WallStSmart

Forestar Group Inc (FOR) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Forestar Group Inc stock (FOR) is currently trading at $25.32. Forestar Group Inc PE ratio is 7.43. Forestar Group Inc PS ratio (Price-to-Sales) is 0.73. Analyst consensus price target for FOR is $33.00. WallStSmart rates FOR as Underperform.

  • FOR PE ratio analysis and historical PE chart
  • FOR PS ratio (Price-to-Sales) history and trend
  • FOR intrinsic value — DCF, Graham Number, EPV models
  • FOR stock price prediction 2025 2026 2027 2028 2029 2030
  • FOR fair value vs current price
  • FOR insider transactions and insider buying
  • Is FOR undervalued or overvalued?
  • Forestar Group Inc financial analysis — revenue, earnings, cash flow
  • FOR Piotroski F-Score and Altman Z-Score
  • FOR analyst price target and Smart Rating
FOR

Forestar Group Inc

NYSEREAL ESTATE
$25.32
$0.18 (0.72%)
52W$18.00
$30.74
Target$33.00+30.3%

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IV

FOR Intrinsic Value Analysis for Value Investors

Benjamin Graham Formula · Forestar Group Inc (FOR)

Margin of Safety
-32.7%
Significantly Overvalued
FOR Fair Value
$22.24
Graham Formula
Current Price
$25.32
$3.08 above fair value
Undervalued
Fair: $22.24
Overvalued
Price $25.32
Graham IV $22.24
Analyst $33.00

FOR trades 33% above its Graham fair value of $22.24, indicating the stock may be overvalued at current levels.

Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.

WallStSmart

Smart Analysis

Forestar Group Inc (FOR) · 10 metrics scored

Smart Score

48
out of 100
Grade: D+
Hold
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in price/sales, price/book. Concerns around peg ratio and return on equity. Mixed signals suggest waiting for clearer direction before acting.

Forestar Group Inc (FOR) Key Strengths (2)

Avg Score: 10.0/10
Price/SalesValuation
0.7310/10

Paying less than $1 for every $1 of annual revenue

Price/BookValuation
0.6910/10

Trading below book value, meaning the market prices it less than net assets

Supporting Valuation Data

P/E Ratio
7.43
Undervalued
Trailing P/E
7.43
Undervalued
Price/Sales (TTM)
0.734
Undervalued
EV/Revenue
1.089
Undervalued
FOR Target Price
$33
21% Upside

Forestar Group Inc (FOR) Areas to Watch (8)

Avg Score: 3.3/10
EPS GrowthGrowth
-6.30%0/10

Earnings declining -6.30%, profits shrinking

PEG RatioValuation
4.902/10

Very expensive relative to growth, significant premium

Operating MarginProfitability
6.78%2/10

Very thin margins with limited operational efficiency

Return on EquityProfitability
9.81%3/10

Low profitability relative to shareholder equity

Revenue GrowthGrowth
9.00%4/10

Modest revenue growth at 9.00%

Profit MarginProfitability
9.90%4/10

Thin profit margins with limited profitability

Market CapQuality
$1.24B5/10

Small-cap company with higher risk but more growth potential

Institutional Own.Quality
36.23%6/10

Moderate institutional interest at 36.23%

Supporting Valuation Data

Forward P/E
49.02
Expensive

Forestar Group Inc (FOR) Detailed Analysis Report

Overall Assessment

This company scores 48/100 in our Smart Analysis, earning a D+ grade. Out of 10 metrics analyzed, 2 register as strengths (avg 10.0/10) while 8 fall into concern territory (avg 3.3/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on Price/Sales, Price/Book. Valuation metrics including Price/Sales (0.73), Price/Book (0.69) suggest the stock is attractively priced.

The Bear Case

The primary concerns are EPS Growth, PEG Ratio, Operating Margin. Some valuation metrics including PEG Ratio (4.90) suggest expensive pricing. Growth concerns include Revenue Growth at 9.00%, EPS Growth at -6.30%, which may limit upside. Profitability pressure is visible in Return on Equity at 9.81%, Operating Margin at 6.78%, Profit Margin at 9.90%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether EPS Growth improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 9.81% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at 9.00% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Fundamental challenges outweigh strengths at current levels. EPS Growth and PEG Ratio are the primary drags. Consider waiting for meaningful improvement before committing capital.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

FOR Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

FOR's Price-to-Sales ratio of 0.73x trades at a deep discount to its historical average of 3.82x (9th percentile). The current valuation is 94% below its historical high of 11.44x set in Aug 2018, and 98% above its historical low of 0.37x in Sep 2022.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Forestar Group Inc (FOR) · REAL ESTATEREAL ESTATE - DEVELOPMENT

The Big Picture

Forestar Group Inc operates as a stable business with moderate growth and solid fundamentals. Revenue reached 1.7B with 9% growth year-over-year. Profit margins are thin at 9.9%, typical for companies in this phase that are reinvesting heavily in growth.

Key Findings

Negative Free Cash Flow

Free cash flow is -157M, meaning the company is burning cash. This may be acceptable for high-growth companies investing heavily.

What to Watch Next

Margin expansion: can Forestar Group Inc push profit margins above 15% as the business scales?

Sector dynamics: monitor REAL ESTATE - DEVELOPMENT industry trends, competitive moves, and regulatory changes that could impact Forestar Group Inc.

Bottom Line

Forestar Group Inc offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions

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About Forestar Group Inc(FOR)

Exchange

NYSE

Sector

REAL ESTATE

Industry

REAL ESTATE - DEVELOPMENT

Country

USA

Forestar Group Inc. is a residential lot development company in the United States. The company is headquartered in Arlington, Texas.