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) updated its FY 2025 earnings guidance on Tuesday. 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.

Wall Street Analyst Weigh In

ALIT has been the topic of several research reports. Wedbush dropped their target price on Alight from $11.00 to $9.00 and set an "outperform" rating on the stock in a research report on Friday, May 9th. Needham & Company LLC reaffirmed a "buy" rating and set a $8.00 price objective on shares of Alight in a research report on Friday, June 20th. One equities research analyst has rated the stock with a hold rating and six have issued a buy rating to the company's stock. According to data from MarketBeat.com, Alight currently has an average rating of "Moderate Buy" and a consensus price target of $9.86.

Alight Stock Performance

Alight stock traded down $0.93 during midday trading on Tuesday, hitting $4.21. 12,973,004 shares of the company were exchanged, compared to its average volume of 7,723,758. The firm has a market capitalization of $2.26 billion, a PE ratio of -29.75 and a beta of 1.00. Alight has a fifty-two week low of $4.09 and a fifty-two week high of $8.93. The business has a fifty day simple moving average of $5.54 and a two-hundred day simple moving average of $5.83. The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.18 and a current ratio of 1.18.

Alight (NYSE:ALIT - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The company reported $0.10 EPS for the quarter, meeting the consensus estimate of $0.10. Alight had a positive return on equity of 5.74% and a negative net margin of 2.65%. The company had revenue of $528.00 million for the quarter, compared to analyst estimates of $525.26 million. During the same period last year, the company earned $0.05 earnings per share. Alight's quarterly revenue was down 1.9% compared to the same quarter last year. On average, sell-side analysts forecast that Alight will post 0.54 earnings per share for the current year.

Alight Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be given a dividend of $0.04 per share. The ex-dividend date is Tuesday, September 2nd. This represents a $0.16 dividend on an annualized basis and a yield of 3.8%. Alight's dividend payout ratio (DPR) is presently -114.29%.

Insider Buying and Selling

In other news, Director David D. Guilmette acquired 50,000 shares of the business's stock in a transaction that occurred 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 acquisition, the director owned 600,750 shares of the company's stock, valued at $3,418,267.50. This represents a 9.08% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.93% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Alight

Several hedge funds have recently added to or reduced their stakes in the stock. Intech Investment Management LLC boosted its position in shares of Alight by 50.1% in the 1st quarter. Intech Investment Management LLC now owns 249,889 shares of the company's stock valued at $1,482,000 after purchasing an additional 83,420 shares during the period. AQR Capital Management LLC purchased a new stake in Alight during the 1st quarter valued at approximately $434,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in Alight by 7.0% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,027,103 shares of the company's stock valued at $6,091,000 after acquiring an additional 66,771 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Alight by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 249,753 shares of the company's stock valued at $1,481,000 after acquiring an additional 10,893 shares during the last quarter. Finally, Jones Financial Companies Lllp raised its stake in Alight by 1,776.2% during the 1st quarter. Jones Financial Companies Lllp now owns 11,257 shares of the company's stock valued at $67,000 after acquiring an additional 10,657 shares during the last quarter. 96.74% of the stock is currently owned by hedge funds and other institutional investors.

About Alight

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.

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