Formula Systems (1985) Ltd.

Fundamentals6.0
Price Action6.0
News Sentiment0.0
AI Rating
5.0

Key Drivers

  • Strong FCF
  • High leverage
  • Large receivables

AI
AI Summary

5.0

FORTY has shifted from a clean growth story into a leverage-driven cash-conversion trade—strong FCF and improved short-term liquidity offer a credible path to deleveraging, but persistent gross-margin decline and oversized receivables mean investors should demand clear margin stabilization, receivables normalization, and covenant/maturity visibility before validating the stock's expanded multiples.

CashConversion
MarginRisk
Leverage‍

Price Chart

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Financial Metrics

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Revenue (TTM)
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Net Income (TTM)
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EPS (Q)
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MCAP

Deep Analysis

Research tool. Not personalized advice.

Fundamental Analysis

6.0

Key Financial Insights:

  • Strong FCF
  • High leverage
  • Large receivables

FORTY is cash‑generative with strong FCF and decent ROE but is hampered by low net margins, high leverage, rising valuation multiples and concentrated receivables/deferred revenue that elevate risk.

StrongFCF
HighLeverage

Price Behavior

6.0
Research tool. Not personalized advice. Technical analysis is for informational purposes only.

Key Price Behavior Insights:

  • Higher lows
  • Mid‑130s resistance
  • Defended 120–126

Over the last month FORTY has trended mildly upward from about $120.70 to $130.50, with key resistance in the mid-$130s and support clustered in the mid-$115s/120–126 area, neutral-to-firm momentum supporting upside but a prior early‑February drop from >$160 to ~ $115 signals event-driven downside risk.

Recovery
Vulnerable
Support Level: $115–$126
Resistance Level: $135 (mid‑$130s)

Sharp sell-off from >$160 (early

Sentiment & News

0.0