Switch to:
Also traded in: Germany, Israel

GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 9/10

vs
industry
vs
history
Cash to Debt 23.60
MGIC's Cash to Debt is ranked higher than
50% of the 1848 Companies
in the Global Software - Application industry.

( Industry Median: 22.21 vs. MGIC: 23.60 )
Ranked among companies with meaningful Cash to Debt only.
MGIC' s Cash to Debt Range Over the Past 10 Years
Min: 0.25  Med: 14.25 Max: No Debt
Current: 23.6
Equity to Asset 0.77
MGIC's Equity to Asset is ranked higher than
74% of the 1756 Companies
in the Global Software - Application industry.

( Industry Median: 0.62 vs. MGIC: 0.77 )
Ranked among companies with meaningful Equity to Asset only.
MGIC' s Equity to Asset Range Over the Past 10 Years
Min: 0.27  Med: 0.74 Max: 0.84
Current: 0.77
0.27
0.84
Interest Coverage 19.45
MGIC's Interest Coverage is ranked lower than
63% of the 1205 Companies
in the Global Software - Application industry.

( Industry Median: 56.54 vs. MGIC: 19.45 )
Ranked among companies with meaningful Interest Coverage only.
MGIC' s Interest Coverage Range Over the Past 10 Years
Min: 47  Med: 133.88 Max: N/A
Current: 19.45
F-Score: 4
Z-Score: 4.63
WACC vs ROIC
8.03%
14.72%
WACC
ROIC
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 11.58
MGIC's Operating margin (%) is ranked higher than
74% of the 1799 Companies
in the Global Software - Application industry.

( Industry Median: 4.71 vs. MGIC: 11.58 )
Ranked among companies with meaningful Operating margin (%) only.
MGIC' s Operating margin (%) Range Over the Past 10 Years
Min: -8.81  Med: 11.72 Max: 13.19
Current: 11.58
-8.81
13.19
Net-margin (%) 8.66
MGIC's Net-margin (%) is ranked higher than
72% of the 1798 Companies
in the Global Software - Application industry.

( Industry Median: 3.25 vs. MGIC: 8.66 )
Ranked among companies with meaningful Net-margin (%) only.
MGIC' s Net-margin (%) Range Over the Past 10 Years
Min: -8.11  Med: 10.77 Max: 21.58
Current: 8.66
-8.11
21.58
ROE (%) 8.28
MGIC's ROE (%) is ranked higher than
58% of the 1750 Companies
in the Global Software - Application industry.

( Industry Median: 5.66 vs. MGIC: 8.28 )
Ranked among companies with meaningful ROE (%) only.
MGIC' s ROE (%) Range Over the Past 10 Years
Min: -10.02  Med: 11.41 Max: 23.16
Current: 8.28
-10.02
23.16
ROA (%) 6.53
MGIC's ROA (%) is ranked higher than
68% of the 1843 Companies
in the Global Software - Application industry.

( Industry Median: 2.85 vs. MGIC: 6.53 )
Ranked among companies with meaningful ROA (%) only.
MGIC' s ROA (%) Range Over the Past 10 Years
Min: -6.97  Med: 8.67 Max: 16.57
Current: 6.53
-6.97
16.57
ROC (Joel Greenblatt) (%) 75.29
MGIC's ROC (Joel Greenblatt) (%) is ranked higher than
71% of the 1816 Companies
in the Global Software - Application industry.

( Industry Median: 20.47 vs. MGIC: 75.29 )
Ranked among companies with meaningful ROC (Joel Greenblatt) (%) only.
MGIC' s ROC (Joel Greenblatt) (%) Range Over the Past 10 Years
Min: -37.28  Med: 125.99 Max: 321.79
Current: 75.29
-37.28
321.79
Revenue Growth (3Y)(%) 5.20
MGIC's Revenue Growth (3Y)(%) is ranked higher than
51% of the 1437 Companies
in the Global Software - Application industry.

