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Upturn AI SWOT - About
FORTY 
Formula Systems 1985 Ltd ADR (FORTY)
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Upturn Advisory Summary
10/15/2025: FORTY (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Upturn Star Rating
Not Recommended Performance
These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.
Analysis of Past Performance
Type Stock | Historic Profit 12.41% | Avg. Invested days 40 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating | Upturn Advisory Performance  4.0 | Stock Returns Performance  2.0 |
| Profits based on simulation | Last Close 10/15/2025 |
Key Highlights
Company Size Small-Cap Stock | Market Capitalization 1.73B USD | Price to earnings Ratio 21.65 | 1Y Target Price - |
Price to earnings Ratio 21.65 | 1Y Target Price - | ||
Volume (30-day avg) - | Beta 0.31 | 52 Weeks Range 67.98 - 125.00 | Updated Date 06/29/2025 |
52 Weeks Range 67.98 - 125.00 | Updated Date 06/29/2025 | ||
Dividends yield (FY) 0.79% | Basic EPS (TTM) 5.22 |
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 2.91% | Operating Margin (TTM) 9.35% |
Management Effectiveness
Return on Assets (TTM) 5.83% | Return on Equity (TTM) 14.95% |
Valuation
Trailing PE 21.65 | Forward PE - | Enterprise Value 1957331310 | Price to Sales(TTM) 0.62 |
Enterprise Value 1957331310 | Price to Sales(TTM) 0.62 | ||
Enterprise Value to Revenue 0.7 | Enterprise Value to EBITDA 6.89 | Shares Outstanding 15332700 | Shares Floating 9506867 |
Shares Outstanding 15332700 | Shares Floating 9506867 | ||
Percent Insiders - | Percent Institutions 12.53 |
Upturn AI SWOT
Formula Systems 1985 Ltd ADR
Company Overview
History and Background
Formula Systems (1985) Ltd. was founded in 1985. It's an investment holding company that focuses on IT companies, primarily in Israel and North America. Over time, it has acquired and developed numerous subsidiaries, becoming a significant player in the IT sector.
Core Business Areas
- Software Products and Services: Development and marketing of proprietary software products and services, including ERP, CRM, and other business applications.
- IT Infrastructure Solutions: Provision of IT infrastructure solutions, including hardware, software, and related services.
- Consulting Services: Providing IT consulting and implementation services to businesses.
Leadership and Structure
The company is led by a board of directors and a management team responsible for overseeing its operations and strategic direction. The organizational structure comprises various business units, each focused on specific IT solutions and services.
Top Products and Market Share
Key Offerings
- Matrix IFS: Matrix IFS specializes in software solutions and consulting services for financial institutions, specifically in areas like regulatory compliance and digital transformation. While precise market share data is difficult to find, competitors include companies like FIS (FIS), Temenos (TEMN.SW), and Oracle Financial Services (ORCL).
- Sapiens International Corporation N.V.: Sapiens (SPNS) provides software solutions primarily for the insurance industry. Their market share is a portion of the global insurance software market. Competitors include Guidewire Software (GWRE), Duck Creek Technologies (DCT), and Majesco (MJCO).
- Magic Software Enterprises Ltd.: Magic Software (MGIC) provides application development and business integration platforms. The market share data is not easily publicly available. Competitors include Software AG (SOW.DE), Tibco Software (now part of Cloud Software Group), and MuleSoft (Salesforce).
Market Dynamics
Industry Overview
The IT industry is characterized by rapid technological advancements, increasing demand for digital transformation solutions, and growing competition. The sector is experiencing growth driven by cloud computing, artificial intelligence, and cybersecurity concerns.
Positioning
Formula Systems positions itself as a provider of comprehensive IT solutions, leveraging its diverse portfolio of subsidiaries to offer a broad range of services. Its competitive advantage lies in its ability to provide integrated solutions across different IT domains.
Total Addressable Market (TAM)
The global IT market is valued in the trillions of dollars. Formula Systems is positioned to capture a portion of this TAM through its various subsidiaries and their specialized offerings.
