FORRESTER RESEARCH INC (FORR) Stock Fundamental Analysis
NASDAQ:FORR - US3465631097 - Common Stock
9.6201 USD
-0.09 (-0.93%)
We assign a fundamental rating of 3 out of 10 to FORR. FORR was compared to 81 industry peers in the Professional Services industry. The financial health of FORR is average, but 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.
FORR had a positive operating cash flow in the past year.
Of the past 5 years FORR 4 years were profitable.
FORR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
FORR has a worse Return On Assets (-20.35%) than 86.42% of its industry peers.
With a Return On Equity value of -55.61%, FORR is not doing good in the industry: 82.72% of the companies in the same industry are doing better.
FORR has a Return On Invested Capital of 3.58%. This is comparable to the rest of the industry: FORR outperforms 43.21% of its industry peers.
FORR had an Average Return On Invested Capital over the past 3 years of 6.15%. This is significantly below the industry average of 12.68%.
| 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
FORR has a Operating Margin (2.63%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of FORR has grown nicely.
With a decent Gross Margin value of 57.31%, FORR is doing good in the industry, outperforming 70.37% 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FORR is destroying value.
Compared to 1 year ago, FORR has less shares outstanding
FORR has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FORR is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.76, we must say that FORR is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.76, FORR is not doing good in the industry: 70.37% of the companies in the same industry are doing better.
The Debt to FCF ratio of FORR is 1.83, which is an excellent value as it means it would take FORR, only 1.83 years of fcf income to pay off all of its debts.
FORR has a Debt to FCF ratio of 1.83. This is in the better half of the industry: FORR outperforms 67.90% of its industry peers.
FORR has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
FORR's Debt to Equity ratio of 0.22 is fine compared to the rest of the industry. FORR outperforms 60.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 1.83 | ||
| Altman-Z | 1.76 |
ROIC/WACC0.43
WACC8.4%
2.3 Liquidity
A Current Ratio of 1.09 indicates that FORR should not have too much problems paying its short term obligations.
FORR has a Current ratio of 1.09. This is in the lower half of the industry: FORR underperforms 70.37% of its industry peers.
A Quick Ratio of 1.09 indicates that FORR should not have too much problems paying its short term obligations.
The Quick ratio of FORR (1.09) is worse than 70.37% 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.
FORR shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.30% yearly.
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
Based on estimates for the next years, FORR will show a small growth in Earnings Per Share. The EPS will grow by 0.65% on average per year.
The Revenue is expected to decrease by -2.38% on average over the next years.
EPS Next Y-11.18%
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.
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 7.57, the valuation of FORR can be described as very cheap.
FORR's Price/Earnings ratio is rather cheap when compared to the industry. FORR is cheaper than 91.36% of the companies in the same industry.
When comparing the Price/Earnings ratio of FORR to the average of the S&P500 Index (27.14), we can say FORR is valued rather cheaply.
A Price/Forward Earnings ratio of 6.46 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 93.83% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.80. FORR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.57 | ||
| Fwd PE | 6.46 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FORR is valued cheaper than 100.00% of the companies in the same industry.
83.95% 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 | 9.59 | ||
| EV/EBITDA | 0.42 |
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 |
NASDAQ:FORR (8/28/2025, 1:53:03 PM)
9.6201
-0.09 (-0.93%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners48.66%
Inst Owner Change-1.99%
Ins Owners40.04%
Ins Owner Change1.03%
Market Cap183.55M
Analysts45.71
Price Target12.24 (27.23%)
Short Float %2.17%
Short Ratio2.92
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)-14.29%
PT rev (3m)-20%
EPS NQ rev (1m)-2.11%
EPS NQ rev (3m)-16.22%
EPS NY rev (1m)0.79%
EPS NY rev (3m)1.99%
Revenue NQ rev (1m)-1.41%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)-0.54%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.57 | ||
| Fwd PE | 6.46 | ||
| P/S | 0.45 | ||
| P/FCF | 9.59 | ||
| P/OCF | 8.53 | ||
| P/B | 1.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 0.42 |
EPS(TTM)1.27
EY13.2%
EPS(NY)1.49
Fwd EY15.48%
FCF(TTM)1
FCFY10.43%
OCF(TTM)1.13
OCFY11.73%
SpS21.6
BVpS8.36
TBVpS-0.57
PEG (NY)N/A
PEG (5Y)N/A
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%
ROICexcg growth 3YN/A
ROICexcg 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 | 0.8 | ||
| Cap/Depr | 7.3% | ||
| Cap/Sales | 0.58% | ||
| Interest Coverage | 4.53 | ||
| Cash Conversion | 49.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 1.76 |
F-Score6
WACC8.4%
ROIC/WACC0.43
Cap/Depr(3y)17.91%
Cap/Depr(5y)25.5%
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-11.18%
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 Year7.84%
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