Is Formula Systems Stock a Good Investment?
Formula Systems Investment Advice | FORTY |
- Examine Formula Systems' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Formula Systems' leadership team and their track record. Good management can help Formula Systems navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Business Services space and any emerging trends that could impact Formula Systems' business and its evolving consumer preferences.
- Compare Formula Systems' performance and market position to its competitors. Analyze how Formula Systems is positioned in terms of product offerings, innovation, and market share.
- Check if Formula Systems pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Formula Systems' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Formula Systems 1985 stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Formula Systems 1985 is a good investment.
Sell | Buy |
Examine Formula Systems Stock
Researching Formula Systems' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). The book value of the company was currently reported as 37.65. The company last dividend was issued on the 2nd of June 2023.
To determine if Formula Systems is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Formula Systems' research are outlined below:
| Formula Systems 1985 generated a negative expected return over the last 90 days | |
| Formula Systems 1985 is unlikely to experience financial distress in the next 2 years | |
| Formula Systems 1985 has a strong financial position based on the latest SEC filings |
Formula Systems uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Formula Systems 1985. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Formula Systems' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 16th of November 2023 Upcoming Quarterly Report | View | |
| 30th of September 2023 Next Fiscal Quarter End | View |
Formula Systems' SEC filings
Before you invest in Formula Systems, make sure you check Formula Systems'recent SEC filings. These artifacts are important regulatory documents required of all public companies to provide to potential investors. Formula Systems prospectus issued under the guidelines of the SEC is a legal declaration of facts and statements to ensure that Formula Systems investors are not misled. SEC filings are required by law to meet strict transparency standards and other important legal constraints. Although many companies may choose careful wording to disguise some material information, SEC filings make crucial Formula Systems' specific information freely available to individual and institutional investors to make a timely investment decision.
| 17th of August 2023 Other Events. Unclassified Corporate Event | View | |
| 7th of August 2023 Unclassified Corporate Event | View |
Formula Systems' market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 1.15 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Formula Systems's market, we take the total number of its shares issued and multiply it by Formula Systems's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.Market Cap |
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Formula Systems' profitablity analysis
Formula Systems' profitability indicators refer to fundamental financial ratios that showcase Formula Systems' ability to generate income relative to its revenue or operating costs. If, let's say, Formula Systems is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Formula Systems' executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Formula Systems' profitability requires more research than a typical breakdown of Formula Systems' financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.
| Last Reported | Projected for 2023 | ||
| Return on Average Assets | 0.03 | 0.0295 | |
| Return on Average Equity | 0.15 | 0.13 | |
| Return on Invested Capital | 0.19 | 0.17 | |
| Return on Sales | 0.06 | 0.06 |
Determining Formula Systems' profitability involves analyzing its financial statements and using various financial metrics to determine if Formula Systems is a good buy. For example, gross profit margin measures Formula Systems' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Formula Systems' profitability and make more informed investment decisions.
The data published in Formula Systems' official financial statements usually reflect Formula Systems' business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Formula Systems 1985. For example, before you start analyzing numbers published by Formula accountants, it's critical to develop an understanding of what Formula Systems' liquidity, profitability, and earnings quality are in the context of the IT Services space in which it operates.
Please note, the presentation of Formula Systems' financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Formula Systems' management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Formula Systems' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Formula Systems 1985. Please utilize our Beneish M Score to check the likelihood of Formula Systems' management manipulating its earnings.
Basic technical analysis of Formula Stock
As of the 22nd of September, Formula Systems shows the Standard Deviation of 2.51, variance of 6.29, and Mean Deviation of 1.48. Formula Systems 1985 technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum, or the prices will eventually revert. We were able to interpolate and analyze data for thirteen technical drivers for Formula Systems 1985, which can be compared to its rivals. Please confirm Formula Systems 1985 standard deviation, as well as the relationship between the treynor ratio and potential upside to decide if Formula Systems 1985 is priced favorably, providing market reflects its regular price of 72.21 per share. Given that Formula Systems has information ratio of (0.027115), we urge you to verify Formula Systems 1985's prevailing market performance to make sure the company can sustain itself at a future point.Understand Formula Systems' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Formula Systems' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.00949) | |||
| Market Risk Adjusted Performance | 0.6842 | |||
| Mean Deviation | 1.48 | |||
| Coefficient Of Variation | (3,543) | |||
| Standard Deviation | 2.51 | |||
| Variance | 6.29 | |||
| Information Ratio | (0.027115) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.027797) | |||
| Treynor Ratio | 0.6742 | |||
| Maximum Drawdown | 13.25 | |||
| Value At Risk | (5.34) | |||
| Potential Upside | 4.67 | |||
| Skewness | (0.24) | |||
| Kurtosis | 1.7 |
| Risk Adjusted Performance | (0.00949) | |||
| Market Risk Adjusted Performance | 0.6842 | |||
| Mean Deviation | 1.48 | |||
| Coefficient Of Variation | (3,543) | |||
| Standard Deviation | 2.51 | |||
| Variance | 6.29 | |||
| Information Ratio | (0.027115) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.027797) | |||
| Treynor Ratio | 0.6742 | |||
| Maximum Drawdown | 13.25 | |||
| Value At Risk | (5.34) | |||
| Potential Upside | 4.67 | |||
| Skewness | (0.24) | |||
| Kurtosis | 1.7 |
Formula Stock media impact
Far too much social signal, news, headlines, and media speculation about Formula Systems that are available to investors today. That information is available publicly through Formula media outlets and privately through word of mouth or via Formula internal channels. However, regardless of the origin, that massive amount of Formula data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Formula Systems news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Formula Systems relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Formula Systems' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Formula Systems alpha.
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Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Formula Systems 1985. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in non-hispanic. You can also try the Fund Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Complementary Tools for Formula Stock analysis
When running Formula Systems' price analysis, check to measure Formula Systems' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Formula Systems is operating at the current time. Most of Formula Systems' value examination focuses on studying past and present price action to predict the probability of Formula Systems' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Formula Systems' price. Additionally, you may evaluate how the addition of Formula Systems to your portfolios can decrease your overall portfolio volatility.
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Is Formula Systems' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Formula Systems. If investors know Formula will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Formula Systems listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Formula Systems 1985 is measured differently than its book value, which is the value of Formula that is recorded on the company's balance sheet. Investors also form their own opinion of Formula Systems' value that differs from its market value or its book value, called intrinsic value, which is Formula Systems' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Formula Systems' market value can be influenced by many factors that don't directly affect Formula Systems' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Formula Systems' value and its price, as these two are different measures arrived at by various means. Investors typically determine if Formula Systems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Formula Systems' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.