FTRE

Healthcare

Fortrea Holdings Inc. · Biotechnology · $1B

UQS Score — Balanced Preset
36.6
Below Average

Fortrea Holdings Inc. scores 36.6/100 using the Balanced preset.

UQS vs Healthcare Sector
FTRE
36.6
Sector avg
32.4
Quality
Weak
Moat
Weak
Growth
Weak
Risk
Neutral
Valuation
Attractive

What is Fortrea Holdings Inc.?

Fortrea Holdings is a contract research organization spun into an independent company in 2023, headquartered in Durham, North Carolina. It helps pharmaceutical, biotechnology, and medical device companies navigate the clinical development process from early-phase studies through post-approval work.

Fortrea generates revenue by providing outsourced clinical trial services to drug and device developers. Its Clinical Services segment covers the full spectrum from early clinical pharmacology studies through late-stage development. Its Enabling Services segment delivers patient access solutions and clinical trial technology that streamline randomization and drug supply logistics. Clients can engage Fortrea through full-service, functional service provider, or hybrid delivery models, giving sponsors flexibility in how they outsource trial operations.

Fortrea was incorporated in 2023 and is headquartered in Durham, North Carolina.

  • Phase I–IV clinical trial management
  • Clinical pharmacology and early-phase studies
  • Patient access and randomization technology solutions
  • Trial drug supply optimization services
  • Post-approval and regulatory support services

Is FTRE a Good Stock to Buy?

UQS Score rates FTRE as Below Average overall.

The most constructive element of Fortrea's current profile is its Valuation pillar, which is rated Attractive — suggesting the market may already be pricing in the company's near-term challenges. The Risk pillar sits at Neutral, indicating the balance sheet and operational risk profile is not at an extreme level relative to peers.

Quality, Moat, and Growth are all rated Weak, reflecting the pressures facing a newly independent CRO that is still building its competitive positioning and financial track record.

See the exact pillar breakdown and underlying financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does FTRE pay dividends?

No — Fortrea Holdings Inc. does not currently pay a dividend.

Fortrea does not currently pay a dividend. As a recently spun-off contract research organization still establishing its independent operating structure, the company is focused on reinvesting resources into building its service capabilities and client base rather than returning cash to shareholders through distributions.

When does FTRE report earnings?

Fortrea reports earnings on a quarterly cadence, consistent with standard practice for US-listed equities.

As a newly independent company, Fortrea's quarterly results are closely watched for signs of revenue stabilization and margin improvement. Investors tend to focus on client win rates and backlog trends as forward-looking indicators of business momentum.

For the most recent quarter's results and guidance, visit Fortrea's investor relations page directly.

FTRE Price History

-69.7% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Fortrea Holdings Inc.?

$
Today it would be worth
$19,509
That's a +95.1% total return, or +95.1% annualized.

Based on Fortrea Holdings Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

FTRE Long-term Outlook

Fortrea's Growth pillar is currently rated Weak, reflecting the operational and commercial challenges typical of a newly independent CRO finding its footing. The Attractive Valuation rating suggests downside may be limited if the company can demonstrate improving execution over coming quarters. The Neutral Risk rating provides some stability to the outlook, though the Weak Moat rating means competitive pressures from larger, more established peers remain a meaningful headwind.

Growth drivers

  • Expanding outsourced clinical trial demand from biotech and pharma sponsors
  • Technology-enabled trial solutions differentiating service delivery
  • Potential margin improvement as the company matures post-spinoff

Key risks

  • Intense competition from larger, better-resourced CRO peers
  • Client concentration risk typical of newly independent service firms
  • Execution risk during the ongoing post-spinoff operational transition

FTRE vs Peers

Fortrea operates in a competitive life sciences services landscape alongside a range of biopharmaceutical-focused companies.

OMERFTRE scores lower
Omeros Corporation

Omeros is a clinical-stage biopharmaceutical company focused on developing its own drug candidates, rather than providing outsourced development services.

ZBIOFTRE scores higher
Zenas BioPharma, Inc.

Zenas BioPharma is an emerging biopharma company building its own pipeline, representing the sponsor-side of the clinical development relationship that Fortrea serves.

JANXFTRE scores higher
Janux Therapeutics, Inc.

Janux Therapeutics focuses on proprietary oncology drug discovery, operating as a potential customer profile for CRO services rather than a direct service competitor.

Frequently Asked Questions

What does Fortrea Holdings do?

Fortrea is a contract research organization that helps pharmaceutical, biotechnology, and medical device companies run clinical trials. It provides services ranging from early-phase clinical pharmacology studies to late-stage trial management and post-approval support, along with technology solutions that streamline trial logistics.

Does FTRE pay dividends?

