FORTY:NGS-Formula Systems (1985) Ltd. ADS represents 1 ordinary shares (USD)

EQUITY | Information Technology Services | Nasdaq Global Select

Last Closing

USD 104.78

Change

+2.95 (+2.90)%

Market Cap

USD 0.59B

Volume

303.00
Analyst Rating

Verdict

ducovest Verdict

Verdict

About

Formula Systems (1985) Ltd is an IT solutions & services holdings company. It is engaged in providing software solutions and services, software product marketing and support, computer infrastructure and integration solutions and learning and integration.

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2025-05-20 )

Largest Industry Peers for Information Technology Services

Symbol Name Price(Change) Market Cap
CTSH Cognizant Technology Solutions..

-0.78 (-0.98%)

USD 39.03B
AUR Aurora Innovation Inc

-0.09 (-1.49%)

USD 13.69B
JKHY Jack Henry & Associates Inc

+0.16 (+0.09%)

USD 12.68B
EXLS ExlService Holdings Inc

-0.28 (-0.61%)

USD 7.41B
PONY Pony AI Inc. American Deposita..

-3.18 (-15.44%)

USD 5.77B
GDS GDS Holdings Ltd

+0.34 (+1.21%)

USD 4.41B
VRRM Verra Mobility Corp

-0.30 (-1.26%)

USD 3.78B
CNXC Concentrix Corporation

-0.49 (-0.87%)

USD 3.02B
APLD Applied Digital Corporation

-0.12 (-1.60%)

USD 1.53B
VNET VNET Group Inc DRC

-0.06 (-0.99%)

USD 1.45B

ETFs Containing FORTY

N/A

Market Performance

  Market Performance vs. Industry/Classification (Information Technology Services) Market Performance vs. Exchange (Nasdaq Global Select)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 17.73% 80% B- 85% B
Dividend Return 1.06% 56% F 55% F
Total Return 18.79% 80% B- 85% B
Trailing 12 Months  
Capital Gain 29.02% 61% D- 82% B
Dividend Return 1.93% 50% F 43% F
Total Return 30.95% 64% D 83% B
Trailing 5 Years  
Capital Gain 37.72% 50% F 60% D-
Dividend Return 8.16% 27% F 22% F
Total Return 45.89% 46% F 57% F
Average Annual (5 Year Horizon)  
Capital Gain 2.40% 50% F 50% F
Dividend Return 3.72% 47% F 50% F
Total Return 1.32% 38% F 34% F
Risk Return Profile  
Volatility (Standard Deviation) 25.06% 83% B 68% D+
Risk Adjusted Return 14.86% 56% F 51% F
Market Capitalization 0.59B 76% C+ 78% C+

Key Financial Ratios

  Ratio vs. Industry/Classification (Information Technology Services) Ratio vs. Market (Nasdaq Global Select)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 7.80 74% 47%
Price/Book Ratio 2.19 60% 42%
Price / Cash Flow Ratio 5.30 58% 40%
Price/Free Cash Flow Ratio 5.66 76% 47%
Management Effectiveness  
Return on Equity 14.37% 72% 84%
Return on Invested Capital 22.58% 93% 87%
Return on Assets 5.80% 68% 86%
Debt to Equity Ratio N/A N/A N/A

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

What to not like:
Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Below median total returns

The company has under performed its peers on annual average total returns in the past 5 years.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector