Fortrea (NASDAQ:FTRE) Shares Gap Down Following Weak Earnings

Fortrea Holdings Inc. (NASDAQ:FTRE) shares gapped down prior to trading on Thursday following a dissappointing earnings announcement. The stock had previously closed at $10.34, but opened at $9.34. Fortrea shares last traded at $9.8770, with a volume of 251,633 shares trading hands.

The company reported $0.09 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.07). Fortrea had a positive return on equity of 5.64% and a negative net margin of 36.77%.The company had revenue of $660.50 million for the quarter, compared to analysts’ expectations of $665.22 million.

Wall Street Analyst Weigh In

FTRE has been the topic of several research reports. Robert W. Baird set a $19.00 target price on Fortrea in a research report on Wednesday, January 14th. TD Cowen raised their price objective on Fortrea from $7.00 to $15.00 and gave the stock a “hold” rating in a report on Thursday, January 22nd. Weiss Ratings reiterated a “sell (d-)” rating on shares of Fortrea in a report on Thursday, January 22nd. Citigroup raised shares of Fortrea from a “neutral” rating to a “buy” rating and increased their target price for the stock from $12.00 to $21.00 in a research report on Thursday, December 11th. Finally, Wedbush set a $21.00 price target on shares of Fortrea in a report on Thursday, December 11th. Four research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $16.75.

Institutional Investors Weigh In On Fortrea

Several hedge funds have recently modified their holdings of the stock. Invesco Ltd. lifted its position in Fortrea by 9.0% during the 4th quarter. Invesco Ltd. now owns 794,615 shares of the company’s stock worth $13,707,000 after acquiring an additional 65,787 shares in the last quarter. Mercer Global Advisors Inc. ADV grew its position in Fortrea by 4.2% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 37,285 shares of the company’s stock valued at $643,000 after acquiring an additional 1,486 shares in the last quarter. Toronto Dominion Bank purchased a new stake in shares of Fortrea during the fourth quarter valued at approximately $51,000. Janus Henderson Group PLC acquired a new position in shares of Fortrea during the fourth quarter worth $789,000. Finally, Gotham Asset Management LLC purchased a new position in shares of Fortrea in the fourth quarter valued at $362,000.

Fortrea Stock Up 0.0%

The firm’s 50 day moving average price is $15.39 and its two-hundred day moving average price is $12.29. The firm has a market capitalization of $955.51 million, a PE ratio of -0.92, a P/E/G ratio of 0.30 and a beta of 1.59. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 1.81.

Fortrea Company Profile

Fortrea, Inc is a global contract development and manufacturing organization (CDMO) that provides integrated solutions for pharmaceutical and biotechnology companies. Established as a spin-off from Thermo Fisher Scientific’s Pharma Services business in October 2023, Fortrea leverages a legacy of scientific expertise and manufacturing scale to support drug development from early-stage research through commercial production. The company’s comprehensive offerings address the complex needs of both small-molecule and biologics programs, making it a single source for clients seeking to accelerate timelines and manage costs.

Fortrea’s core services encompass analytical and formulation development, process optimization, clinical and commercial manufacturing, and packaging services.