Formula Systems (1985) Ltd.

FORTY Technology Information Technology Services

Formula Systems (1985) Ltd.’s revenue for fiscal 2025 (year ended December 2025) was $2.6 billion, up 18.4% from fiscal 2024. In the quarter to June 2026, revenue grew 29.8%, EPS grew 55.1%, free cash flow grew 1,330.8% and total debt rose 1.98%, each against the same quarter a year earlier. Operating cash flow growth for three consecutive years.

112.11 2.48 −2.16%
Market cap
$1.8B
P/E
2.7×
Fwd P/E
13.9×
Dividend yield
1.92%
F-score
6/9
Altman Z
2.48
Beneish M
−2.92
Dividend safety
77/100
Dec '16 Dec '17 Dec '18 Dec '19 Dec '20 Dec '21 Dec '22 Dec '23 Dec '24 Dec '25
P/E ratio
25.59 57.77 16.27 26.66 27.94 34.73 13.25 15.52 17.08 4.22
Piotroski F-Score
6 4 6 5 6 7 6 7 5 6
P/S ratio
0.52 0.46 0.35 0.61 0.68 0.79 0.42 0.38 0.61 0.97
Altman Z-Score
2.06 1.88 1.89 1.91 1.91 2.19 2.02 2.01 1.83 2.48
Altman Z″-Score (non-manufacturers)
3.54 2.94 2.95 2.60 2.69 2.57 2.79 2.95 2.64 3.94
P/FCF ratio
5.32 3.64 4.24 4.03 2.71 2.91 1.35 1.10 4.28 3.86
Beneish M-Score
(2.37) (2.52) (2.42) (2.60) (2.70) (2.40) (2.60) (2.63) (2.51) (2.92)
P/Operating CF
7.62 16.06 9.45 18.64 23.51 34.09 19.42 17.90 4.20 6.69
Dividend Safety Score
— — — — — — — — — 77
P/B ratio
0.79 0.80 0.65 1.16 1.18 1.61 0.92 0.76 0.98 1.44
Price to Tangible BV
5.71 0.00 37.07 151.08 94.32 379.33 38.52 6.04 6.91 2.60
EV/Sales
0.32 0.52 0.41 0.66 0.68 0.82 0.45 0.38 0.58 0.65
EV/EBITDA
4.00 8.36 5.00 8.13 7.73 9.47 4.19 4.21 6.97 8.75
EV/Operating CF
2.74 3.33 3.74 3.55 2.33 2.63 1.24 0.98 2.87 2.18
EV/FCF
3.30 4.14 4.93 4.38 2.73 3.02 1.45 1.12 4.02 2.59
Quick Ratio
1.75 1.60 1.48 1.43 1.46 1.35 1.34 1.35 1.28 1.61
Current Ratio
1.76 1.60 1.49 1.44 1.49 1.37 1.37 1.40 1.31 1.63
Net Debt/EBITDA
(1.80) 0.72 0.54 0.39 0.05 0.22 0.20 0.04 (0.28) (2.40)
Debt/Assets
4.33% 22.06% 22.91% 23.65% 21.64% 21.34% 23.18% 19.25% 15.90% 12.32%
Debt/Equity
0.08 0.45 0.47 0.55 0.49 0.50 0.55 0.41 0.35 0.25
Asset Turnover
0.86 0.93 0.93 0.91 0.84 0.91 0.93 0.93 0.76 0.80
Operating CF/Net income
3.34 7.83 2.55 5.05 6.13 3.83 2.94 4.61 4.07 0.63
Capex/Depreciation
(0.52) (0.43) (0.41) (0.40) (0.29) (0.24) (0.34) (0.25) (0.25) (0.18)
Interest Coverage
5.03 2.44 6.92 6.17 5.80 6.94 10.16 5.68 5.25 3.09
ROE
3.14% 1.38% 4.10% 4.56% 4.67% 4.77% 6.91% 5.15% 5.91% 38.30%
ROA
1.75% 0.71% 2.01% 2.07% 2.03% 2.07% 2.94% 2.28% 2.73% 18.38%
ROIC
10.91% 5.31% 7.68% 8.78% 9.52% 10.37% 13.77% 11.32% 8.78% 13.07%
Return on Tangible Assets
7.46% 3.55% 11.37% 11.51% 10.63% 13.27% 19.13% 14.45% 19.90% 68.68%
Average Days of Receivables
116.56 116.00 117.82 118.38 113.94 116.65 108.87 112.20 146.95 118.80
Research and Development Expense of Revenue
2.01% 2.94% 2.76% 2.74% 2.72% 2.74% 2.80% 2.97% 0.81% 0.76%
Selling, General and Administrative Expense of Revenue
13.35% 13.59% 12.22% 11.81% 11.59% 12.06% 12.36% 12.45% 11.26% 11.88%
