FORTREA HOLDINGS INC (FTRE)
US34965K1079 - Common Stock
We assign a fundamental rating of 2 out of 10 to FTRE. FTRE was compared to 57 industry peers in the Life Sciences Tools & Services industry. FTRE may be in some trouble as it scores bad on both profitability and health. FTRE has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
FTRE had positive earnings in the past year.
FTRE had a positive operating cash flow in the past year.
1.2 Ratios
FTRE has a Return On Assets (-8.28%) which is in line with its industry peers.
FTRE's Return On Equity of -20.04% is in line compared to the rest of the industry. FTRE outperforms 50.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.28% | ||
| ROE | -20.04% | ||
| ROIC | N/A |
ROA(3y)2.22%
ROA(5y)N/A
ROE(3y)2.86%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
FTRE's Operating Margin has declined in the last couple of years.
FTRE's Gross Margin of 18.49% is on the low side compared to the rest of the industry. FTRE is outperformed by 80.70% of its industry peers.
In the last couple of years the Gross Margin of FTRE has declined.
The Profit Margin and Operating Margin are not available for FTRE so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 18.49% |
OM growth 3Y-10.89%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.06%
GM growth 5YN/A
2. Health
2.1 Basic Checks
FTRE does not have a ROIC to compare to the WACC, probably because it is not profitable.
FTRE has more shares outstanding than it did 1 year ago.
Compared to 1 year ago, FTRE has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.08, we must say that FTRE is in the distress zone and has some risk of bankruptcy.
FTRE has a Altman-Z score of 1.08. This is in the lower half of the industry: FTRE underperforms 61.40% of its industry peers.
FTRE has a debt to FCF ratio of 5.11. This is a neutral value as FTRE would need 5.11 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.11, FTRE is in the better half of the industry, outperforming 70.18% of the companies in the same industry.
A Debt/Equity ratio of 0.74 indicates that FTRE is somewhat dependend on debt financing.
The Debt to Equity ratio of FTRE (0.74) is worse than 73.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 5.11 | ||
| Altman-Z | 1.08 |
ROIC/WACCN/A
WACC10.8%
2.3 Liquidity
A Current Ratio of 1.18 indicates that FTRE should not have too much problems paying its short term obligations.
FTRE has a worse Current ratio (1.18) than 84.21% of its industry peers.
A Quick Ratio of 1.18 indicates that FTRE should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.18, FTRE is doing worse than 71.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
FTRE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -232.89%.
Looking at the last year, FTRE shows a very negative growth in Revenue. The Revenue has decreased by -48.90% in the last year.
FTRE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.41% yearly.
EPS 1Y (TTM)-232.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-4.17%
Revenue 1Y (TTM)-48.9%
Revenue growth 3Y6.41%
Revenue growth 5YN/A
Sales Q2Q%-13.07%
3.2 Future
The Earnings Per Share is expected to grow by 23.44% on average over the next years. This is a very strong growth
FTRE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.73% yearly.
EPS Next Y-59.96%
EPS Next 2Y1.65%
EPS Next 3Y11.25%
EPS Next 5Y23.44%
Revenue Next Year-13.05%
Revenue Next 2Y-6.21%
Revenue Next 3Y-2.69%
Revenue Next 5Y1.73%
3.3 Evolution
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 53.63, FTRE can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of FTRE indicates a somewhat cheap valuation: FTRE is cheaper than 63.16% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.29, FTRE is valued quite expensively.
Based on the Price/Forward Earnings ratio of 13.68, the valuation of FTRE can be described as correct.
FTRE's Price/Forward Earnings ratio is rather cheap when compared to the industry. FTRE is cheaper than 98.25% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FTRE to the average of the S&P500 Index (23.78), we can say FTRE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.63 | ||
| Fwd PE | 13.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FTRE is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, FTRE is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.65 | ||
| EV/EBITDA | 886.07 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.65%
EPS Next 3Y11.25%
5. Dividend
5.1 Amount
No dividends for FTRE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FORTREA HOLDINGS INC
NASDAQ:FTRE (12/23/2024, 6:00:31 PM)
After market: 18.65 -0.12 (-0.64%)18.77
-0.49 (-2.54%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners115.44%
Inst Owner Change-1.06%
Ins Owners0.28%
Ins Owner Change36.42%
Market Cap1.68B
Analysts71.76
Price Target24.48 (30.42%)
Short Float %5.88%
Short Ratio4.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-72.29%
Min EPS beat(2)-134.75%
Max EPS beat(2)-9.84%
EPS beat(4)0
Avg EPS beat(4)-193.86%
Min EPS beat(4)-608.63%
Max EPS beat(4)-9.84%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.86%
Min Revenue beat(2)-5.76%
Max Revenue beat(2)-1.96%
Revenue beat(4)0
Avg Revenue beat(4)-5.93%
Min Revenue beat(4)-13.98%
Max Revenue beat(4)-1.96%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)7.62%
PT rev (3m)-0.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.73%
EPS NY rev (1m)-2.93%
EPS NY rev (3m)-5.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.03%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)-0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.63 | ||
| Fwd PE | 13.68 | ||
| P/S | 0.61 | ||
| P/FCF | 7.65 | ||
| P/OCF | 6.52 | ||
| P/B | 1.11 | ||
| P/tB | N/A | ||
| EV/EBITDA | 886.07 |
EPS(TTM)0.35
EY1.86%
EPS(NY)1.37
Fwd EY7.31%
FCF(TTM)2.45
FCFY13.07%
OCF(TTM)2.88
OCFY15.33%
SpS30.93
BVpS16.87
TBVpS-10.53
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.28% | ||
| ROE | -20.04% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 18.49% | ||
| FCFM | 7.93% |
ROA(3y)2.22%
ROA(5y)N/A
ROE(3y)2.86%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)4.66%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-10.89%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.06%
GM growth 5YN/A
F-Score3
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 5.11 | ||
| Debt/EBITDA | 362.74 | ||
| Cap/Depr | 42.33% | ||
| Cap/Sales | 1.37% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 8325.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.08 |
F-Score3
WACC10.8%
ROIC/WACCN/A
Cap/Depr(3y)38.81%
Cap/Depr(5y)N/A
Cap/Sales(3y)1.31%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-232.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-4.17%
EPS Next Y-59.96%
EPS Next 2Y1.65%
EPS Next 3Y11.25%
EPS Next 5Y23.44%
Revenue 1Y (TTM)-48.9%
Revenue growth 3Y6.41%
Revenue growth 5YN/A
Sales Q2Q%-13.07%
Revenue Next Year-13.05%
Revenue Next 2Y-6.21%
Revenue Next 3Y-2.69%
Revenue Next 5Y1.73%
EBIT growth 1Y-123.7%
EBIT growth 3Y-5.17%
EBIT growth 5YN/A
EBIT Next Year22.2%
EBIT Next 3Y22.16%
EBIT Next 5Y18.95%
FCF growth 1Y283.99%
FCF growth 3Y-10.43%
FCF growth 5YN/A
OCF growth 1Y91.31%
OCF growth 3Y-5.9%
OCF growth 5YN/A