Contrasting Fortrea (FTRE) & The Competition

Fortrea (NASDAQ:FTRE) is one of 47 public companies in the “Medical laboratories” industry, but how does it compare to its peers? We will compare Fortrea to related businesses based on the strength of its valuation, analyst recommendations, risk, institutional ownership, dividends, profitability and earnings.

Earnings & Valuation

This table compares Fortrea and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Fortrea	$3.11 billion	-$3.40 million	-17.24
Fortrea Competitors	$974.24 million	-$121.96 million	4.38

Fortrea has higher revenue and earnings than its peers. Fortrea is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

47.5% of shares of all “Medical laboratories” companies are held by institutional investors. 0.1% of Fortrea shares are held by insiders. Comparatively, 18.9% of shares of all “Medical laboratories” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings for Fortrea and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fortrea	1	5	5	1	2.50
Fortrea Competitors	308	1206	2107	33	2.51

Fortrea currently has a consensus price target of $32.30, indicating a potential upside of 34.75%. As a group, “Medical laboratories” companies have a potential upside of 25.33%. Given Fortrea’s higher possible upside, equities research analysts plainly believe Fortrea is more favorable than its peers.

Profitability

This table compares Fortrea and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fortrea	-4.11%	4.76%	1.87%
Fortrea Competitors	-3,335.63%	-1,358.13%	-41.48%

Summary

Fortrea beats its peers on 7 of the 12 factors compared.

Fortrea Company Profile

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. The Enabling Services segment provides patient access and clinical trial technology solutions to customers that streamline complex randomization and optimize the trial drug supply process. The company offers delivery models that include full service, functional service provider, and hybrid service structures. It also offers phase I-IV clinical trial management, differentiated technology enabled trial solutions, and post approval services, as well as consulting services. The company serves pharmaceutical, biotechnology, and medical device organizations. Fortrea Holdings Inc. was incorporated in 2023 and is headquartered in Durham, North Carolina.