Formula Systems (1985) (FORTY) Fundamental Analysis: Revenue, Earnings & Valuation

4.46 / 10

Netural

Fundamental assessment rates 4.5/10, indicating average health. Strengths include a quick ratio of 1.58 and days sales outstanding of 112 days. Weaknesses are high inventory turnover days (5) and a long‑term debt to working‑capital ratio of 0.60, limiting leverage.

Analysis Checks(6/10)

Asset-liability ratio (%)

Value52.59

Score1/3

Weight-0.35%

1M Return-0.10%

Shareholders’ equity attributable to parent company / Total liabilities (%)

Value0.44

Score2/3

Weight5.44%

1M Return1.55%

Operating cycle

Value116.68

Score1/3

Weight-0.51%

1M Return-0.14%

Days sales outstanding

Value111.68

Score3/3

Weight18.95%

1M Return5.51%

Quick ratio

Value1.58

Score2/3

Weight2.51%

1M Return0.74%

Long-term debt to working capital ratio (%)

Value0.60

Score1/3

Weight1.22%

1M Return0.35%

Interest coverage ratio (EBIT / Interest expense) (%)

Value5.93

Score3/3

Weight9.26%

1M Return2.60%

Asset-MV

Value-0.49

Score2/3

Weight51.66%

1M Return10.28%

Inventory turnover days

Value5.00

Score1/3

Weight2.98%

1M Return0.88%

Net profit / Total profit (%)

Value108.82

Score2/3

Weight8.84%

1M Return2.32%

Is FORTY fundamentally strong?

FORTY scores 4.46/10 on fundamentals and holds a Fair valuation at present. Backed by its 38.05% ROE, 25.79% net margin, 2.79 P/E ratio, 0.94 P/B ratio, and 659.20% earnings growth, these metrics solidify its Netural investment rating.