Fortrea Holdings Inc. (FTRE) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-197.3%

-$19.48

vs $20.02 price

Levered DCF

$4.10

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

0.78

Distress zone

Rating

C-

Overall 1 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020
P/E	-1.6×	-5.08×	-872.5×	15.17×	28.83×	-7.88×
P/B	2.79×	1.23×	1.81×	0.85×	0.87×	0×
P/S	0.58×	0.62×	1.09×	1×	0.93×	1.1×
EV / EBITDA	-3.09×	-42.76×	33.98×	9.9×	9.28×	0×
Gross margin	15.6%	19.8%	20.8%	25.5%	19.8%	19.0%
Operating margin	-1.1%	-6.0%	1.1%	6.6%	3.7%	-12.2%
Net margin	-36.2%	-12.2%	-0.9%	6.6%	3.2%	-13.9%
Current ratio	0.98×	1×	1.61×	1.78×	1.35×	0×
Debt / equity	1.98×	0.88×	0.98×	0.02×	0.02×	0×
Interest coverage	-0.33×	-1.31×	0.46×	935.5×	571.5×	0×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020
Return on equity	-175.0%	-24.1%	-1.5%	5.6%	3.0%	0.0%
Return on invested capital	-1.7%	-5.9%	0.9%	4.0%	2.3%	0.0%
Return on assets	-36.3%	-9.2%	-0.6%	4.3%	2.2%	0.0%
Free cash flow yield	5.6%	14.2%	4.1%	1.0%	5.1%	6.3%
Earnings yield	-62.7%	-19.7%	-0.8%	6.6%	3.5%	-12.7%
Enterprise value	$2.5B	$2.7B	$4.7B	$2.8B	$2.8B	$0
Net debt / EBITDA	-1.16×	-16.8×	11.4×	-0.17×	-0.06×	0×
Cash conversion cycle (days)	78	71	108	121	104	0