Forestar Group Inc. FOR

Company Overview

Forestar Group Inc. is a U.S.-based residential lot development company that operates within the real estate and homebuilding supply industries. The company primarily focuses on acquiring, entitling, developing, and selling residential lots to homebuilders, with a significant portion of its revenue derived from lot sales to D.R. Horton, Inc., its controlling shareholder. Forestar’s operations are closely tied to U.S. housing demand, particularly in high-growth metropolitan areas, and its business model emphasizes capital-efficient development and rapid asset turnover.

Founded in 1955 and originally involved in energy and natural resources, Forestar underwent a strategic transformation over several decades. The company exited its legacy oil and gas and mineral interests and repositioned itself as a pure-play residential lot developer. This evolution accelerated after D.R. Horton acquired a controlling interest, aligning Forestar’s strategy with the nation’s largest homebuilder and providing a stable, recurring customer base and access to development capital.