During the last three months, 9 analysts shared their evaluations of Fortrea Holdings (NASDAQ:FTRE), revealing diverse outlooks from bullish to bearish.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 2 | 5 | 2 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 2 | 3 | 1 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 1 | 1 | 0 |
Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $31.11, with a high estimate of $43.00 and a low estimate of $27.00. This current average represents a 16.37% decrease from the previous average price target of $37.20.
Analyzing Analyst Ratings: A Detailed Breakdown
The standing of Fortrea Holdings among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Matthew Sykes | Goldman Sachs | Announces | Neutral | $28.00 | - |
| Charles Rhyee | TD Cowen | Announces | Hold | $27.00 | - |
| Ann Hynes | Mizuho | Announces | Neutral | $27.00 | - |
| Justin Bowers | Deutsche Bank | Lowers | Hold | $28.00 | $36.00 |
| Derik De Bruin | B of A Securities | Lowers | Underperform | $27.00 | $33.00 |
| Elizabeth Anderson | Evercore ISI Group | Lowers | Outperform | $31.00 | $43.00 |
| Eric Coldwell | Baird | Lowers | Outperform | $36.00 | $45.00 |
| Eric Coldwell | Baird | Announces | Neutral | $43.00 | - |
| Derik De Bruin | B of A Securities | Raises | Underperform | $33.00 | $29.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Fortrea Holdings. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Fortrea Holdings compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Fortrea Holdings's stock. This comparison reveals trends in analysts' expectations over time.
To gain a panoramic view of Fortrea Holdings's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on Fortrea Holdings analyst ratings.
About Fortrea Holdings
Fortrea Holdings is a late-stage contract research organization, or CRO, that provides comprehensive Phase I through IV clinical trial management, clinical pharmacology, and patient access solutions. The company works with emerging and large biopharma, medical device, and diagnostic companies to run their clinical trials as a functional-service provider, full-service provider, and offers hybrid trials. In 2023, Fortrea was formed as an independent, publicly traded company after LabCorp spun off its clinical development business, which it acquired via its purchase of Covance in 2015 for $6.1 billion. Fortrea has 19,000 staff members across 90 countries.
Breaking Down Fortrea Holdings's Financial Performance
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Negative Revenue Trend: Examining Fortrea Holdings's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -4.58% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Health Care sector.
Net Margin: Fortrea Holdings's net margin excels beyond industry benchmarks, reaching -15.25%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of -6.06%, the company may need to address challenges in generating satisfactory returns for shareholders.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -2.35%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: Fortrea Holdings's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.06, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
The Basics of Analyst Ratings
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.