Formula Systems (1985) (NASDAQ:FORTY) Share Price Breaks Below 200 Day Moving Average - Here's What Happened

Key Points

• Formula Systems’ shares fell below their 200-day moving average, trading as low as $119.70 before closing at $122.00, down 4.7%. The 200-day average was $125.58.
• Analysts maintained a cautious view, with Weiss Ratings reiterating a “Hold (C)” rating and the broader analyst consensus also at “Hold.”
• The company reported quarterly earnings of $1.47 per share and paid a special dividend of $1.63 per share; institutional investors own 34.76% of its stock.

Shares of Formula Systems (1985) Ltd. (NASDAQ:FORTY - Get Free Report) crossed below its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $125.58 and traded as low as $119.70. Formula Systems (1985) shares last traded at $122.00, with a volume of 6,769 shares.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings restated a "hold (c)" rating on shares of Formula Systems (1985) in a research report on Thursday, August 27th. One equities research analyst has rated the stock with a Hold rating. According to MarketBeat, the stock currently has a consensus rating of "Hold".

Formula Systems (1985) Stock Down 4.7%

The company has a market cap of $1.87 billion, a P/E ratio of 3.06 and a beta of 1.25. The company has a quick ratio of 1.44, a current ratio of 1.48 and a debt-to-equity ratio of 0.13. The company has a fifty day moving average of $119.72 and a 200 day moving average of $125.58.

Formula Systems (1985) (NASDAQ:FORTY - Get Free Report) last posted its earnings results on Wednesday, August 26th. The technology company reported $1.47 earnings per share for the quarter. Formula Systems (1985) had a return on equity of 4.38% and a net margin of 21.57%.

Formula Systems (1985) Announces Dividend

The firm also recently declared a special dividend, which was paid on Friday, October 16th. Stockholders of record on Tuesday, September 22nd were given a dividend of $1.63 per share. The ex-dividend date of this dividend was Tuesday, September 22nd. Formula Systems (1985)'s dividend payout ratio is presently 6.03%.

Hedge Funds Weigh In On Formula Systems (1985)

Several institutional investors have recently made changes to their positions in FORTY. Dimensional Fund Advisors LP increased its holdings in Formula Systems (1985) by 2.7% during the first quarter. Dimensional Fund Advisors LP now owns 3,315 shares of the technology company's stock valued at $391,000 after buying an additional 86 shares during the last quarter. Altshuler Shaham Ltd raised its position in Formula Systems (1985) by 10.4% in the first quarter. Altshuler Shaham Ltd now owns 7,742 shares of the technology company's stock worth $926,000 after acquiring an additional 727 shares during the period. Finally, Elevation Point Wealth Partners LLC bought a new position in Formula Systems (1985) in the first quarter worth approximately $206,000. Institutional investors own 34.76% of the company's stock.

About Formula Systems (1985)

Formula Systems (1985) Ltd. is an Israel-based holding company that invests in and manages technology businesses. Established in 1985, the company focuses primarily on software, information technology services and technology-enabled business solutions through its principal operating subsidiaries.

Formula Systems' portfolio includes Matrix IT, an Israeli provider of systems integration, consulting, outsourcing, cloud, cybersecurity and other information technology services; Magic Software Enterprises, which provides software development, digital transformation, cloud, data and application integration services; and Sapiens International, a provider of software platforms and solutions for the insurance, financial services and retirement markets.

Through these businesses, Formula Systems serves customers in Israel and international markets, including North America, Europe and the Asia-Pacific region.

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