( Industry Median: 5.10 vs. MGIC: 5.20 )
Ranked among companies with meaningful Revenue Growth (3Y)(%) only.
MGIC' s Revenue Growth (3Y)(%) Range Over the Past 10 Years
Min: -11.5  Med: -0.90 Max: 25.5
Current: 5.2
-11.5
25.5
EBITDA Growth (3Y)(%) -9.40
MGIC's EBITDA Growth (3Y)(%) is ranked lower than
76% of the 1159 Companies
in the Global Software - Application industry.

( Industry Median: 7.30 vs. MGIC: -9.40 )
Ranked among companies with meaningful EBITDA Growth (3Y)(%) only.
MGIC' s EBITDA Growth (3Y)(%) Range Over the Past 10 Years
Min: -54.4  Med: 19.50 Max: 135.1
Current: -9.4
-54.4
135.1
EPS Growth (3Y)(%) -5.80
MGIC's EPS Growth (3Y)(%) is ranked lower than
67% of the 1055 Companies
in the Global Software - Application industry.

( Industry Median: 7.30 vs. MGIC: -5.80 )
Ranked among companies with meaningful EPS Growth (3Y)(%) only.
MGIC' s EPS Growth (3Y)(%) Range Over the Past 10 Years
Min: -32.5  Med: 31.40 Max: 92.6
Current: -5.8
-32.5
92.6
» MGIC's 10-Y Financials

Financials (Next Earnings Date: Est. 2016-08-11)


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow
Oprt. Cash Flow & Net Income

» Details

Guru Trades

Q2 2015

MGIC Guru Trades in Q2 2015

Jim Simons 88,952 sh (-3.28%)
» More
Q3 2015

MGIC Guru Trades in Q3 2015

Jim Simons 196,352 sh (+120.74%)
» More
Q4 2015

MGIC Guru Trades in Q4 2015

Jim Simons 301,701 sh (+53.65%)
» More
Q1 2016

MGIC Guru Trades in Q1 2016

Jim Simons 292,452 sh (-3.07%)
» More
» Details

Insider Trades

Latest Guru Trades with MGIC

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

No Entry found in the selected group of Gurus. You can
  • 1. Modify your Personalized List of Gurus, or
  • 2. Click on Premium Premium Tools above to check out all the Gurus, or
  • 3. Click on Premium Plus Premium Plus above for the stocks picks of all the institutional investment advisors (>4000)
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Business Description

Industry: Application Software » Software - Application
Compare:NAS:DTSI, NAS:PDFS, NYSE:CSLT, NAS:XNET, LSE:ACSO, TSE:3653 » details
Traded in other countries:MGK.Germany, MGIC.Israel,
Magic Software Enterprises Ltd provides application development and business process integration software solutions and related professional services, and a vendor of IT outsourcing services and a vendor of IT outsourcing services.

Magic Software Enterprises Ltd. was incorporated under the laws of the State of Israel in February 1983 as Mashov Software Export (1983) Ltd., The Company provides application development and business process integration software solutions and related professional services, and a vendor of IT outsourcing services. Its software is used by customers to develop, deploy and integrate on-premise, mobile and cloud-based business applications quickly and cost effectively. In addition, its technology enables enterprises to accelerate the process of delivering business solutions that meet current and future needs and allow customers to dramatically improve their business performance and return on investment. With respect to IT outsourcing services, it offers a complete portfolio of professional services in the areas of infrastructure design and delivery, application development, technology consulting planning and implementation services, support services and supplemental staffing services. Its IT services offerings consist of a variety of professional services: Infrastructure design and delivery - management of complex, tailor-made projects and telecom infrastructure projects in wireless and wire-line as well as IT consulting services, Application development - development of on-premise, mobile and cloud applications, Technology consulting, planning and implementation services - planning and execution of end-to-end, large-scale, complex solutions in networking, cyber security, command & control and high performance transactions systems, Support services - technical support services through local customer support centers around the world and online customer support centers, Staffing services to a wide variety of companies - staffing services for technical personnel to supplement the in-house capabilities of its customers. Its wholly-owned subsidiaries, Coretech Consulting Group LLC, Fusion Solutions LLC, Xsell Resources Inc., Allstates Consulting Services LLC, and the Comm-IT Group provide advanced IT consulting and staffing services to a wide variety of companies including Fortune 1000 companies. Its technical personnel generally supplement the in-house capabilities of its clients. The Company's competitors are Kony, IBM, Microsoft, Adobe, Oracle, SAP Sybase and Antenna Software/Pegasystems. With Magic xpi, we compete in the integration platform market. Among its current competitors are IBM, Informatica, TIBCO, and Software AG.

