Fortrea Holdings (FTRE) Fair Value & Analysis

Healthcare · US · Market cap $1.4B

Below-average quality, and screening another 88% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case ($5.82). The favourable scenario is already priced in.
• Weak quality (40/100) and above fair value at the same time, the margin of safety is missing on both counts.
• The model range is unusually wide ($2.18 to $5.82). The outcome hinges heavily on assumptions, so read the point estimate with caution.

Price vs Fair Value (3 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

38‑month range $4.06 – $40.28 · fair‑value band $2.18 – $5.82 · the $18.43 price screens above the $2.18 fair value. Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

Fortrea Holdings (FTRE) currently trades at $18.43, while our model-based Fair Value estimate is $2.18, implying the stock looks roughly 88.2% overvalued today. The Quality Score stands at 40/100 (below-average quality), in the Healthcare sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Fortrea Holdings generated revenue of $2.7B at a net margin of -16.5%. Revenue declined 2.3% year over year. It earns a return on equity of -64.6%. Net debt stands at $941M. Fundamentals as of Jul 16, 2026

Our scenario range runs from $2.18 (bear case) to $5.82 (bull case); at $18.43, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 1% below its 52-week high and 323% above its 52-week low, currently above its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -43% fair-value upside, at -88%, FTRE screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Asset-Based ($3.99) versus DCF Models ($0.6400). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Fortrea Holdings Inc., a contract research organization, provides biopharmaceutical product and medical device development solutions to pharmaceutical, biotechnology, and medical device customers worldwide.

Full company description

Fortrea Holdings Inc., a contract research organization, provides biopharmaceutical product and medical device development solutions to pharmaceutical, biotechnology, and medical device customers worldwide. It offers clinical pharmacology, such as clinical research units, external partnerships, project management, study design and monitoring, bioanalytics and biomarkers, pharmacokinetics, modeling and simulation, and biometrics; and clinical development, including phase I through IV clinical and real-world evidence studies, regulatory affairs, protocol design, operational planning, study and site start-up, patient recruitment, project management, comprehensive site and medical monitoring, data management and biostatistics, pharmacovigilance, medical writing, and mobile clinical services. The company also provides consulting services comprising product development and regulatory, market access and health economics, and outcomes research, as well as RWE services. Fortrea Holdings Inc. was incorporated in 2023 and is headquartered in Durham, North Carolina.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Fortrea Holdings reported revenue of $2.7B in FY2025 versus $3.1B in FY2021, a compound −2.9%/yr. Reported net income was −$986M in FY2025.

FTRE screens 88% overvalued. Compare with Vertex Pharmaceuticals Incorporated →

Peer Group

Biotechnology · 603 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Biotechnology median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0: the price sits above our fair-value range.

Insider activity: 44/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.