Forrester Research (NASDAQ:FORR) Announces Earnings Results

Forrester Research (NASDAQ:FORR) posted its quarterly earnings data on Thursday. The technology company reported $0.40 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.27 by $0.13, FiscalAI reports. Forrester Research had a positive return on equity of 6.65% and a negative net margin of 13.74%.The company had revenue of $100.23 million for the quarter, compared to the consensus estimate of $96.91 million. Forrester Research updated its FY 2026 guidance to 0.720-0.820 EPS.

Here are the key takeaways from Forrester Research’s conference call:

• Second-quarter revenue fell 10% to $100.2 million, with research revenue down 8% and non-CV businesses down 15%. Operating income declined 24% and EPS fell 22% year over year.
• Contract value decreased 3% for the second consecutive quarter, while wallet retention was flat and client retention declined one point sequentially; management expects CV growth by year-end.
• Forrester maintained its full-year 2026 guidance of $350 million-$360 million in revenue, 6%-6.5% operating margins, and $0.72-$0.82 in EPS, citing improving retention, a growing pipeline, and planned product launches.
• Forrester AI adoption accelerated: users rose 69% year over year, prompts increased 105%, and AI became the dominant way Forrester Decisions clients accessed research. Forrester AI Access has generated approximately $10 million in bookings since its launch.
• The company restarted share repurchases, buying approximately $1 million of stock in the quarter and planning to accelerate repurchases during the second half; it ended the quarter with more than $130 million in cash and $35 million in debt.

Forrester Research Stock Performance

Shares of FORR traded down $0.52 during mid-day trading on Thursday, hitting $9.74. The stock had a trading volume of 108,942 shares, compared to its average volume of 125,264. Forrester Research has a fifty-two week low of $4.88 and a fifty-two week high of $11.57. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 0.33. The company has a market cap of $189.05 million, a PE ratio of -3.44, a PEG ratio of 1.95 and a beta of 0.97. The company’s fifty day simple moving average is $8.25 and its two-hundred day simple moving average is $7.09.

Hedge Funds Weigh In On Forrester Research

Large investors have recently added to or reduced their stakes in the company. Corient Private Wealth LLC acquired a new position in Forrester Research in the fourth quarter worth $93,000. Occudo Quantitative Strategies LP acquired a new stake in shares of Forrester Research during the fourth quarter worth $93,000. Oxford Asset Management LLP acquired a new stake in shares of Forrester Research during the fourth quarter worth $113,000. First Manhattan CO. LLC. bought a new position in shares of Forrester Research in the 4th quarter worth about $708,000. Finally, Bridgeway Capital Management LLC lifted its position in shares of Forrester Research by 2.7% in the 4th quarter. Bridgeway Capital Management LLC now owns 150,859 shares of the technology company’s stock worth $1,225,000 after buying an additional 4,000 shares during the last quarter. 55.20% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Separately, Weiss Ratings upgraded shares of Forrester Research from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Tuesday. One equities research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Forrester Research currently has an average rating of “Reduce”.

Forrester Research News Summary

Here are the key news stories impacting Forrester Research this week:

• Positive Sentiment: Forrester earned $0.40 per share, exceeding the $0.27 consensus estimate, while revenue of $100.23 million also surpassed expectations of $96.91 million. Forrester Research Surpasses Q2 Earnings and Revenue Estimates
• Positive Sentiment: Full-year 2026 EPS guidance of $0.72-$0.82 is above the prior consensus estimate of $0.69, supporting the earnings outlook. Revenue guidance of $350 million-$360 million broadly brackets the $356.5 million consensus. Forrester Research Reports 2026 Second-Quarter Financial Results
• Positive Sentiment: Management cited accelerated adoption of Forrester AI and stabilization in key business metrics, potentially providing a growth catalyst as the company navigates the broader AI transition. Forrester Research Reports 2026 Second-Quarter Financial Results
• Neutral Sentiment: Director Neil Bradford retired from the board on July 28. The change occurs during Forrester’s AI-focused transition, but no immediate financial impact was disclosed. Forrester Announces Board Change Amid AI Transition
• Negative Sentiment: Contract value fell 3% year over year to $283.2 million, signaling continued pressure on recurring business and potentially limiting the durability of the earnings beat. Quarterly EPS also declined from $0.51 a year earlier, while the company still posted a negative net margin of 13.74%. Forrester Second-Quarter Financial Results

Forrester Research Company Profile

Forrester Research, Inc is a leading global research and advisory firm that provides insights and guidance to business and technology leaders. Founded in 1983 and headquartered in Cambridge, Massachusetts, the company offers a wide range of services designed to help clients understand market dynamics, evaluate technology investments and develop customer-centric strategies. Forrester’s core offerings include syndicated research reports, bespoke advisory services, consulting engagements and data-driven analytics.

Through its extensive research practice, Forrester produces in-depth analyses of emerging technologies, industry trends and best practices across sectors such as information technology, marketing, customer experience and digital business.