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Formula Systems (1985) (FRA:FSY) Profitability Rank : 9 (As of Sep. 2023)


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What is Formula Systems (1985) Profitability Rank?

Formula Systems (1985) has the Profitability Rank of 9. It has a higher profitability and may stay that way.

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

Formula Systems (1985)'s Operating Margin % for the quarter that ended in Sep. 2023 was 8.89%. As of today, Formula Systems (1985)'s Piotroski F-Score is 5.


Competitive Comparison of Formula Systems (1985)'s Profitability Rank

For the Information Technology Services subindustry, Formula Systems (1985)'s Profitability Rank, along with its competitors' market caps and Profitability Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Formula Systems (1985)'s Profitability Rank Distribution in the Software Industry

For the Software industry and Technology sector, Formula Systems (1985)'s Profitability Rank distribution charts can be found below:

* The bar in red indicates where Formula Systems (1985)'s Profitability Rank falls into.



Formula Systems (1985) Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

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.

Formula Systems (1985) has the Profitability Rank of 9. It has a higher profitability and may stay that way.

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

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Formula Systems (1985)'s Operating Margin % for the quarter that ended in Sep. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=54.577 / 613.584
=8.89 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Formula Systems (1985) has an F-score of 5 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Good Sign:

Formula Systems (1985) Ltd operating margin is expanding. Margin expansion is usually a good sign.

4. Consistency of the profitability

5. Predictability Rank


Formula Systems (1985) Profitability Rank Related Terms

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Formula Systems (1985) (FRA:FSY) Business Description

Traded in Other Exchanges
Address
Yahadut Canada 1 Street, Or Yehuda, Tel Aviv, ISR, 6037501
Formula Systems (1985) Ltd is a holding company that, through its subsidiaries, provides information technology services. The company organizes itself into three primary segments based on the subsidiary. The Matrix segment, which generates the majority of revenue, provides software development and existing software expansion services. The Sapiens segment provides software development services for the insurance industry. The Magic Software segment provides vendor management systems and workforce management services, which include accounting and finance, human resources, IT technology, and marketing and sales. Michpal; ZAP Group and Others. The majority of the company's revenue comes from Israel.

Formula Systems (1985) (FRA:FSY) Headlines

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