Ratios

vs
industry
vs
history
P/E(ttm) 19.70
MGIC's P/E(ttm) is ranked higher than
59% of the 1266 Companies
in the Global Software - Application industry.

( Industry Median: 24.35 vs. MGIC: 19.70 )
Ranked among companies with meaningful P/E(ttm) only.
MGIC' s P/E(ttm) Range Over the Past 10 Years
Min: 3.2  Med: 14.48 Max: 57.86
Current: 19.7
3.2
57.86
PE(NRI) 19.70
MGIC's PE(NRI) is ranked higher than
59% of the 1223 Companies
in the Global Software - Application industry.

( Industry Median: 23.72 vs. MGIC: 19.70 )
Ranked among companies with meaningful PE(NRI) only.
MGIC' s PE(NRI) Range Over the Past 10 Years
Min: 6.93  Med: 15.93 Max: 60.75
Current: 19.7
6.93
60.75
P/B 1.56
MGIC's P/B is ranked higher than
69% of the 1881 Companies
in the Global Software - Application industry.

( Industry Median: 2.72 vs. MGIC: 1.56 )
Ranked among companies with meaningful P/B only.
MGIC' s P/B Range Over the Past 10 Years
Min: 0.5  Med: 1.44 Max: 3.74
Current: 1.56
0.5
3.74
P/S 1.66
MGIC's P/S is ranked higher than
58% of the 1924 Companies
in the Global Software - Application industry.

( Industry Median: 2.17 vs. MGIC: 1.66 )
Ranked among companies with meaningful P/S only.
MGIC' s P/S Range Over the Past 10 Years
Min: 0.55  Med: 1.40 Max: 3.35
Current: 1.66
0.55
3.35
EV-to-EBIT 8.20
MGIC's EV-to-EBIT is ranked higher than
77% of the 1246 Companies
in the Global Software - Application industry.

( Industry Median: 16.34 vs. MGIC: 8.20 )
Ranked among companies with meaningful EV-to-EBIT only.
MGIC' s EV-to-EBIT Range Over the Past 10 Years
Min: -60.4  Med: 8.80 Max: 138.3
Current: 8.2
-60.4
138.3
EV-to-EBITDA 8.20
MGIC's EV-to-EBITDA is ranked higher than
68% of the 1352 Companies
in the Global Software - Application industry.

( Industry Median: 13.11 vs. MGIC: 8.20 )
Ranked among companies with meaningful EV-to-EBITDA only.
MGIC' s EV-to-EBITDA Range Over the Past 10 Years
Min: -21.9  Med: 9.20 Max: 138.3
Current: 8.2
-21.9
138.3
PEG 5.82
MGIC's PEG is ranked lower than
80% of the 554 Companies
in the Global Software - Application industry.

( Industry Median: 1.88 vs. MGIC: 5.82 )
Ranked among companies with meaningful PEG only.
MGIC' s PEG Range Over the Past 10 Years
Min: 0.12  Med: 0.61 Max: 3.22
Current: 5.82
0.12
3.22
Shiller P/E 21.32
MGIC's Shiller P/E is ranked higher than
70% of the 284 Companies
in the Global Software - Application industry.

