR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.01 | ||
| Fwd PE | 5.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FORR is valued cheaply inside the industry as 97.67% of the companies are valued more expensively.
86.05% 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 | 8.87 | ||
| EV/EBITDA | 0.4 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y0.65%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FORR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.9
-0.41 (-4.4%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners52.73%
Inst Owner Change0.93%
Ins Owners40.02%
Ins Owner Change0.62%
Market Cap169.81M
Revenue(TTM)412.10M
Net Income(TTM)-88725000
Analysts45.71
Price Target12.24 (37.53%)
Short Float %2.22%
Short Ratio2.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)20.33%
Min EPS beat(2)0%
Max EPS beat(2)40.66%
EPS beat(4)2
Avg EPS beat(4)6.98%
Min EPS beat(4)-15.55%
Max EPS beat(4)40.66%
EPS beat(8)4
Avg EPS beat(8)1.28%
EPS beat(12)7
Avg EPS beat(12)6.3%
EPS beat(16)11
Avg EPS beat(16)13.12%
Revenue beat(2)0
Avg Revenue beat(2)-1.64%
Min Revenue beat(2)-2.85%
Max Revenue beat(2)-0.44%
Revenue beat(4)0
Avg Revenue beat(4)-1.25%
Min Revenue beat(4)-2.85%
Max Revenue beat(4)-0.3%
Revenue beat(8)0
Avg Revenue beat(8)-1.85%
Revenue beat(12)1
Avg Revenue beat(12)-2.05%
Revenue beat(16)2
Avg Revenue beat(16)-1.74%
PT rev (1m)0%
PT rev (3m)-14.29%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.16%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)0.53%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.41%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.01 | ||
| Fwd PE | 5.98 | ||
| P/S | 0.41 | ||
| P/FCF | 8.87 | ||
| P/OCF | 7.89 | ||
| P/B | 1.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 0.4 |
EPS(TTM)1.27
EY14.27%
EPS(NY)1.49
Fwd EY16.73%
FCF(TTM)1
FCFY11.27%
OCF(TTM)1.13
OCFY12.68%
SpS21.6
BVpS8.36
TBVpS-0.57
PEG (NY)N/A
PEG (5Y)N/A
Graham Number15.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.35% | ||
| ROE | -55.61% | ||
| ROCE | 4.53% | ||
| ROIC | 3.58% | ||
| ROICexc | 8.23% | ||
| ROICexgc | N/A | ||
| OM | 2.63% | ||
| PM (TTM) | N/A | ||
| GM | 57.31% | ||
| FCFM | 4.64% |
ROA(3y)0.99%
ROA(5y)1.64%
ROE(3y)2.87%
ROE(5y)5.23%
ROIC(3y)6.15%
ROIC(5y)6.29%
ROICexc(3y)9.7%
ROICexc(5y)9.67%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)7.78%
ROCE(5y)7.96%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-23.98%
ROICexc growth 5Y23.19%
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%
F-Score6
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 1.83 | ||
| Debt/EBITDA | 1.32 | ||
| Cap/Depr | 15.31% | ||
| Cap/Sales | 0.58% | ||
| Interest Coverage | 4.53 | ||
| Cash Conversion | 81.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 1.74 |
F-Score6
WACC8.17%
ROIC/WACC0.44
Cap/Depr(3y)24.01%
Cap/Depr(5y)29.15%
Cap/Sales(3y)1%
Cap/Sales(5y)1.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.89%
EPS 3Y-11.35%
EPS 5Y-2.16%
EPS Q2Q%-25%
EPS Next Y-11.41%
EPS Next 2Y0.65%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.11%
Revenue growth 3Y-4.36%
Revenue growth 5Y-1.3%
Sales Q2Q%-8.34%
Revenue Next Year-6.12%
Revenue Next 2Y-2.38%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-20%
EBIT growth 3Y-28.38%
EBIT growth 5Y12.87%
EBIT Next Year5.2%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y30.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y5.54%
OCF growth 3YN/A
OCF growth 5YN/A
FORRESTER RESEARCH INC / FORR FAQ
What is the fundamental rating for FORR stock?
ChartMill assigns a fundamental rating of 3 / 10 to FORR.
What is the valuation status for FORR stock?
ChartMill assigns a valuation rating of 7 / 10 to FORRESTER RESEARCH INC (FORR). This can be considered as Undervalued.
What is the profitability of FORR stock?
FORRESTER RESEARCH INC (FORR) has a profitability rating of 3 / 10.
What is the valuation of FORRESTER RESEARCH INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FORRESTER RESEARCH INC (FORR) is 7.01 and the Price/Book (PB) ratio is 1.06.
How sustainable is the dividend of FORRESTER RESEARCH INC (FORR) stock?
The dividend rating of FORRESTER RESEARCH INC (FORR) is 0 / 10 and the dividend payout ratio is 0%.