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Are Investors Undervaluing Forrester Research (FORR) Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Forrester Research (FORR - Free Report) . FORR is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 11.09, which compares to its industry's average of 19.71. Over the last 12 months, FORR's Forward P/E has been as high as 16.70 and as low as 9.98, with a median of 12.15.
FORR is also sporting a PEG ratio of 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. FORR's industry currently sports an average PEG of 1.84. Over the past 52 weeks, FORR's PEG has been as high as 1.34 and as low as 0.71, with a median of 0.89.
Another notable valuation metric for FORR is its P/B ratio of 1.45. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. FORR's current P/B looks attractive when compared to its industry's average P/B of 3.35. Within the past 52 weeks, FORR's P/B has been as high as 2.44 and as low as 1.33, with a median of 1.60.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FORR has a P/S ratio of 0.71. This compares to its industry's average P/S of 1.97.
Finally, we should also recognize that FORR has a P/CF ratio of 10.26. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. FORR's current P/CF looks attractive when compared to its industry's average P/CF of 14.41. Within the past 12 months, FORR's P/CF has been as high as 14.76 and as low as 9.10, with a median of 10.93.
Value investors will likely look at more than just these metrics, but the above data helps show that Forrester Research is likely undervalued currently. And when considering the strength of its earnings outlook, FORR sticks out at as one of the market's strongest value stocks.
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Are Investors Undervaluing Forrester Research (FORR) Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Forrester Research (FORR - Free Report) . FORR is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A. The stock is trading with a P/E ratio of 11.09, which compares to its industry's average of 19.71. Over the last 12 months, FORR's Forward P/E has been as high as 16.70 and as low as 9.98, with a median of 12.15.
FORR is also sporting a PEG ratio of 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. FORR's industry currently sports an average PEG of 1.84. Over the past 52 weeks, FORR's PEG has been as high as 1.34 and as low as 0.71, with a median of 0.89.
Another notable valuation metric for FORR is its P/B ratio of 1.45. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. FORR's current P/B looks attractive when compared to its industry's average P/B of 3.35. Within the past 52 weeks, FORR's P/B has been as high as 2.44 and as low as 1.33, with a median of 1.60.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FORR has a P/S ratio of 0.71. This compares to its industry's average P/S of 1.97.
Finally, we should also recognize that FORR has a P/CF ratio of 10.26. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. FORR's current P/CF looks attractive when compared to its industry's average P/CF of 14.41. Within the past 12 months, FORR's P/CF has been as high as 14.76 and as low as 9.10, with a median of 10.93.
Value investors will likely look at more than just these metrics, but the above data helps show that Forrester Research is likely undervalued currently. And when considering the strength of its earnings outlook, FORR sticks out at as one of the market's strongest value stocks.