( Industry Median: 34.21 vs. MGIC: 21.32 )
Ranked among companies with meaningful Shiller P/E only.
MGIC' s Shiller P/E Range Over the Past 10 Years
Min: 17.67  Med: 27.61 Max: 57
Current: 21.32
17.67
57
Current Ratio 4.01
MGIC's Current Ratio is ranked higher than
79% of the 1667 Companies
in the Global Software - Application industry.

( Industry Median: 1.97 vs. MGIC: 4.01 )
Ranked among companies with meaningful Current Ratio only.
MGIC' s Current Ratio Range Over the Past 10 Years
Min: 0.79  Med: 2.22 Max: 5.24
Current: 4.01
0.79
5.24
Quick Ratio 4.01
MGIC's Quick Ratio is ranked higher than
80% of the 1667 Companies
in the Global Software - Application industry.

( Industry Median: 1.86 vs. MGIC: 4.01 )
Ranked among companies with meaningful Quick Ratio only.
MGIC' s Quick Ratio Range Over the Past 10 Years
Min: 0.78  Med: 2.22 Max: 5.24
Current: 4.01
0.78
5.24
Days Sales Outstanding 120.84
MGIC's Days Sales Outstanding is ranked lower than
81% of the 1474 Companies
in the Global Software - Application industry.

( Industry Median: 68.92 vs. MGIC: 120.84 )
Ranked among companies with meaningful Days Sales Outstanding only.
MGIC' s Days Sales Outstanding Range Over the Past 10 Years
Min: 63.85  Med: 89.36 Max: 113.4
Current: 120.84
63.85
113.4
Days Payable 20.01
MGIC's Days Payable is ranked lower than
76% of the 1334 Companies
in the Global Software - Application industry.

( Industry Median: 43.86 vs. MGIC: 20.01 )
Ranked among companies with meaningful Days Payable only.
MGIC' s Days Payable Range Over the Past 10 Years
Min: 14.13  Med: 22.36 Max: 40.19
Current: 20.01
14.13
40.19

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 2.76
MGIC's Dividend Yield is ranked higher than
71% of the 1175 Companies
in the Global Software - Application industry.

( Industry Median: 1.43 vs. MGIC: 2.76 )
Ranked among companies with meaningful Dividend Yield only.
MGIC' s Dividend Yield Range Over the Past 10 Years
Min: 1.97  Med: 3.75 Max: 31.25
Current: 2.76
1.97
31.25
Dividend Payout 0.53
MGIC's Dividend Payout is ranked lower than
67% of the 756 Companies
in the Global Software - Application industry.

( Industry Median: 0.37 vs. MGIC: 0.53 )
Ranked among companies with meaningful Dividend Payout only.
MGIC' s Dividend Payout Range Over the Past 10 Years
Min: 0.74  Med: 1.00 Max: 4.55
Current: 0.53
0.74
4.55
Dividend Growth (3y) 20.70
MGIC's Dividend Growth (3y) is ranked higher than
78% of the 546 Companies
in the Global Software - Application industry.

( Industry Median: 7.20 vs. MGIC: 20.70 )
Ranked among companies with meaningful Dividend Growth (3y) only.
MGIC' s Dividend Growth (3y) Range Over the Past 10 Years
Min: 0  Med: 0.00 Max: 20.7
Current: 20.7
0
20.7
Forward Dividend Yield 2.69
MGIC's Forward Dividend Yield is ranked higher than
67% of the 1092 Companies
in the Global Software - Application industry.

( Industry Median: 1.95 vs. MGIC: 2.69 )
Ranked among companies with meaningful Forward Dividend Yield only.
N/A
Yield on cost (5-Year) 2.75
MGIC's Yield on cost (5-Year) is ranked higher than
58% of the 1397 Companies
in the Global Software - Application industry.

( Industry Median: 2.26 vs. MGIC: 2.75 )
Ranked among companies with meaningful Yield on cost (5-Year) only.
MGIC' s Yield on cost (5-Year) Range Over the Past 10 Years
Min: 1.97  Med: 3.75 Max: 31.25
Current: 2.75
1.97
31.25
3-Year Average Share Buyback Ratio -6.60
MGIC's 3-Year Average Share Buyback Ratio is ranked lower than
69% of the 1148 Companies
in the Global Software - Application industry.

