WallStSmart

Broadridge Financial Solutions Inc (BR)vsFormula Systems 1985 Ltd ADR (FORTY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Broadridge Financial Solutions Inc generates 156% more annual revenue ($7.48B vs $2.93B). FORTY leads profitability with a 21.6% profit margin vs 15.0%. BR appears more attractively valued with a PEG of 2.01. BR earns a higher WallStSmart Score of 62/100 (C+).

BR

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 4.7Quality: 5.3
Piotroski: 6/9

FORTY

Buy

61

out of 100

Grade: C+

Growth: 6.7Profit: 7.5Value: 3.3Quality: 5.5
Piotroski: 3/9Altman Z: 2.22
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BRSignificantly Overvalued (-20.1%)

Margin of Safety

-20.1%

Fair Value

$139.57

Current Price

$163.13

$23.56 premium

UndervaluedFair: $139.57Overvalued
FORTYSignificantly Overvalued (-67.1%)

Margin of Safety

-67.1%

Fair Value

$79.89

Current Price

$119.20

$39.31 premium

UndervaluedFair: $79.89Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BR3 strengths · Avg: 8.7/10
Return on EquityProfitability
39.6%10/10

Every $100 of equity generates 40 in profit

P/E RatioValuation
17.6x8/10

Attractively priced relative to earnings

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

FORTY4 strengths · Avg: 9.3/10
Return on EquityProfitability
44.8%10/10

Every $100 of equity generates 45 in profit

EPS GrowthGrowth
54.7%10/10

Earnings expanding 54.7% YoY

Profit MarginProfitability
21.6%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Areas to Watch

BR2 concerns · Avg: 3.5/10
PEG RatioValuation
2.014/10

Expensive relative to growth rate

Debt/EquityHealth
1.243/10

Elevated debt levels

FORTY4 concerns · Avg: 3.0/10
P/E RatioValuation
27.4x4/10

Moderate valuation

Market CapQuality
$1.98B3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.072/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : BR

The strongest argument for BR centers on Return on Equity, P/E Ratio, Operating Margin.

Bull Case : FORTY

The strongest argument for FORTY centers on Return on Equity, EPS Growth, Profit Margin. Profitability is solid with margins at 21.6% and operating margin at 9.2%.

Bear Case : BR

The primary concerns for BR are PEG Ratio, Debt/Equity.

Bear Case : FORTY

The primary concerns for FORTY are P/E Ratio, Market Cap, Piotroski F-Score.

Key Dynamics to Monitor

BR profiles as a value stock while FORTY is a mature play — different risk/reward profiles.

BR carries more volatility with a beta of 0.91 — expect wider price swings.

BR is growing revenue faster at 7.5% — sustainability is the question.

Monitor INFORMATION TECHNOLOGY SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BR scores higher overall (62/100 vs 61/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Broadridge Financial Solutions Inc

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Broadridge Financial Solutions is a public corporate services company founded in 2007 as a spin-off from Automatic Data Processing. The main business of Broadridge is as a service provider supplying public companies with proxy statements, annual reports and other financial documents, and shareholder communications solutions, such as virtual annual meetings.

Formula Systems 1985 Ltd ADR

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Formula Systems (1985) Ltd., provides software, proprietary and non-proprietary software, and software product marketing and support services in Israel and internationally. The company is headquartered in Or Yehuda, Israel.

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