Forestar Group Earnings: What Investors Should Watch

Forestar Group (NYSE:FOR) will report earnings before markets open on Wednesday, May 8th. Forestar Group, Inc. invests in real estate, oil and natural gas producing properties, and forested land. The Company develops residential and mixed-use communities; receives royalties from oil and natural gas producing properties in the southern United States; and sells wood fiber from its forests.

Here is your Cheat Sheet to Forestar Group Earnings:

Earnings Expectations: Analysts expect earnings of $0.02 per share on revenues of $49.42 million. Currently, the company’s P/E ratio stands at 58.31.

Analyst Trends:

Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.19 to a profit $0.24. For the current year, the average estimate is a profit of $0.59, which is better than the estimate ninety days ago.

Earnings Trends:

Here’s how Forestar Group has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 159.72 146.25 101.36 135.57 172.59
Diluted EPS ($) 0.33 1.64 0.14 0.20 0.36

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 54.01 28.09 35.31 40.61 68.58
Diluted EPS ($) -0.6499 0.08 0.02 -0.02 0.2817

Past Performance:
Forestar Group has beat analyst estimates 2 times in the past four quarters. This is not consistent enough to get bullish yet.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]