On August 3, 2023, MEITAV INVESTMENT HOUSE LTD (Trades, Portfolio), a renowned investment firm, acquired a new stake in Formula Systems (1985) Ltd. This article provides an in-depth analysis of the transaction, the profiles of the guru and the traded company, and the potential implications of this acquisition on both parties.
Profile of MEITAV INVESTMENT HOUSE LTD (Trades, Portfolio)
MEITAV INVESTMENT HOUSE LTD (Trades, Portfolio), based at 30 Derekh Sheshet Ha-yamim St. Bene-Beraq, L3 5112302, is a leading investment firm with a diverse portfolio. The firm's equity stands at $6.21 billion, spread across 404 stocks. Its top holdings include S&P 500 ETF TRUST ETF(SPY, Financial), Vanguard S&P 500 ETF(VOO, Financial), Financial Select Sector SPDR(XLF, Financial), Health Care Select Sector SPDR(XLV, Financial), and INVESCO QQQ Trust(QQQ, Financial). The firm's top sectors are Technology and Financial Services, reflecting its strategic investment philosophy.
Details of the Transaction
On August 3, 2023, MEITAV INVESTMENT HOUSE LTD (Trades, Portfolio) bought 766,694 shares of Formula Systems (1985) Ltd at a price of $75 per share. This new holding now represents 0.92% of the guru's portfolio and 5.00% of the traded company's total shares. The transaction had a significant impact on the guru's portfolio, demonstrating the firm's confidence in the traded company's potential.
Profile of Formula Systems (1985) Ltd
Formula Systems (1985) Ltd, symbol FORTY, is an Israel-based holding company that provides information technology services through its subsidiaries. The company, which went public on October 20, 1997, organizes itself into three primary segments: Matrix, Sapiens, and Magic Software. The majority of the company's revenue comes from Israel. As of August 7, 2023, the company's market cap stands at $1.16 billion, with a stock price of $75. The company's PE percentage is 14.52, indicating a healthy profit margin. The company's GF Value is 102.99, suggesting that the stock is modestly undervalued. The company's GF Score is 94/100, indicating a high outperformance potential.
Financial Health and Performance of Formula Systems (1985) Ltd
Formula Systems (1985) Ltd has a strong financial profile, with a Balance Sheet Rank of 6/10, a Profitability Rank of 9/10, and a Growth Rank of 10/10. The company's GF Value Rank is 10/10, and its Momentum Rank is 5/10. The company's Piotroski F-Score is 5, and its Altman Z score is 1.86. The company's cash to debt ratio is 0.69, and its interest coverage is 11.22. The company's ROE is 14.74, and its ROA is 2.95. The company's gross margin growth is 1.90, its operating margin growth is 9.50, and its 3-year revenue growth is 14.40.
Stock Performance of Formula Systems (1985) Ltd
Formula Systems (1985) Ltd's stock performance has been steady, with an RSI 5 Day of 68.47, an RSI 9 Day of 56.59, and an RSI 14 Day of 53.68. The company's Momentum Index 6 - 1 Month is -7.85, and its Momentum Index 12 - 1 Month is -25.87. The company's RSI 14 Day Rank is 2020, and its Momentum Index 6 - 1 Month Rank is 1580.
Conclusion
In conclusion, MEITAV INVESTMENT HOUSE LTD (Trades, Portfolio)'s acquisition of a new stake in Formula Systems (1985) Ltd is a strategic move that reflects the firm's confidence in the traded company's potential. Formula Systems (1985) Ltd's strong financial health, performance, and stock performance make it an attractive investment. This transaction is likely to have a significant impact on both the guru's portfolio and the traded company's stock.
