FOR
vs
S&P 500
FOR
S&P 500
Over the past 12 months, FOR has underperformed S&P 500, delivering a return of +3% compared to the S&P 500's +14% growth.
Stocks Performance
FOR vs S&P 500
Performance Gap
FOR vs S&P 500
Performance By Year
FOR vs S&P 500
Compare the stock's returns with its benchmark index and competitors. Gain insights into its relative performance over time.
Forestar Group Inc
Glance View
Forestar Group Inc., originally a part of the more diversified conglomerate Temple-Inland, has carved out a niche in the real estate sector as a nimble player focused on residential lot development. Positioned as a key supplier for homebuilders, the company’s core business lies in its strategic ability to transform raw land into ready-to-build residential lots. This process involves acquiring and entitling land, primarily in high-growth corridors across the United States, where urban sprawl and demand for new housing continue to rise. Forestar employs a disciplined investment approach focused on the fundamentals of land supply and demand, enabling it to deftly navigate the cyclical nature of the real estate market. Forestar's revenue model is intricately tied to its partnerships with national and regional homebuilders, providing these clients with a steady and scalable pipeline of lot inventory, thereby allowing them to focus on the vertical construction of homes. By selling entitled and developed lots, the company monetizes its inventory through both single-payment land sales and longer-term lot option contracts. This dual approach allows Forestar to maintain liquidity while capitalizing on future land value appreciation. Their strategic alignment with homebuilding giant D.R. Horton, which owns a controlling interest, further bolsters Forestar’s market position, providing a symbiotic relationship that enhances operational efficiency and accelerates market penetration. Through this efficient sales model, Forestar is well-positioned to capture value in a perpetually evolving housing market landscape.