Fortrea does not currently pay a dividend. The company was only incorporated in 2023 and is in the early stages of operating independently, prioritizing reinvestment in its service platform over shareholder distributions.

When does FTRE report earnings?

Fortrea reports on a quarterly cadence like most US-listed companies. For the exact schedule and most recent results, check the investor relations section of Fortrea's official website.

Is FTRE a good stock to buy?

UQS Score rates FTRE as Below Average, with Weak readings across Quality, Moat, and Growth pillars. The Valuation pillar is Attractive, which may interest investors willing to accept higher uncertainty. The full pillar breakdown is available to UQS Pro members.

Is FTRE overvalued?

Based on the UQS Valuation pillar, FTRE is currently rated Attractive, suggesting the stock is not considered expensive relative to its fundamentals at this time. This is one of the more constructive signals in an otherwise Below Average overall profile.

How does FTRE compare to its competitors?

Fortrea competes in the broader clinical development services space. Compared to companies like Omeros, Zenas BioPharma, and Janux Therapeutics — which are primarily drug developers rather than service providers — Fortrea's business model is differentiated by its outsourced CRO focus. UQS Pro members can view side-by-side quality comparisons.

What is FTRE's market cap bracket?

Fortrea is currently classified as a small-cap company. This places it in a segment of the market that can offer growth potential but typically carries higher volatility and liquidity risk compared to large- or mega-cap peers.

Who founded Fortrea Holdings?

Fortrea Holdings was incorporated in 2023 as a spinoff from Labcorp, establishing itself as an independent contract research organization. Details on the founding leadership team are publicly available through Fortrea's investor relations and corporate history pages.

Is FTRE a long-term quality investment?

From a long-term quality standpoint, FTRE's current UQS profile is Below Average, with Weak scores across Quality, Moat, and Growth. Investors focused on durable business quality may want to monitor whether the company can strengthen these pillars as it matures post-spinoff.

What is the main competitive advantage of Fortrea?

Fortrea's differentiation lies in its flexible delivery models — full service, functional service provider, and hybrid — combined with technology-enabled trial solutions. However, the UQS Moat pillar is currently rated Weak, suggesting this advantage has not yet translated into a clearly defensible competitive position.

What sector does FTRE belong to?

Fortrea operates in the Healthcare sector, specifically within the contract research and clinical development services industry. It serves pharmaceutical, biotechnology, and medical device organizations globally.

Is FTRE a growth stock or value stock?

Based on UQS pillar ratings, FTRE's Growth pillar is Weak while its Valuation pillar is Attractive — a combination that may appeal to value-oriented investors looking for a turnaround candidate, rather than those seeking confirmed growth momentum.

Unlock Full FTRE Analysis

Sign in to unlock the detailed analysis behind the UQS Score.

  • View the exact UQS Score and all five pillar ratings
  • Access underlying financial metrics driving each pillar
  • Compare FTRE side-by-side with sector peers
  • Track score changes across quarterly reporting cycles
  • Filter small-cap healthcare stocks by quality tier
  • Get the complete analyst-style view in one dashboard
Analyze FTRE in Detail →

Pro Analysis

FTRE — Score History

30354045Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 12 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 22, 202636.623.316.027.053.689.0+1.1
May 7, 202635.523.316.026.955.180.2-1.2
May 3, 202636.723.316.026.955.188.5-1.3
Apr 26, 202638.023.316.026.955.196.8+0.4
Apr 22, 202637.623.316.026.955.194.5-0.1
Apr 19, 202637.723.316.026.955.194.6-0.5
Apr 14, 202638.223.316.026.955.198.5-0.2
Apr 12, 202638.423.316.026.955.199.3+0.2
Apr 11, 202638.223.316.026.955.198.3-0.1
Apr 9, 202638.323.316.026.955.198.80.0

FTRE — Pillar Breakdown

Quality

23.3/100 (25%)

Fortrea Holdings Inc. currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationStrong

Free cash flow relative to market value.

Growth

27.0/100 (20%)

Fortrea Holdings Inc. faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookWeak

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

53.6/100 (15%)

Fortrea Holdings Inc. has some risk factors including moderate leverage or solvency concerns.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

88.7/100 (15%)

Fortrea Holdings Inc. appears attractively valued relative to its earnings, cash flows, and sector peers.

Earnings YieldStrong

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowStrong

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

Moat

16/100 (25%)

Fortrea Holdings Inc. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for FTRE.

Score Composition

Quality
23.3×25%5.8
Growth
27.0×20%5.4
Risk
53.6×15%8.0
Valuation
88.7×15%13.3
Moat
16.0×25%4.0
Total
36.6Below Average

Financial Data

More Stock Analysis

How is the FTRE UQS Score Calculated?

The UQS (Unified Quality Score) for Fortrea Holdings Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Fortrea Holdings Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Fortrea Holdings Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.