Forestar Valuation
| FOR Stock | USD 25.86 0.16 0.61% |
At this time, the firm appears to be undervalued. Forestar Group shows a prevailing Real Value of $27.29 per share. The current price of the firm is $25.86. Our model computes the value of Forestar Group from reviewing the firm fundamentals such as Current Valuation of 1.91 B, profit margin of 0.1 %, and Shares Outstanding of 50.89 M as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Forestar's valuation include:
Price Book 0.7369 | Enterprise Value | Enterprise Value Ebitda 9.0206 | Price Sales 0.7859 | Trailing PE 7.9572 |
Undervalued
Today
Please note that Forestar's price fluctuation is very steady at this time. Calculation of the real value of Forestar Group is based on 3 months time horizon. Increasing Forestar's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Forestar stock is determined by what a typical buyer is willing to pay for full or partial control of Forestar Group. Since Forestar is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Forestar Stock. However, Forestar's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 25.86 | Real 27.29 | Target 33.0 | Hype 25.88 | Naive 24.05 |
The intrinsic value of Forestar's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Forestar's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Forestar Group helps investors to forecast how Forestar stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Forestar more accurately as focusing exclusively on Forestar's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Forestar's intrinsic value based on its ongoing forecasts of Forestar's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Forestar's closest peers.
Forestar Cash |
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Forestar Total Value Analysis
Forestar Group is currently estimated to have company total value of 1.91 B with market capitalization of 1.32 B, debt of 817.1 M, and cash on hands of 379.2 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Forestar fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.91 B | 1.32 B | 817.1 M | 379.2 M |
Forestar Investor Information
About 62.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 0.74. Some equities with similar Price to Book (P/B) outperform the market in the long run. Forestar Group had not issued any dividends in recent years. Based on the analysis of Forestar's profitability, liquidity, and operating efficiency, Forestar Group is performing exceptionally good at this time. It has a great probability to report excellent financial results in March.Forestar Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Forestar has an asset utilization ratio of 52.99 percent. This connotes that the Company is making $0.53 for each dollar of assets. An increasing asset utilization means that Forestar Group is more efficient with each dollar of assets it utilizes for everyday operations.Forestar Profitability Analysis
Considering Forestar's profitability and operating efficiency indicators, Forestar Group is yielding more profit at this time then in previous quarter. It has a moderate probability of reporting better profitability numbers in March. Profitability indicators assess Forestar's ability to earn profits and add value for shareholders.Net Income | First Reported 2005-03-31 | Previous Quarter 87 M | Current Value 15.4 M | Quarterly Volatility 29.3 M |
For Forestar profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Forestar Group to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Forestar utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Forestar's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Forestar over time as well as its relative position and ranking within its peers.
Forestar Earnings per Share Projection vs Actual
The next projected EPS of Forestar is estimated to be 0.6432 with future projections ranging from a low of 0.58 to a high of 0.7196. Forestar's most recent 12-month trailing earnings per share (EPS TTM) is at 3.27. Please be aware that the consensus of earnings estimates for Forestar Group is based on EPS before non-recurring items and includes expenses related to employee stock options.Forestar Earnings Estimation Breakdown
The calculation of Forestar's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Forestar is estimated to be 0.6432 with the future projection ranging from a low of 0.58 to a high of 0.7196. Please be aware that this consensus of annual earnings estimates for Forestar Group is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
0.58 Lowest | Expected EPS | 0.72 Highest |
Forestar Earnings Projection Consensus
Suppose the current estimates of Forestar's value are higher than the current market price of the Forestar stock. In this case, investors may conclude that Forestar is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Forestar's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of March 2026 | Current EPS (TTM) | |
| 4 | 67.21% | 0.3 | 0.6432 | 3.27 |
Forestar Ownership Allocation
Forestar holds a total of 50.89 Million outstanding shares. Forestar Group shows majority of its outstanding shares owned by insiders. An insider is usually defined as a corporate executive, director, member of the board or institutional investor who own at least 10% of the company's outstanding shares. 62.35 percent of Forestar Group outstanding shares that are owned by insiders denotes they have been buying or selling the stock in recent months in anticipation of some upcoming event. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Forestar Profitability Analysis
The company reported the last year's revenue of 1.66 B. Total Income to common stockholders was 167.9 M with profit before taxes, overhead, and interest of 363.5 M.About Forestar Valuation
The stock valuation mechanism determines Forestar's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Forestar Group based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Forestar. We calculate exposure to Forestar's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Forestar's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 418 M | 438.9 M | |
| Pretax Profit Margin | 0.46 | 0.48 | |
| Operating Profit Margin | 0.35 | 0.23 | |
| Net Profit Margin | 0.44 | 0.46 | |
| Gross Profit Margin | 0.04 | 0.04 |
Forestar Growth Indicators
Investing in growth stocks can be very risky. If the company such as Forestar does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 50.9 M | |
| Quarterly Earnings Growth Y O Y | -0.063 |
Forestar Current Valuation Indicators
Forestar's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Forestar's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Forestar, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Forestar's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Forestar's worth.Additional Tools for Forestar Stock Analysis
When running Forestar's price analysis, check to measure Forestar's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Forestar is operating at the current time. Most of Forestar's value examination focuses on studying past and present price action to predict the probability of Forestar's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Forestar's price. Additionally, you may evaluate how the addition of Forestar to your portfolios can decrease your overall portfolio volatility.