Formula Systems (1985) Announces $0.3565 Dividend on Ex-Dividend Date of December 30, 2025, With Positive Historical Recovery Patterns

Tuesday, Dec 30, 2025 2:54 am ET1min read
Aime RobotAime Summary

- Formula Systems (1985) announced a $0.3565/share cash dividend with a December 30, 2025 ex-dividend date.

- Strong Q4 results ($1.66B revenue, $118M operating income) support sustainable payouts and historical 83% 15-day price recovery.

- Stock price typically drops by dividend amount post-ex-date, but rapid recovery patterns suggest continued investor demand.

- Investors may consider dividend capture strategies given 2.8-day average recovery, though timing aligns with ex-dividend date.

Introduction

Formula Systems (1985) has announced a cash dividend of $0.3565 per share on its common stock, with the ex-dividend date set for December 30, 2025. This marks a continuation of the company’s consistent dividend policy amid strong operating performance and profitability in its latest financial report.

Dividend Overview and Context

The dividend is a cash payout of $0.3565 per share, with no stock dividend component. Investors should note that on the ex-dividend date (December 30), the stock price is expected to typically adjust downward by the dividend amount (minus potential market sentiment and liquidity factors). This pricing mechanism is standard in U.S. equity markets and aligns with the mechanics of dividend-adjusted share valuations.

Backtest Analysis

The backtest of historical dividend events for FORTY shows a strong and consistent recovery pattern. Based on six dividend events, the average dividend recovery duration is 2.8 days, with an 83% probability of full recovery within 15 days post ex-dividend date. This indicates robust demand for the stock post-dividend payout.

Driver Analysis and Implications

Internal Drivers

Formula Systems (1985) reported strong operating performance in the latest financial period, with $1.66 billion in total revenue and operating income of $118.14 million. Net income attributable to common shareholders was $59.62 million, and basic earnings per share totaled $3.91. The company’s operating expenses were $206.33 million, with a clear breakdown of marketing and general administrative expenses ($184.56 million) and R&D costs ($11.85 million). These figures support the company’s ability to sustain dividend payments.

Broader Market and Macro Trends

No sector or macro trends are explicitly detailed in the provided inputs, so no external contextual linkage can be made at this time.

Investment Strategies and Considerations

Given the ex-dividend date aligning with the article date, investors may consider the dividend capture strategy with caution due to the timing. The stock’s historical quick price recovery could support short-term trading around the ex-dividend date. Long-term investors may focus on the company’s solid operating performance and profitability as indicators of a sustainable dividend.

Conclusion & Outlook

Formula Systems (1985) has delivered a robust dividend of $0.3565, supported by strong operating results and a historically favorable recovery pattern following ex-dividend dates. Investors should take note of the ex-dividend mechanics and historical price behavior when evaluating their strategies.

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