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

Forrester Research (NASDAQ:FORR) released its earnings results on Thursday. The technology company reported $0.17 EPS for the quarter, missing analysts’ consensus estimates of $0.21 by ($0.04), FiscalAI reports. The company had revenue of $101.06 million during the quarter, compared to analyst estimates of $103.26 million. Forrester Research had a positive return on equity of 9.18% and a negative net margin of 21.06%. Forrester Research updated its FY 2026 guidance to 0.720-0.820 EPS.

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

• Forrester’s AI momentum accelerated in Q4 — unique Forrester AI users rose 55% YoY, prompts were up 65%, AI Access booked over $5M since September and reportedly cuts deal cycle time by ~50%, helping win new and returning clients.
• Financial performance weakened: Q4 revenue fell 7% (to $101.1M) and full-year 2025 revenue declined 8% ($396.9M), with consulting and events especially pressured and operating income and EPS down materially year-over-year.
• Management is restructuring to align costs with revenue — exiting strategy consulting, reducing headcount by ~8%, taking $13.5M–$14M of associated charges — and expects 2026 revenue of $345M–$360M (down 9%–13%) and EPS of $0.72–$0.82.
• Company strategy for 2026 emphasizes returning to research contract value growth via a disciplined retention lifecycle, expanded product options (renaming Izola to Forrester AI, new Forrester Decisions versions, “AI Surge”), more actionable research (Blueprints), and smaller regional events.

Forrester Research Stock Down 5.3%

FORR stock opened at $6.21 on Friday. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.22. The firm has a 50-day moving average of $7.59 and a two-hundred day moving average of $8.57. Forrester Research has a 12 month low of $6.20 and a 12 month high of $13.32. The company has a market cap of $117.99 million, a price-to-earnings ratio of -1.38, a PEG ratio of 0.59 and a beta of 0.93.

Analysts Set New Price Targets

Several equities research analysts have weighed in on the company. Zacks Research raised Forrester Research from a “strong sell” rating to a “hold” rating in a research report on Monday, January 12th. Wall Street Zen upgraded Forrester Research from a “hold” rating to a “buy” rating in a research note on Saturday, February 7th. Finally, Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Forrester Research in a report on Monday, December 29th. One analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Reduce”.

Key Headlines Impacting Forrester Research

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

• Positive Sentiment: Company emphasized AI-led growth and new product momentum (Forrester AI Access), citing early strength in client adoption as a growth driver. Forrester Q4 Highlights
• Positive Sentiment: Management pointed to improvements in cash flow, client retention and client count and described a strategic shift toward AI research — these could support longer-term revenue mix improvement if execution continues. Business Wire: Q4 Results
• Neutral Sentiment: Full earnings call transcript is available for investors to review management’s details on restructuring, AI strategy and margin outlook. Useful for modeling near‑term cost impacts. Earnings Call Transcript
• Neutral Sentiment: Analyst write-ups and metric breakdowns provide context on the miss vs. prior year and estimates — helpful for assessing whether weakness is cyclical or structural. Zacks: Key Metrics
• Negative Sentiment: Q4 EPS of $0.17 missed consensus ~$0.21 and revenue of $101.06M missed estimates; net margin remained negative — an immediate driver of the stock decline. Earnings Miss Details
• Negative Sentiment: FY2026 guidance was cut to EPS $0.720–0.820 (consensus ~1.120) and revenue guidance to $345M–$360M (consensus ~$394.7M), indicating slower near‑term growth and pressuring valuation. Guidance & Strategic Shift
• Negative Sentiment: Company announced restructuring tied to the strategic shift; investors are selling into the combination of the miss, weaker guide and restructuring, and shares reportedly fell over 10% on the news. Shares Drop After Miss

Institutional Investors Weigh In On Forrester Research

A number of hedge funds have recently modified their holdings of the company. BNP Paribas Financial Markets raised its position in shares of Forrester Research by 402.0% during the 3rd quarter. BNP Paribas Financial Markets now owns 6,190 shares of the technology company’s stock valued at $66,000 after buying an additional 4,957 shares during the period. Marshall Wace LLP purchased a new stake in Forrester Research in the second quarter valued at $131,000. Jacobs Levy Equity Management Inc. acquired a new position in shares of Forrester Research in the 1st quarter valued at $149,000. Boothbay Fund Management LLC purchased a new position in shares of Forrester Research during the 3rd quarter worth $152,000. Finally, Jane Street Group LLC acquired a new stake in shares of Forrester Research during the 1st quarter worth about $178,000. Hedge funds and other institutional investors own 55.20% of the company’s stock.

About Forrester Research

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.