Forrester Research (NASDAQ:FORR) Announces Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Forrester Research (NASDAQ:FORR) released its quarterly earnings results on Thursday. The technology company reported $0.24 EPS for the quarter, topping the consensus estimate of $0.20 by $0.04, FiscalAI reports. Forrester Research had a positive return on equity of 4.99% and a negative net margin of 12.03%. The firm had revenue of $86.11 million for the quarter, compared to analyst estimates of $81.78 million.

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

• Q3 remained challenging operationally: revenue fell 9% year over year to $86.1 million, consulting revenue declined 31%, and adjusted EPS dropped 35% to $0.24. Contract value decreased 3.5%, although this was an improvement from the 7% decline a year earlier.
• Forrester issued a wider year-end contract value outlook ranging from a 2% decline to 2% growth, citing delayed U.S. federal deals, complex enterprise sales cycles, and the significant contribution of fourth-quarter bookings. Management said these factors create uncertainty but maintained confidence in achieving sustained growth in 2027.
• Retention and AI engagement improved: wallet retention rose to 89% and client retention to 78%, while Forrester AI prompts increased 142% year over year and users grew 65%. AI Access represented approximately 4% of contract value and is expected to reach about 5% by year-end, with higher margins than traditional offerings.
• Forrester launched Team Solutions and AI Access Plus and expanded its “Where You Work” strategy to Anthropic’s Claude, creating additional upsell and distribution opportunities. The company also raised the low end of full-year adjusted EPS guidance from $0.72 to $0.77 and repurchased approximately $10 million of stock during the quarter.

Forrester Research Trading Down 9.6%

NASDAQ FORR opened at $11.01 on Friday. Forrester Research has a 12 month low of $4.88 and a 12 month high of $12.75. The company has a debt-to-equity ratio of 0.29, a current ratio of 1.06 and a quick ratio of 1.06. The company has a market capitalization of $209.62 million, a price-to-earnings ratio of -4.65, a price-to-earnings-growth ratio of 2.29 and a beta of 0.99. The company’s fifty day moving average price is $11.80 and its two-hundred day moving average price is $8.60.

Forrester Research News Summary

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

• Positive Sentiment: Forrester reported third-quarter adjusted earnings of $0.24 per share, ahead of the roughly $0.20–$0.21 consensus, while revenue of $86.1 million also exceeded estimates. Forrester Research Q3 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management said the business is stabilizing, citing results above consensus, expense discipline and a strong stock-repurchase program. The company also raised the low end of its 2026 earnings guidance. Forrester Research Reports 2026 Third-Quarter Financial Results
• Neutral Sentiment: Contract value ended the quarter at $281.9 million, down 3.5% year over year. This indicates that stabilization has not yet translated into renewed growth in the company’s contracted business. Forrester Continues Revenue Slide
• Negative Sentiment: Revenue fell 8.7% year over year to $86.1 million, gross profit declined 8.8% to $51.6 million, and operating profit dropped 46.6% to $2.4 million. GAAP results included a $4.4 million net loss, or $0.23 per diluted share, highlighting pressure beneath the adjusted earnings beat. Forrester Research Releases Q3 2026 Earnings
• Negative Sentiment: Forrester used $0.6 million in operating cash flow and invested $12.0 million in property and equipment during the quarter. Reported insider activity also showed three sales and no purchases over the past six months. Forrester Research Q3 2026 Earnings Call Transcript

Analysts Set New Price Targets

A number of research analysts have recently commented on FORR shares. Wall Street Zen raised shares of Forrester Research from a “hold” rating to a “buy” rating in a research report on Saturday, August 29th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Forrester Research in a report on Monday. One research analyst has rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Forrester Research currently has an average rating of “Reduce”.

Insiders Place Their Bets

In other news, insider Ryan Darrah sold 5,000 shares of the business’s stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $11.78, for a total value of $58,900.00. Following the completion of the sale, the insider owned 27,244 shares of the company’s stock, valued at approximately $320,934.32. The trade was a 15.51% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 40.70% of the stock is currently owned by corporate insiders.

About Forrester Research

Forrester Research, Inc is a global research and advisory firm that provides business and technology leaders with insights, guidance and tools to support strategic decision-making. The company serves professionals across areas including technology management, marketing, customer experience, sales and product development.

Forrester’s offerings include syndicated research, proprietary data and analysis, consulting services, advisory support, executive peer exchanges, events and subscription-based access to its research platform.