Fortrea (NASDAQ:FTRE) Stock Rating Lowered by Zacks Research

Key Points

• Zacks Research downgraded Fortrea from “hold” to “strong sell,” despite a broader analyst consensus of “hold” based on six buy, four hold and two sell ratings. The average analyst price target is $22.10.
• Fortrea shares opened at $20.92, while the company’s latest quarterly results exceeded expectations: adjusted EPS was $0.23 versus $0.18 expected, and revenue reached $678.2 million compared with a $647.6 million consensus estimate.
• CEO Anshul Thakral sold 99,869 shares worth about $1.91 million to cover tax obligations tied to equity vesting, reducing his position by nearly 24%; insiders own 0.73% of the company.

Fortrea (NASDAQ:FTRE - Get Free Report) was downgraded by Zacks Research from a "hold" rating to a "strong sell" rating in a report released on Monday, Zacks reports.

A number of other research analysts have also commented on FTRE. Truist Financial upped their price objective on shares of Fortrea from $19.00 to $26.00 and gave the company a "buy" rating in a research report on Thursday, July 30th. Weiss Ratings reissued a "sell (d-)" rating on shares of Fortrea in a research report on Friday, July 17th. Evercore restated an "outperform" rating on shares of Fortrea in a research note on Wednesday, July 29th. UBS Group assumed coverage on Fortrea in a report on Wednesday, September 30th. They issued a "neutral" rating and a $22.00 price target for the company. Finally, TD Cowen raised their price objective on Fortrea from $19.00 to $23.00 and gave the stock a "buy" rating in a research report on Tuesday, August 4th. Six investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, Fortrea currently has a consensus rating of "Hold" and an average price target of $22.10.

Fortrea Stock Down 0.4%

Shares of FTRE stock opened at $20.92 on Monday. Fortrea has a 12 month low of $8.55 and a 12 month high of $23.51. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 1.98. The firm has a market cap of $1.99 billion, a PE ratio of -22.99, a price-to-earnings-growth ratio of 0.55 and a beta of 1.93. The stock has a 50 day moving average of $18.98 and a 200-day moving average of $16.16.

Fortrea (NASDAQ:FTRE - Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.05. The business had revenue of $678.20 million for the quarter, compared to the consensus estimate of $647.57 million. Fortrea had a negative net margin of 3.18% and a positive return on equity of 10.72%. On average, equities analysts predict that Fortrea will post 0.85 EPS for the current year.

Insider Transactions at Fortrea

In other news, CEO Anshul Thakral sold 99,869 shares of the stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $19.16, for a total value of $1,913,490.04. Following the completion of the transaction, the chief executive officer owned 316,797 shares in the company, valued at approximately $6,069,830.52. This represents a 23.97% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 0.73% of the stock is owned by company insiders.

Institutional Trading of Fortrea

Several institutional investors have recently made changes to their positions in FTRE. Allworth Financial LP raised its holdings in shares of Fortrea by 22.3% during the second quarter. Allworth Financial LP now owns 3,923 shares of the company's stock worth $68,000 after acquiring an additional 716 shares during the period. EverSource Wealth Advisors LLC lifted its position in Fortrea by 9.5% in the 1st quarter. EverSource Wealth Advisors LLC now owns 10,936 shares of the company's stock valued at $103,000 after acquiring an additional 953 shares in the last quarter. Amundi lifted its position in Fortrea by 20.2% in the 1st quarter. Amundi now owns 12,490 shares of the company's stock valued at $118,000 after acquiring an additional 2,101 shares in the last quarter. KBC Group NV boosted its stake in Fortrea by 9.1% in the 1st quarter. KBC Group NV now owns 33,262 shares of the company's stock worth $313,000 after purchasing an additional 2,762 shares during the period. Finally, Ancora Advisors LLC acquired a new position in Fortrea in the 2nd quarter worth $59,000.

Fortrea Company Profile

Fortrea Holdings Inc is a global contract research organization (CRO) that provides services to pharmaceutical, biotechnology and medical device companies. The company supports the development and commercialization of healthcare products across a range of therapeutic areas.

Its services include clinical trial management, study design, patient recruitment and engagement, data management, biostatistics, regulatory support, medical affairs and post-approval services. Fortrea also provides technology-enabled and decentralized clinical trial solutions intended to help sponsors conduct research across traditional and remote settings.

Fortrea serves customers internationally, with operations and clinical trial capabilities spanning North America, Europe, Asia-Pacific and other global markets.

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