Forestar Group Inc FOR

Real EstateConstruction & EngineeringUnited States of America

Last close 23.94 USD on Nov 1, 2026, −2.8% year to date

Quant rating

Quant rating C Rank 122 of 175 in Real Estate

Growth C 78 of 175
Valuation A 13 of 175
Quality B 44 of 175
Revisions D 141 of 175
Momentum D 156 of 175

Wall Street consensus Buy (2.00)Average target 35.50 USD +48.3%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 1.2B
Enterprise value: 1.4B
52-week range: 22.85 – 32.06
3-year range: 18.45 – 40.75
Dividend yield: –
Beta (5 years): 1.42
Shares outstanding: 51.0M
Next earnings: Jan 20, 2027

About the company

Forestar Group Inc. is a residential lot development company, which is focused on making investments in land acquisition and development to sell finished single-family residential lots to homebuilders. It manages its operations through its real estate segment. Its real estate segment conducts a wide range of project planning and management activities related to the entitlement, acquisition, community development and sale of residential lots. It primarily invests in entitled short-duration projects that can be developed in phases, enables to complete and sell lots at a pace that matches market demand. The Company has diversified its lot development operations across 62 markets in 24 states. Its customers are primarily local, regional and national homebuilders.

Growth and profitability fiscal year ends September 30

Growth and profitability by fiscal year
	2026	2025	2024	2023	2022	5Y avg
Revenue (mil)	1,662	1,509	1,437	1,519	1,326	–
Revenue growth	10.1%	5.0%	−5.4%	14.6%	42.3%	12.3%
EPS (basic, normalized)	3.29	4.00	3.34	3.59	2.49	–
EPS growth	−17.8%	19.8%	−7.0%	44.2%	–	–
Gross margin	22.3%	24.1%	22.5%	21.6%	17.3%	21.6%
Net margin	10.1%	13.5%	11.6%	11.8%	8.3%	11.1%
ROE	10.0%	13.7%	13.0%	16.2%	11.7%	12.9%

Balance sheet, last quarter
Cash & short-term investments (mil)	657
Current ratio	–
Long-term debt (mil)	794
Net debt (mil)	139
Total equity (mil)	1,916
Net debt / equity	0.07x
Net debt / EBITDA	0.64x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2026 actual	1,662	+10.1%	0.8x	218	+12.8%	6.2x	2.78	−15.5%	8.6x
2027	1,457	−12.4%	0.9x	203	−6.5%	6.7x	2.85	+2.6%	8.4x
2028	1,575	+8.1%	0.9x	167	−17.9%	8.1x	2.65	−7.0%	9.0x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2027	1,457	−16.0%	−16.0%	−16.6%	2.85	−4.9%	−4.9%	−10.3%
2028	1,575	−2.3%	−2.3%	−2.9%	2.65	0.0%	0.0%	−5.7%
2029	–	–	–	–	–	–	–	–

Earnings surprises EPS beat in 1 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	334	318	551	250	351	390	670	273	374	407
Sales mean (mil)	326	379	504	329	380	391	557	261	374	438
Surprise	+2.4%	−16.0%	+9.5%	−23.8%	−7.5%	0.0%	+20.5%	+4.6%	+0.2%	−7.0%
EPS reported	0.89	0.69	1.60	0.32	0.64	0.65	1.70	0.30	0.63	0.70
EPS mean	0.72	0.88	1.31	0.70	0.79	0.74	1.26	0.32	0.63	0.81
Surprise	+22.9%	−21.9%	+22.2%	−54.3%	−19.2%	−12.0%	+34.7%	−5.3%	−0.2%	−13.6%

Peer comparison Construction & Engineering

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
FOR Forestar Group Inc	1.2B	0.64x	10.1%	0.64x	8.4x	9.0x	6.7x	8.1x
AXR AMREP Corp	111M	–	19.5%	0.79x	27.1x	15.1x	16.3x	7.9x
AEI Alset Inc	20M	–	−1,060.5%	0.17x	–	–	–	–
ILAL International Land Alliance Inc	6M	–	−592.8%	0.67x	–	–	–	–
Mean		0.64x	−405.9%	0.57x	17.7x	12.1x	11.5x	8.0x
Median		0.64x	−291.3%	0.65x	17.7x	12.1x	11.5x	8.0x

