Fortrea (NASDAQ:FTRE) Shares Down 6.6% - Here's What Happened

Key Points

• Fortrea Holdings Inc. (NASDAQ:FTRE) shares fell by 6.6% during mid-day trading on Monday, reaching a low of $10.89 and closing at $10.86, with trading volume down 73% compared to the average.
• Brokerage analysts have mixed ratings on Fortrea, with price targets ranging from a low of $6.00 to a high of $14.00, while the consensus rating remains "Hold" with a price target of $12.78.
• Notable insider activity includes Director Peter M. Neupert acquiring 32,500 shares at $6.26 each, leading to a significant increase in his ownership stake in the company.

Fortrea Holdings Inc. (NASDAQ:FTRE - Get Free Report) shares were down 6.6% during mid-day trading on Monday . The stock traded as low as $10.89 and last traded at $10.86. Approximately 629,590 shares were traded during trading, a decline of 73% from the average daily volume of 2,320,468 shares. The stock had previously closed at $11.63.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on FTRE shares. Robert W. Baird raised their price objective on Fortrea from $9.00 to $14.00 and gave the stock an "outperform" rating in a research note on Wednesday, September 3rd. Evercore ISI raised their price objective on Fortrea from $5.00 to $7.00 and gave the stock an "in-line" rating in a research note on Friday, August 8th. Citigroup restated a "neutral" rating on shares of Fortrea in a research note on Thursday, May 22nd. Baird R W upgraded Fortrea from a "hold" rating to a "strong-buy" rating in a research note on Monday, August 4th. Finally, Barclays reiterated an "underweight" rating and issued a $6.00 target price (up from $5.00) on shares of Fortrea in a research note on Thursday, August 7th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $11.50.

Fortrea Price Performance

The company has a market capitalization of $917.08 million, a price-to-earnings ratio of -0.89 and a beta of 1.91. The company has a debt-to-equity ratio of 1.87, a current ratio of 1.02 and a quick ratio of 1.02. The business has a fifty day moving average price of $7.40 and a 200 day moving average price of $6.86.

Fortrea (NASDAQ:FTRE - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $0.19 EPS for the quarter, beating analysts' consensus estimates of $0.06 by $0.13. The company had revenue of $710.30 million for the quarter, compared to analyst estimates of $631.61 million. Fortrea had a positive return on equity of 5.25% and a negative net margin of 37.57%. On average, research analysts expect that Fortrea Holdings Inc. will post 0.51 earnings per share for the current fiscal year.

Insider Activity

In other Fortrea news, Director Erin L. Russell purchased 9,854 shares of the stock in a transaction dated Tuesday, September 2nd. The shares were bought at an average cost of $10.15 per share, with a total value of $100,018.10. Following the completion of the acquisition, the director owned 9,854 shares of the company's stock, valued at approximately $100,018.10. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Peter M. Neupert purchased 32,500 shares of the stock in a transaction dated Monday, August 11th. The shares were acquired at an average cost of $6.26 per share, for a total transaction of $203,450.00. Following the completion of the acquisition, the director directly owned 98,132 shares of the company's stock, valued at approximately $614,306.32. This trade represents a 49.52% increase in their position. The disclosure for this purchase can be found here. Over the last ninety days, insiders have acquired 72,354 shares of company stock valued at $507,168 and have sold 10,311 shares valued at $94,635. Corporate insiders own 0.38% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. Osaic Holdings Inc. grew its holdings in Fortrea by 74.3% during the second quarter. Osaic Holdings Inc. now owns 6,844 shares of the company's stock worth $38,000 after acquiring an additional 2,918 shares during the period. Thrivent Financial for Lutherans grew its holdings in Fortrea by 88.2% during the second quarter. Thrivent Financial for Lutherans now owns 229,368 shares of the company's stock worth $1,133,000 after acquiring an additional 107,522 shares during the period. State of Wyoming grew its holdings in Fortrea by 194.0% during the second quarter. State of Wyoming now owns 73,638 shares of the company's stock worth $364,000 after acquiring an additional 48,588 shares during the period. Hudson Bay Capital Management LP grew its holdings in Fortrea by 46.3% during the second quarter. Hudson Bay Capital Management LP now owns 440,000 shares of the company's stock worth $2,174,000 after acquiring an additional 139,188 shares during the period. Finally, Public Sector Pension Investment Board grew its holdings in Fortrea by 8.5% during the second quarter. Public Sector Pension Investment Board now owns 308,551 shares of the company's stock worth $1,524,000 after acquiring an additional 24,096 shares during the period.

About Fortrea

Fortrea Holdings Inc, a contract research organization, primarily engages in the provision of biopharmaceutical product and medical device development services worldwide. The company operates through two segments: Clinical Services and Enabling Services. The Clinical Services segment provides across the clinical pharmacology and clinical development spectrum.