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FORR

Forrester ResearchNasdaqGS:FORR Stock Report

Market Cap

US$979.5m

7D

-1.7%

1Y

36.4%

Updated

25 Oct, 2021

Data

Company Financials +
FORR fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance1/6
Financial Health3/6
Dividends0/6

FORR Overview

Forrester Research, Inc. operates as an independent research and advisory services company in the United States and internationally.

Forrester Research Competitors

FTI Consulting

NYSE:FCN

US$4.8b

Huron Consulting Group

NasdaqGS:HURN

US$1.0b

CRA International

NasdaqGS:CRAI

US$795.7m

Gartner

NYSE:IT

US$27.0b

Price History & Performance

Summary of all time highs, changes and price drops for Forrester Research
Historical stock prices
Current Share PriceUS$51.10
52 Week HighUS$35.33
52 Week LowUS$52.89
Beta1.01
1 Month Change1.65%
3 Month Change11.18%
1 Year Change36.38%
3 Year Change32.01%
5 Year Change37.18%
Change since IPO364.54%

Recent News & Updates

Sep 25
Forrester Research (NASDAQ:FORR) Seems To Use Debt Quite Sensibly

Forrester Research (NASDAQ:FORR) Seems To Use Debt Quite Sensibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

FORRUS Professional ServicesUS Market
7D-1.7%1.5%1.9%
1Y36.4%34.7%33.4%

Return vs Industry: FORR exceeded the US Professional Services industry which returned 32.1% over the past year.

Return vs Market: FORR exceeded the US Market which returned 30.3% over the past year.

Price Volatility

Is FORR's price volatile compared to industry and market?
FORR volatility
FORR Beta1.01
Industry Beta1.07
Market Beta1

Stable Share Price: FORR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FORR's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19831,719George Colonyhttps://www.forrester.com

Forrester Research, Inc. operates as an independent research and advisory services company in the United States and internationally. The company operates through Research, Consulting, and Events segments. Its primary subscription research product is Research, which offers clients with access to its research designed to inform their strategic decision-making.

Forrester Research Fundamentals Summary

How do Forrester Research's earnings and revenue compare to its market cap?
FORR fundamental statistics
Market CapUS$979.48m
Earnings (TTM)US$10.97m
Revenue (TTM)US$471.55m

89.3x

P/E Ratio

2.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FORR income statement (TTM)
RevenueUS$471.55m
Cost of RevenueUS$193.32m
Gross ProfitUS$278.23m
ExpensesUS$267.27m
EarningsUS$10.97m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 03, 2021

Earnings per share (EPS)0.57
Gross Margin59.00%
Net Profit Margin2.33%
Debt/Equity Ratio50.9%

How did FORR perform over the long term?

See historical performance and comparison

Valuation

Is Forrester Research undervalued compared to its fair value and its price relative to the market?

34.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FORR ($51.1) is trading below our estimate of fair value ($78.3)

Significantly Below Fair Value: FORR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FORR is poor value based on its PE Ratio (89.3x) compared to the US Professional Services industry average (26.1x).

PE vs Market: FORR is poor value based on its PE Ratio (89.3x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: FORR is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: FORR is overvalued based on its PB Ratio (4.9x) compared to the US Professional Services industry average (3x).


Future Growth

How is Forrester Research forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

46.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FORR's forecast earnings growth (46.1% per year) is above the savings rate (2%).

Earnings vs Market: FORR's earnings (46.1% per year) are forecast to grow faster than the US market (14.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: FORR's revenue (8.1% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: FORR's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if FORR's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Forrester Research performed over the past 5 years?

-18.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FORR has high quality earnings.

Growing Profit Margin: FORR's current net profit margins (2.3%) are lower than last year (3%).


Past Earnings Growth Analysis

Earnings Trend: FORR's earnings have declined by 18.9% per year over the past 5 years.

Accelerating Growth: FORR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FORR had negative earnings growth (-18.9%) over the past year, making it difficult to compare to the Professional Services industry average (21.4%).


Return on Equity

High ROE: FORR's Return on Equity (5.4%) is considered low.


Financial Health

How is Forrester Research's financial position?


Financial Position Analysis

Short Term Liabilities: FORR's short term assets ($245.0M) do not cover its short term liabilities ($287.6M).

Long Term Liabilities: FORR's short term assets ($245.0M) exceed its long term liabilities ($179.4M).


Debt to Equity History and Analysis

Debt Level: FORR's debt to equity ratio (50.9%) is considered high.

Reducing Debt: Insufficient data to determine if FORR's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: FORR's debt is well covered by operating cash flow (90.6%).

Interest Coverage: FORR's interest payments on its debt are well covered by EBIT (6.4x coverage).


Balance Sheet


Dividend

What is Forrester Research current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate FORR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate FORR's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if FORR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FORR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: FORR is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FORR's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.6yrs

Average management tenure


CEO

George Colony (67 yo)

38.25yrs

Tenure

US$681,843

Compensation

Mr. George F. Colony is Founder, Chairman, and Chief Executive Officer of Forrester Research, Inc since July 1983 and also serves as its President since September 2001 and served as its President from 1983...


CEO Compensation Analysis

Compensation vs Market: George's total compensation ($USD681.84K) is below average for companies of similar size in the US market ($USD2.29M).

Compensation vs Earnings: George's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: FORR's management team is considered experienced (4.6 years average tenure).


Board Members

Experienced Board: FORR's board of directors are considered experienced (4.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: FORR insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Forrester Research, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Forrester Research, Inc.
  • Ticker: FORR
  • Exchange: NasdaqGS
  • Founded: 1983
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Market Cap: US$979.485m
  • Shares outstanding: 19.17m
  • Website: https://www.forrester.com

Number of Employees


Location

  • Forrester Research, Inc.
  • 60 Acorn Park Drive
  • Cambridge
  • Massachusetts
  • 2140
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/25 23:12
End of Day Share Price2021/10/25 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.