Intangible Assets out of Total Assets
0.46 0.50 0.48 0.43 0.43 0.43 0.41 0.41 0.40 0.22
Share Based Compensation of Revenue
0.40% 0.34% 0.27% 0.23% 0.40% 0.61% 0.58% 0.71% 0.73% 1.19%
Graham Net Nets
0.01 (0.16) (0.15) (0.22) (0.19) (0.14) (0.23) (0.13) (0.10) 0.14
Graham Number
42.41 29.86 51.89 58.30 70.66 78.73 96.06 89.78 103.16 321.75
Earnings Yield
3.91% 1.73% 6.14% 3.75% 3.58% 2.88% 7.55% 6.44% 5.85% 23.72%
Free Cash Flow Yield
18.80% 27.47% 23.60% 24.79% 36.91% 34.36% 74.15% 90.81% 23.35% 25.91%
Revenue per Share
78.00 93.87 101.29 111.99 126.52 157.25 168.17 171.29 144.95 171.61
Operating CF per Share
5.27 5.62 5.60 12.91 18.77 13.68 15.63 19.28 21.20 24.96
Capex per Share
(1.19) (1.31) (1.37) (2.30) (1.84) (1.88) (2.53) (2.02) (1.89) (1.82)
Free Cash Flow per Share
4.08 4.31 4.23 10.61 16.93 11.79 13.11 17.25 19.31 23.13
Cash per Share
19.40 18.07 20.03 26.67 34.88 33.52 37.20 34.52 36.80 83.64
Shareholders Equity per Share
50.92 53.54 54.64 59.01 72.52 77.16 76.94 85.50 90.78 116.13
Interest Debt per Share
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Book value per Share
50.92 53.54 54.64 59.01 72.52 77.16 76.94 85.50 90.78 116.13
Free Cash Flow
58.01 62.18 62.40 161.16 258.83 180.32 200.45 264.01 295.49 354.15
Working Capital
274.62 261.85 255.57 294.11 380.97 354.52 370.51 390.19 348.57 835.49
Capital Expenditures
(16.95) (18.91) (20.19) (34.93) (28.11) (28.77) (38.68) (30.95) (28.96) (27.89)
Net Current Asset Value
2.98 (95.91) (78.05) (227.42) (250.67) (266.66) (245.53) (128.56) (138.51) 360.36
EV/EBIT
4.00 9.63 5.58 8.13 7.73 9.47 4.19 4.21 6.97 8.75
Capex to Sales
0.02 0.01 0.01 0.02 0.01 0.01 0.02 0.01 0.01 0.01
Price to Operating Income
6.45 8.48 4.79 7.48 7.66 9.11 3.90 4.16 7.43 13.02
Other line items
Depreciation/Fixed assets
1.24 1.46 1.67 2.02 1.61 2.15 2.10 2.30 2.23 3.20
Cash ROIC
5.48% 4.51% 4.21% 8.97% 11.83% 7.91% 8.37% 11.10% 12.15% 10.12%
Accounts Receivable Turnover
3.39 3.45 3.27 3.29 3.35 3.50 3.35 3.33 2.61 3.01
Accounts Payable Turnover
7.42 7.84 7.22 7.29 7.24 7.24 6.55 6.17 4.88 4.40
Inventory Turnover
194.03 291.87 322.98 210.11 91.13 81.42 69.14 51.23 48.74 69.14
Average Days of Payables
52.13 51.21 54.32 52.27 54.58 56.77 57.81 61.25 81.18 97.68
Days of Inventory on Hand
1.70 1.14 1.22 2.40 5.89 4.21 6.59 7.75 6.33 5.24
Average Receivables
327.38 392.35 456.31 516.82 577.71 686.07 767.85 786.47 849.40 874.10
Average Payables
114.50 134.94 160.53 180.46 205.32 254.27 297.53 320.30 363.02 479.20
Average Inventory
4.38 3.63 3.59 6.26 16.31 22.60 28.20 38.59 36.37 30.49
Average Assets
1,284.96 1,459.08 1,614.09 1,876.90 2,304.67 2,634.32 2,771.26 2,803.28 2,913.75 3,299.08
Average Common Equity
714.56 748.38 789.16 850.87 1,002.44 1,144.17 1,178.35 1,242.55 1,348.77 1,583.57

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