Formula Systems (1985) Ltd., through its subsidiaries, provides proprietary and non-proprietary software solutions and information technologies (IT) professional services in Israel, the United States, Europe, Africa, Jap…
FAIL · Does not pass the screen
110.25 USD
Price as of 5 Nov 2026Daily close, not a live quote
Screened 2026-11-05 · the tape above runs as of 20:03 UTC · two dates, stated on purpose · verdict and workings shown in full · never trimmed
Positioning no disclosures inside 60 days, left as found
Options no verdict drawn today, left as found
Ethical does not pass the values gate
Price110.25 USD
Ethical score70.0/100
Our investment reviews on this name
2026-11-02Read Markup122.00-9.6% to today Accumulation gives way to Markup while volume is distributing
2026-10-26Read Accumulation119.22-7.5% to today Markdown gives way to Accumulation
2026-10-02Read Markdown119.20-7.5% to today ✓Accumulation gives way to Markdown after a 5% slide in 5 weeks
2026-08-29Read Accumulation125.72-12.3% to today Distribution gives way to Accumulation after a 7% rise in 8 weeks
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Formula Systems (1985) Ltd. holds its Markup at $110.25. Consolidating, no directional conviction, held for 1 days.
As held on the ledger · 2026-11-05
Phase
Markup
Quantitative state
Consolidating, no directional conviction, held for 1 days
Price at the screen
$110.25
Valuation
25.26 trailing · N/A forward price to earnings
Values screen
FAIL· score 70.0
Beta
0.17
The Workings
Five Screens, Shown in Full
Does not pass. Accounts receivable
Test
Figure
Limit
What it means
Status
Business activity
Permissible
Core business clean
Its core business isn't built on prohibited lines: no gambling, alcohol, tobacco, weapons, or interest-based lending.
Pass
Debt load
16.53%
Below 33%
Interest-bearing debt is just 16.5% of its assets, well under the one-third ceiling: it does not run on borrowed money.
Pass
Interest-bearing cash
0.57%
Below 33%
Cash held in interest-bearing accounts and securities is 0.6% of assets, under the one-third limit.
Pass
Receivables
57.34%
Below 49%
Money owed to the company is 57.3% of assets, above the 49% limit.
Fail
Revenue purity
0.52%
Below 5%
Only 0.5% of revenue comes from non-compliant sources, under the 5% line.
Pass
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical Read
Why It Falls Short, in Plain English
Formula Systems (1985)'s business is fine, but its receivables are about 57% of its assets, just over the ~49% line, so it does not pass on the financial screens.
Read as at 2026-11-05. It updates when the underlying figures move, and past reads are kept below.
Follow this verdict
Get an email when FORTY's ethical verdict changes
Today FORTY does not pass the screen. If new figures move it to a pass, we send you one short email with the before and after. Verdicts change rarely, so you may not hear from us for a long time.
Free, no account needed. Every email has a link to stop.
Another profit measure, before interest, tax and non-cash costs: EBITDA.
The risks · The things to watch: it's a small-cap, so the share price can swing harder than the market; its business and earnings are exposed to Israel and to currency swings.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
FORTY trades on Nasdaq (the company is based in Israel). As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The Dated Journal · Newest First, Never Edited
Every Entry, As Written
2026-11-02Markup · changed$122.00+2.3%Entry 9
The framework has shifted from accumulation to markup since the last review. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved up 2.3% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
The framework has shifted from markdown to accumulation since the last review. Smart money appears to be quietly building positions. This typically precedes a markup phase. Price has moved up 6.9% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it B, carrying a low risk profile. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
2026-10-17Markdown$111.50-6.5%Entry 7
The analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 6.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is momentum reading oversold. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
2026-10-02Markdown · changed$119.20-5.2%Entry 6
The framework has shifted from accumulation to markdown since the last review. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 5.2% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is momentum reading oversold. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
The framework has shifted from distribution to accumulation since the last review. Smart money appears to be quietly building positions. This typically precedes a markup phase. Price has moved up 16.4% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is momentum reading oversold. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
2026-07-30Distribution$108.00-8.1%Entry 4
Our analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 8.1% since our last review. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is momentum reading oversold. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
2026-07-18Distribution$117.50+0.0%Entry 3
Our analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C, carrying a low risk profile. Technically it is momentum reading oversold. Over the past year the shares are up 20%. Our forward projection puts the odds of a 10% gain over the next month near 32%.
2026-07-03Distribution$117.50+0.0%Entry 2
Our analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows good risk-adjusted returns.
2026-07-02Distribution$117.50Entry 1
Our analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Ethical screening: PASS with passing ethical screen (70). The risk-adjusted return profile shows good risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