( Industry Median: -2.20 vs. MGIC: -6.60 )
Ranked among companies with meaningful 3-Year Average Share Buyback Ratio only.
MGIC' s 3-Year Average Share Buyback Ratio Range Over the Past 10 Years
Min: -26.9  Med: -4.30 Max: -0.4
Current: -6.6
-26.9
-0.4

Valuation & Return

vs
industry
vs
history
Price/Net Cash 14.89
MGIC's Price/Net Cash is ranked lower than
60% of the 652 Companies
in the Global Software - Application industry.

( Industry Median: 10.62 vs. MGIC: 14.89 )
Ranked among companies with meaningful Price/Net Cash only.
MGIC' s Price/Net Cash Range Over the Past 10 Years
Min: 1.85  Med: 8.73 Max: 440
Current: 14.89
1.85
440
Price/Net Current Asset Value 3.58
MGIC's Price/Net Current Asset Value is ranked higher than
71% of the 1194 Companies
in the Global Software - Application industry.

( Industry Median: 6.70 vs. MGIC: 3.58 )
Ranked among companies with meaningful Price/Net Current Asset Value only.
MGIC' s Price/Net Current Asset Value Range Over the Past 10 Years
Min: 1  Med: 4.54 Max: 82.68
Current: 3.58
1
82.68
Price/Tangible Book 3.28
MGIC's Price/Tangible Book is ranked higher than
56% of the 1569 Companies
in the Global Software - Application industry.

( Industry Median: 4.03 vs. MGIC: 3.28 )
Ranked among companies with meaningful Price/Tangible Book only.
MGIC' s Price/Tangible Book Range Over the Past 10 Years
Min: 0.36  Med: 2.59 Max: 15.95
Current: 3.28
0.36
15.95
Price/Projected FCF 1.66
MGIC's Price/Projected FCF is ranked lower than
99.99% of the 819 Companies
in the Global Software - Application industry.

( Industry Median: 1.70 vs. MGIC: 1.66 )
Ranked among companies with meaningful Price/Projected FCF only.
MGIC' s Price/Projected FCF Range Over the Past 10 Years
Min: 0.45  Med: 1.59 Max: 15.22
Current: 1.66
0.45
15.22
Price/Median PS Value 1.18
MGIC's Price/Median PS Value is ranked lower than
58% of the 1710 Companies
in the Global Software - Application industry.

( Industry Median: 1.08 vs. MGIC: 1.18 )
Ranked among companies with meaningful Price/Median PS Value only.
MGIC' s Price/Median PS Value Range Over the Past 10 Years
Min: 0.21  Med: 0.91 Max: 5.81
Current: 1.18
0.21
5.81
Price/Peter Lynch Fair Value 3.06
MGIC's Price/Peter Lynch Fair Value is ranked lower than
76% of the 349 Companies
in the Global Software - Application industry.

( Industry Median: 1.72 vs. MGIC: 3.06 )
Ranked among companies with meaningful Price/Peter Lynch Fair Value only.
MGIC' s Price/Peter Lynch Fair Value Range Over the Past 10 Years
Min: 0.4  Med: 0.73 Max: 3.09
Current: 3.06
0.4
3.09
Price/Graham Number 1.70
MGIC's Price/Graham Number is ranked higher than
59% of the 950 Companies
in the Global Software - Application industry.

( Industry Median: 2.11 vs. MGIC: 1.70 )
Ranked among companies with meaningful Price/Graham Number only.
MGIC' s Price/Graham Number Range Over the Past 10 Years
Min: 0.56  Med: 1.59 Max: 5.84
Current: 1.7
0.56
5.84
Earnings Yield (Greenblatt) (%) 12.19
MGIC's Earnings Yield (Greenblatt) (%) is ranked higher than
85% of the 1968 Companies
in the Global Software - Application industry.

