Forestar Group (NYSE:FOR) Hits New 52-Week Low - Here's Why

Forestar Group Inc. (NYSE:FOR) experienced a significant drop in its stock price on Friday, hitting a new 52-week low. The stock traded at a low of $27.43 and closed slightly higher at $27.57, with a trading volume of 37,049 shares. This decline follows a previous closing price of $28.36.

Forestar Group Price Performance

As of now, Forestar Group has a 50-day simple moving average of $30.66 and a 200-day simple moving average of $31.20. The company has a manageable debt-to-equity ratio of 0.44 and a current ratio of 1.61, indicating its ability to meet short-term liabilities. With a market capitalization of $1.40 billion, it has a price-to-earnings ratio of 7.07, signifying an appealing investment opportunity. Furthermore, the stock has a beta of 1.72, meaning it is more volatile than the market.

In its latest quarterly earnings report released on October 29, Forestar Group reported earnings per share (EPS) of $1.60, which exceeded analysts' estimates of $1.31 by $0.29. The company generated revenue of $551.40 million in the quarter, outperforming the consensus expectation of $503.76 million. Forestar's net margin stood at 13.48%, and it recorded a return on equity of 13.59%. Compared to the same quarter last year, the quarterly revenue showed a modest increase of 0.3%, with EPS rising from $1.44.

Insider Activity

Regarding insider transactions, Director G.F. (Rick) Ringler III sold 2,000 shares on September 27 at an average price of $32.58, totaling $65,160. Following this sale, he retains ownership of 5,951 shares valued at approximately $193,883.58. This transaction marked a 25.15% decrease in his holdings. Information regarding this sale was filed with the Securities and Exchange Commission and can be accessed for further details. Currently, insiders hold 0.49% of the company's stock.

Institutional Investors' Involvement

Recent changes to the ownership of Forestar Group stock indicate increased interest from institutional investors and hedge funds. Notably, Point72 DIFC Ltd initiated a new position in the company during the third quarter, valued at $32,000. In the second quarter, Family Firm Inc. also acquired shares worth roughly $34,000. CWM LLC expanded its position by 111.6% in the same quarter, now owning 1,060 shares valued at $34,000. Additionally, nVerses Capital LLC increased its stake by 500.0% during the third quarter, now holding 1,200 shares worth $39,000. In total, institutional investors and hedge funds collectively own 35.50% of Forestar Group's stock.

About Forestar Group

Forestar Group Inc. specializes in residential lot development across the United States. The company is engaged in acquiring land and developing infrastructure for single-family residential communities. It markets its finished lots to various homebuilders, including local, regional, and national firms. Established in 2005, Forestar Group is headquartered in Arlington, Texas.

Further Reading

• Five stocks we like better than Forestar Group
• Golden Cross Stocks: Pattern, Examples and Charts
• Broadcom: Turning the Magnificent 7 into 8 Trillion-Dollar Tech Giants
• Are You Ready for Potential Stock Dividend Cuts?
• SoundHound AI: Can Its Meteoric Rise Sustain Until 2025?
• Calculate Your Retirement Income: MarketBeat’s Calculator
• Three Consumer Discretionary Stocks Poised for a Comeback in 2025

This overview is based on information generated using advanced reporting techniques combined with financial data to provide readers with timely and precise insights.

Should You Invest $1,000 in Forestar Group Right Now?

Before making a decision regarding an investment in Forestar Group, it may be prudent to consider alternative options. While the company currently holds a "Moderate Buy" rating from analysts, there are five stocks that top-rated analysts believe present better buying opportunities.

View the Five Stocks Here

stock, investment, analysis