Fortrea Holdings Inc. (FTRE) Stock — Forensic Analysis, Red Flags & Rating | Stockonomy · Stockonomy
Forensic Analysis · Healthcare / Pharmaceuticals / Biotech · as of Jun 27, 2026
Fortrea Holdings Inc. (FTRE)
A forensic read on Fortrea Holdings Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Distress
Financial health
-3.6
Altman Z-score
Clean
Earnings quality
4
Forensic signals
-79.1%
ROE
$1.7B
Market cap
Fortrea Holdings Inc. earns a D (Weak — demands caution) forensic quality grade, and its Altman Z-score is -3.6, placing it in the Distress zone. 4 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
-42%Return on invested capital.Return on invested capital is -42% and slipping from 4% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
3% of revStock-based comp load.Stock-based compensation ran 3% of revenue and 84% of free cash flow in FY2025. Heavy — a large slice of 'free cash flow' is really being paid out in stock, so the true owner cash per share is well below the headline.
+0.3%/yrShare-count dilution.Diluted share count changed +1% over the last 3 years to FY2024 (+0.3%/yr). Roughly flat — buybacks are about offsetting stock comp, not shrinking the count. Per-share value isn't being meaningfully helped or hurt by the count.
$798MGoodwill impairments.Took $798M of goodwill writedowns across 1 year(s) (FY2025 ($798M)). Writedowns mean past acquisitions underperformed what was paid for them — worth weighing on capital-allocation skill.
Key fundamentals
Net Margin-36.2%
Debt / Equity1.87x
Free Cash Flow$88.3M
Latest Revenue$2.72B
Return on Equity-175.0%
Revenue Growth YoY+1.0%
Go deeper — free with an account
The forensic grade and screens above are free — no account needed. An account adds the full interactive deep-dive on Fortrea Holdings Inc.:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about FTRE's filings — AI Q&A across the 10-K, 10-Qs & 8-Ks
🔒Interactive valuation — reverse-DCF sliders, Monte Carlo & scenario stress
🔒Calibrated 12-month price forecast, with the math shown