Alight (NYSE:ALIT) Issues FY 2025 Earnings Guidance

Key Points

• Alight has issued FY 2025 earnings guidance with an EPS range of 0.580-0.640, slightly below the consensus estimate of 0.594, and revenue guidance of $2.3 billion, matching the consensus estimate.
• The stock recently traded at $4.21, down $0.93 during trading, with a market capitalization of $2.26 billion and a PE ratio of -29.75.
• Alight will pay a quarterly dividend of $0.04 per share on September 15th, with a yield of 3.8%, although the current dividend payout ratio is notably high at -114.29%.

Alight (NYSE:ALIT - Get Free Report) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided EPS guidance of 0.580-0.640 for the period, compared to the consensus EPS estimate of 0.594. The company issued revenue guidance of $2.3 billion-$2.3 billion, compared to the consensus revenue estimate of $2.3 billion.

Alight Stock Down 4.3%

ALIT traded down $0.17 during midday trading on Friday, reaching $3.82. 16,804,401 shares of the company were exchanged, compared to its average volume of 7,559,512. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.18 and a current ratio of 1.16. The company's fifty day moving average price is $5.42 and its 200 day moving average price is $5.75. The company has a market cap of $2.06 billion, a price-to-earnings ratio of -1.73 and a beta of 1.00. Alight has a one year low of $3.80 and a one year high of $8.93.

Alight (NYSE:ALIT - Get Free Report) last announced its earnings results on Tuesday, August 5th. The company reported $0.10 earnings per share for the quarter, hitting analysts' consensus estimates of $0.10. Alight had a positive return on equity of 6.26% and a negative net margin of 50.37%. The firm had revenue of $528.00 million for the quarter, compared to the consensus estimate of $525.26 million. During the same quarter in the previous year, the business earned $0.05 EPS. The company's revenue was down 1.9% compared to the same quarter last year. As a group, analysts expect that Alight will post 0.54 EPS for the current year.

Alight Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be paid a $0.04 dividend. The ex-dividend date is Tuesday, September 2nd. This represents a $0.16 annualized dividend and a yield of 4.2%. Alight's dividend payout ratio is presently -7.24%.

Wall Street Analysts Forecast Growth

ALIT has been the topic of several research analyst reports. UBS Group dropped their price objective on Alight from $10.00 to $6.50 and set a "buy" rating on the stock in a research note on Wednesday. Needham & Company LLC dropped their price objective on Alight from $8.00 to $6.00 and set a "buy" rating on the stock in a research note on Wednesday. Finally, Wedbush dropped their price objective on Alight from $9.00 to $7.00 and set an "outperform" rating on the stock in a research note on Wednesday. One investment analyst has rated the stock with a hold rating and seven have given a buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $8.94.

Insider Activity

In related news, Director David D. Guilmette bought 50,000 shares of the company's stock in a transaction on Tuesday, May 20th. The shares were purchased at an average price of $5.69 per share, for a total transaction of $284,500.00. Following the completion of the transaction, the director directly owned 600,750 shares in the company, valued at approximately $3,418,267.50. The trade was a 9.08% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Insiders acquired a total of 55,216 shares of company stock worth $307,636 in the last quarter. Corporate insiders own 1.93% of the company's stock.

Institutional Investors Weigh In On Alight

Several institutional investors have recently made changes to their positions in ALIT. Royal Bank of Canada increased its holdings in shares of Alight by 3.6% in the first quarter. Royal Bank of Canada now owns 159,901 shares of the company's stock worth $948,000 after purchasing an additional 5,525 shares during the period. AQR Capital Management LLC bought a new position in shares of Alight in the first quarter worth $434,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in shares of Alight by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 249,753 shares of the company's stock worth $1,481,000 after purchasing an additional 10,893 shares during the period. Jones Financial Companies Lllp increased its holdings in shares of Alight by 1,776.2% in the first quarter. Jones Financial Companies Lllp now owns 11,257 shares of the company's stock worth $67,000 after purchasing an additional 10,657 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of Alight by 7.0% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,027,103 shares of the company's stock worth $6,091,000 after purchasing an additional 66,771 shares during the period. Hedge funds and other institutional investors own 96.74% of the company's stock.

Alight Company Profile

Alight, Inc provides cloud-based integrated digital human capital and business solutions worldwide. The company operates through two segments, Employer Solutions and Professional Services. The Employer Solutions segment offers employee wellbeing, integrated benefits administration, healthcare navigation, financial wellbeing, leave of absence management, retiree healthcare and payroll; and operates AI-led capabilities software.