China smartphone shipments slumped in June on inventory overhang: Jefferies
Investing.com - Forestar Group (NYSE:FOR) stock rose 6.5% to $23.89 following its fiscal third-quarter 2025 results, despite missing consensus earnings estimates. The stock has shown strong momentum, gaining over 8% in the past week. According to InvestingPro analysis, the company appears undervalued based on its Fair Value estimate.
JMP Securities reiterated its Market Outperform rating and $30 price target on the land development company, representing 85% of forward book value. The $1.21 billion market cap company trades at an attractive P/E ratio of 6.9x, with analyst targets ranging from $22 to $30.
Forestar reported earnings per share of $0.65, beating JMP’s expectation of $0.58 but falling short of the $0.71 consensus estimate. The company made minor adjustments to its guidance, with lot sales trending slightly lower but offset by better pricing, leaving revenue guidance unchanged.
JMP noted it was impressed with Forestar’s ability to drive pricing in a market where homebuilders face customer affordability headwinds, which "speaks volumes regarding the demand for third-party lot development."
The dynamics surrounding Forestar’s guidance adjustment were similar to those of D.R. Horton (NYSE:DHI), its majority shareholder, which reported earnings earlier the same day.
In other recent news, Forestar Group Inc . announced its third-quarter 2025 earnings, which showed a miss in both earnings per share (EPS) and revenue compared to analyst expectations. Despite this shortfall, the company’s stock experienced a rise, indicating investor optimism about Forestar’s strategic growth initiatives and market expansion efforts. The earnings report highlights the challenges the company faces in meeting analyst projections. However, the positive market reaction suggests that investors may have confidence in Forestar’s future plans. No recent mergers or acquisitions were reported. Analyst upgrades or downgrades were not mentioned in the latest updates. These recent developments provide insight into the company’s current financial standing and market perception.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.