Magic Software Enterprises Ltd.

    Magic Software Enterprises Ltd.

    TTASE:MGIC
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    ILA
    - -
    - -
    2,490.63P/E

    Share Statistics

    As of September 30, 2025, Magic Software Enterprises Ltd. has 49.10M shares outstanding.

    Shares Outstanding49.10M

    Valuation Ratios

    As of September 30, 2025, Magic Software Enterprises Ltd. trades at a trailing price-to-earnings ratio of 2,490.63.

    PE Ratio2,490.63
    PS Ratio165.35
    P/TBV Ratio1,327.59
    P/FCF Ratio1,462.56
    P/OCF Ratio1,503.45

    Enterprise Valuation

    As of September 30, 2025, Magic Software Enterprises Ltd. trades at an EV/EBITDA multiple of 1,164.39 - the valuation measure that neutralizes differences in capital structure, tax rates, and depreciation policy, making it the standard yardstick for comparing companies across an industry. The EV/Sales ratio of 165.38 reflects the premium investors pay for the company's revenue stream, a useful check when earnings are depressed or negative. Its EV/EBIT multiple of 1,549.71 values the business against core operating earnings after depreciation, a stricter test than EV/EBITDA for capital-intensive businesses. Magic Software Enterprises Ltd. trades at an EV/FCF ratio of 1,367.12, comparing the total takeover cost of the business to the cash it actually generates for all capital providers.

    EV / Sales165.38
    EV / EBITDA1,164.39
    EV / EBIT1,549.71
    EV / FCF1,367.12

    Financial Position

    As of September 30, 2025, Magic Software Enterprises Ltd. maintains a current ratio of 1.48, meaning it holds 1.5x the short-term assets needed to cover near-term liabilities. The debt-to-equity ratio is 31.87, indicating elevated leverage, while an interest coverage ratio of 14.32 demonstrates strong ability to service its debt obligations.

    Current Ratio1.48
    Quick Ratio1.48
    Debt / Equity31.87
    Debt / EBITDA1.12
    Interest Coverage14.32

    Financial Efficiency

    These figures cover the twelve months ended September 30, 2025. Return on invested capital (ROIC) comes in at 12.95 - the clearest signal of whether the business earns more on its capital than that capital costs, and the core measure of a durable competitive advantage. Return on assets (ROA) stands at 7.37, measuring how efficiently the asset base is converted into earnings. Return on capital employed (ROCE) is 31.39, useful for judging operating efficiency across full business cycles.

    Return on Assets (ROA)7.37
    Return on Invested Capital (ROIC)12.95
    Return on Capital Employed (ROCE)31.39

    Taxes

    These figures cover the twelve months ended September 30, 2025. That works out to an effective tax rate of 20.20, which can sit above or below the statutory corporate tax rate depending on foreign earnings mix, tax credits, and one-off items.

    Effective Tax Rate20.20

    Margins

    Over the twelve months ended September 30, 2025, Magic Software Enterprises Ltd. posted a gross margin of 28.15, reflecting its pricing power and cost economics. The operating margin of 10.67 and net profit margin of 6.64 provide insight into operational efficiency.

    Gross Margin28.15
    Operating Margin10.67
    Pretax Margin9.84
    Profit Margin6.64
    EBITDA Margin14.20

    Dividends & Yields

    These figures cover the twelve months ended September 30, 2025. The dividend payout ratio of 50.46 indicates the proportion of earnings distributed to shareholders, a key gauge of how sustainable the dividend is and how much room remains for future dividend growth. Free cash flow yield stands at 0.07, showing how much cash the business generates relative to its market value - dividends covered by free cash flow are generally more durable than those funded by debt. Total shareholder yield reaches 0.06, combining dividends paid with share buybacks and debt reduction for a fuller picture of capital returned to Magic Software Enterprises Ltd. shareholders.

    Payout Ratio50.46
    Shareholder Yield0.06
    FCF Yield0.07

    Scores

    As of September 30, 2025, Magic Software Enterprises Ltd. has an Altman Z-Score of 233.85, well above the 3.0 threshold that indicates strong financial health and minimal bankruptcy risk.

    Altman Z-Score233.85