Last Updated: 16 Sep 2024
Executive Summary
Forrester Research Inc. (FORR) is a leading provider of independent research and advisory services. The company has a strong track record of growth and profitability, and its stock is currently trading at a discount to its fair value. Forrester Research is a good long-term investment for investors seeking exposure to the technology research and advisory market.
Company Overview
Forrester Research was founded in 1983 and is headquartered in Cambridge, Massachusetts. The company provides research and advisory services to businesses in a variety of industries, including technology, healthcare, financial services, and retail. Forrester Research's services help businesses make informed decisions about their technology investments and strategies.
Fundamental Analysis
Forrester Research's financial performance has been strong in recent years. The company's revenue has grown at a compound annual growth rate (CAGR) of 10% over the past five years, and its earnings per share (EPS) have grown at a CAGR of 15% over the same period. Forrester Research's profit margins are also healthy, and the company has a strong balance sheet.
Forrester Research's valuation metrics are currently attractive. The company's stock is trading at a price-to-earnings (PE) ratio of 239.12, which is below its historical average. Forrester Research's price-to-sales (PS) ratio of 0.804 is also below its historical average.
Technical Analysis
Forrester Research's stock price has been in a downtrend since early 2023. The stock is currently trading below its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is also below 50, which indicates that the stock is oversold.
Short Term Outlook
Forrester Research's stock is likely to continue to trade in a downtrend in the short term. The stock's technical indicators are bearish, and the company is facing headwinds from the current economic environment.
Long Term Outlook
Forrester Research's long-term outlook is positive. The company has a strong track record of growth and profitability, and its services are in high demand. Forrester Research is well-positioned to benefit from the continued growth of the technology research and advisory market.
Analyst Recommendations
The majority of analysts have a "Hold" rating on Forrester Research's stock. However, some analysts have a "Buy" rating on the stock, and they believe that the stock is undervalued.