( Industry Median: 2.20 vs. MGIC: 12.19 )
Ranked among companies with meaningful Earnings Yield (Greenblatt) (%) only.
MGIC' s Earnings Yield (Greenblatt) (%) Range Over the Past 10 Years
Min: 0.7  Med: 10.00 Max: 869.7
Current: 12.19
0.7
869.7
Forward Rate of Return (Yacktman) (%) 6.45
MGIC's Forward Rate of Return (Yacktman) (%) is ranked lower than
60% of the 725 Companies
in the Global Software - Application industry.

( Industry Median: 10.71 vs. MGIC: 6.45 )
Ranked among companies with meaningful Forward Rate of Return (Yacktman) (%) only.
MGIC' s Forward Rate of Return (Yacktman) (%) Range Over the Past 10 Years
Min: -94.9  Med: 6.20 Max: 75.4
Current: 6.45
-94.9
75.4

More Statistics

Revenue (TTM) (Mil) $180.4
EPS (TTM) $ 0.34
Beta0.83
Short Percentage of Float0.09%
52-Week Range $5.13 - 7.20
Shares Outstanding (Mil)44.34

Analyst Estimate

Dec16
Revenue(Mil)
EPS($) 0.69
EPS without NRI($) 0.69
» More Articles for MGIC

Headlines

Articles On GuruFocus.com
Best Performing Gurus of Past Six Months are John Paulson, First Eagle and Michael Price Jun 11 2013 
MAGIC FORMULA INVESTING 2010 YEAR IN REVIEW -- Winners: MGIC, QCOR, SNTA, CF; Losers: SPMD, JTX Jan 01 2011 
MFI STOCK REVIEW: MAGIC SOFTWARE ENTERPRISES LTD Mar 11 2010 
Magic Software Enterprises Ltd. Could Be a Big Buyout Target Mar 09 2010 
Valuing Dividend Stocks: Magic Software Enterprises Ltd., Automatic Data Processing and Emerson Elec Jan 11 2010 

More From Other Websites
ETF’s with exposure to Magic Software Enterprises Ltd. : May 19, 2016 May 18 2016
Leading Israeli Construction Firm, Ortam-Malibu, Deploys Mobile Project Management App Based on... May 18 2016
Leading Israeli Construction Firm, Ortam-Malibu, Deploys Mobile Project Management App Based on... May 18 2016
Magic Software Enterprises Ltd. breached its 50 day moving average in a Bullish Manner : MGIC-US :... May 17 2016
Magic Software Enterprises Ltd. :MGIC-IL: Earnings Analysis: Q1, 2016 By the Numbers : May 16, 2016 May 16 2016
Magic Software Enterprises Ltd. :MGIC-US: Earnings Analysis: Q1, 2016 By the Numbers May 12 2016
Magic Software misses 1Q profit forecasts May 09 2016
Magic Software misses 1Q profit forecasts May 09 2016
Magic Reports First Quarter 2016 Revenues of $44.7 Million, Increasing 11% Year over Year and Non... May 09 2016
Magic Reports First Quarter 2016 Revenues of $44.7 Million, Increasing 11% Year over Year and... May 09 2016
Magic Software Enterprises Ltd. breached its 50 day moving average in a Bullish Manner : MGIC-US :... May 06 2016
Magic Software Announces Filing of 2015 Annual Report May 04 2016
MAGIC SOFTWARE ENTERPRISES LTD Financials May 03 2016
Magic Software Announces Filing of 2015 Annual Report May 03 2016
Magic Software Announces Filing of 2015 Annual Report May 03 2016
Magic to Announce First Quarter 2016 Financial Results on May 9, 2016 May 02 2016
Magic to Announce First Quarter 2016 Financial Results on May 9, 2016 May 02 2016
Merit Makes Snow Removal a Clean Sweep Using Magic Software Mobile App Mar 30 2016
Merit Makes Snow Removal a Clean Sweep Using Magic Software Mobile App Mar 30 2016

Personalized Checklist

Checklist has been moved to "Checklist" tab.

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)