Technical analysis

1M−8.9%
3M−18.4%
1Y−14.4%
3Y+2.4%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Forestar Group Inc, fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Total revenue	1,662	1,509	1,437	1,519	1,326	932
Cost of revenue	1,292	1,146	1,113	1,191	1,097	814
Gross profit	371	363	324	328	229	118
Selling, general & administrative expenses	154	118	97.7	93.6	68.4	45.7
Research & development	–	–	–	–	–	–
Interest expense (income), operating	–	–	–	–	–	–
Unusual expense (income)	1.5	−5.4	17.8	0.6	15.6	−0.1
Other operating expenses	0	0	0	0	0	0
Operating income	215	250	208	234	145	72.5
Net interest income (expense)	6.9	19.8	13.6	2.2	1.4	5.6
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	−2.4	0	0	0	0	0
Net income before taxes	219	270	222	236	147	78.1
Provision for taxes	51.4	66.7	54.7	57.0	36.1	16.4
Minority interest	–	–	0	0	−0.3	−0.9
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	168	203	167	179	110	60.8
Extraordinary items	–	–	–	–	–	–
Net income	168	203	167	179	110	60.8
EBIT, normalized	216	245	226	234	161	72.4
EBITDA, normalized	218	246	227	235	161	72.7
Basic EPS, normalized	3.29	4.00	3.34	3.59	2.49	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Forestar Group Inc, fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Assets
Cash & short-term investments	379	481	616	265	154	394
Receivables	20.2	37.3	25.7	11.4	0.4	0.4
Total inventory	–	–	–	–	–	–
Prepaid expenses	17.5	13.2	15.7	18.9	15.4	4.9
Other current assets	–	–	–	–	–	–
Total current assets	–	–	–	–	–	–
Property, plant & equipment	2,667	2,283	1,804	2,036	1,915	1,314
Goodwill	–	–	–	–	–	–
Intangibles	–	–	–	–	–	–
Long-term investments	0	0.3	0.5	0.5	0.9	3.6
Note receivable	1.4	–	–	0	0.7	11.1
Other long-term assets	469	557	666	307	185	411
Total assets	3,137	2,840	2,471	2,343	2,102	1,740
Liabilities
Accounts payable	71.0	85.9	68.4	72.2	47.4	29.2
Payable/accrued	–	–	–	–	–	–
Accrued expenses	190	192	143	163	140	73.3
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	–	–	–	–	–	–
Other current liabilities	–	–	–	–	–	–
Total current liabilities	–	–	–	–	–	–
Long-term debt	803	706	695	706	704	641
Minority interest	1.0	1.0	1.0	1.0	1.0	0.9
Other liabilities	565	539	406	438	381	227
Total liabilities	1,369	1,246	1,102	1,145	1,087	869
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	50.8	50.7	49.9	49.8	49.6	48.1
Additional paid-in capital	671	665	644	641	636	604
Retained earnings (accumulated deficit)	1,046	878	675	508	329	219
Treasury stock	–	–	–	–	–	–
Other equity	0	0	0	0	0	0
Total equity	1,768	1,594	1,369	1,198	1,015	871
Total liabilities & shareholders' equity	3,137	2,840	2,471	2,343	2,102	1,740

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Forestar Group Inc, fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Operating activities
Net income	168	203	167	179	110	61.7
Depreciation, depletion & amortization	3.5	3.0	3.0	2.7	2.7	4.9
Deferred taxes	18.7	16.8	13.8	12.5	19.2	23.1
Non-cash items	10.6	−0.1	26.7	11.4	21.1	2.2
Changes in working capital	−398	−382	154	−96.7	−457	−260
Cash from operations	−198	−158	364	109	−303	−168
Investing activities
Capital expenditures	−2.2	−2.2	−1.3	−3.5	−1.6	−0.6
Other investing cash flows	5.4	9.5	1.6	4.8	2.6	5.6
Cash from investing	3.2	7.3	0.3	1.3	1.0	5.0
Financing activities
Financing cash flow items	−8.0	−3.4	−0.7	−0.5	−8.0	−6.2
Cash dividends paid	–	–	–	–	–	–
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	100	19.7	−12.5	1.7	69.4	181
Cash from financing	92.5	16.3	−13.2	1.2	61.4	175
Foreign exchange effects	–	–	–	–	–	–
Net change in cash	−102	−135	351	111	−241	11.5
Free cash flow	−200	−161	363	105	−305	−169

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 1, 2026 after market close.