Upturn SWOT Analysis
Strengths
- Diversified portfolio of IT companies
- Strong presence in Israel and North America
- Expertise in various IT domains
- Established customer base
Weaknesses
- Complex organizational structure
- Dependence on subsidiaries' performance
- Limited brand recognition compared to larger IT players
- Exposure to currency fluctuations
Opportunities
- Expanding into new geographic markets
- Acquiring companies with complementary technologies
- Capitalizing on the growing demand for cloud computing and AI solutions
- Increasing focus on cybersecurity services
Threats
- Intense competition from larger IT companies
- Rapid technological changes
- Economic downturns affecting IT spending
- Geopolitical risks
Competitors and Market Share
Key Competitors
- IBM (IBM)
- Accenture (ACN)
- Tata Consultancy Services (TCS.NS)
- Infosys (INFY)
- Wipro (WIPRO.NS)
- DXC Technology (DXC)
Competitive Landscape
Formula Systems competes with large global IT service providers. The competitive edge comes from niche expertise of their daughter companies.
Major Acquisitions
Michpal Micro Computers Ltd
- Year: 2018
- Acquisition Price (USD millions): 46
- Strategic Rationale: Expanded capabilities in IT infrastructure and services.
Growth Trajectory and Initiatives
Historical Growth: Formula Systems' growth trends can be derived from past financial performance. This data is subject to change.
Future Projections: Projections for Formula Systems' future growth can be obtained from analyst estimates and company guidance. These projections are estimates and not guarantees.
Recent Initiatives: Recent strategic initiatives undertaken by Formula Systems would be found in company press releases, investor presentations, and annual reports.
Summary
Formula Systems is a diversified IT holding company with a strong presence in Israel and North America. The company's strength lies in its diverse portfolio and expertise in various IT domains. However, the complex organizational structure and dependence on subsidiaries' performance pose challenges. Future growth depends on capitalizing on emerging technologies and expanding into new markets, while navigating intense competition and economic uncertainties.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Website
- Public Filings
- Analyst Reports
- Industry Research
Disclaimers:
The data provided is for informational purposes only and should not be considered investment advice. Market share estimates are approximate and based on available information.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Formula Systems 1985 Ltd ADR
Exchange NASDAQ | Headquaters - | ||
IPO Launch date 1997-10-21 | CEO - | ||
Sector Technology | Industry Information Technology Services | Full time employees 22720 | Website https://www.formulasystems.com |
Full time employees 22720 | Website https://www.formulasystems.com | ||
Formula Systems (1985) Ltd., through its subsidiaries, provides proprietary and non-proprietary software solutions, Information Technologies (IT) professional services, software product marketing and support, computer infrastructure and integration solutions, and learning and integration. It offers IT software solutions and services, and consulting and management services; computer and communication infrastructure solutions; software solutions, web world content management, database and data warehouse mining, application integration, database and systems, data management, and software development tools; and developers and professional training, and soft skills and management training services. The company also provides property and casualty insurance platforms, such as Sapiens CoreSuite and Sapiens IDITSuite; life, pension, and annuities platforms, including Sapiens, Sapiens CoreSuite, Sapiens UnderwritingPro, Sapiens ApplicationPro, Sapiens IllustrationPro, and Sapiens ConsolidationMaster; Sapiens Cloud-based DigitalSuite; data and analytics platform; and reinsurance software solutions comprising Sapiens ReinsuranceMaster, Sapiens ReinsurancePro, and Sapiens Reinsurance GO. In addition, it offers Sapiens workers' compensation solutions; Sapiens medical professional liability solutions; financial and compliance solutions, such as Sapiens FinancialPro, Sapiens Financial GO, Sapiens StatementPro, Sapiens CheckPro, and Sapiens Reporting Tools; Sapiens Decision, an enterprise-scale platform; technology-based solutions; application development and business process integration platforms; vertical software solutions; cloud-based services; strategic consulting and outsourcing services; and professional services, as well as sells and markets computers and peripheral equipment, and cloud computing solutions. The company was incorporated in 1985 and is headquartered in Or Yehuda, Israel.
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