ALIGHT INC - CLASS A (ALIT) Stock Fundamental Analysis
NYSE:ALIT • US01626W1018
0.8797 USD
-0.01 (-1.37%)
At close: Feb 27, 2026
0.8557 USD
-0.02 (-2.73%)
Pre-Market: 3/2/2026, 7:01:06 AM
Taking everything into account, ALIT scores 4 out of 10 in our fundamental rating. ALIT was compared to 88 industry peers in the Professional Services industry. ALIT has a bad profitability rating. Also its financial health evaluation is rather negative. ALIT is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- ALIT had positive earnings in the past year.
- ALIT had a positive operating cash flow in the past year.
- In the past 5 years ALIT always reported negative net income.
- Each year in the past 5 years ALIT had a positive operating cash flow.
1.2 Ratios
- With a Return On Assets value of -67.80%, ALIT is not doing good in the industry: 89.77% of the companies in the same industry are doing better.
- ALIT has a worse Return On Equity (-296.65%) than 87.50% of its industry peers.
- ALIT has a Return On Invested Capital of 2.25%. This is in the lower half of the industry: ALIT underperforms 63.64% of its industry peers.
- ALIT had an Average Return On Invested Capital over the past 3 years of 1.01%. This is significantly below the industry average of 12.74%.
- The last Return On Invested Capital (2.25%) for ALIT is above the 3 year average (1.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -67.8% | ||
| ROE | -296.65% | ||
| ROIC | 2.25% |
ROA(3y)-24.3%
ROA(5y)-14.8%
ROE(3y)-102.67%
ROE(5y)-62.17%
ROIC(3y)1.01%
ROIC(5y)1.13%
1.3 Margins
- With a Operating Margin value of 4.64%, ALIT perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
- ALIT's Operating Margin has declined in the last couple of years.
- ALIT's Gross Margin of 33.82% is in line compared to the rest of the industry. ALIT outperforms 47.73% of its industry peers.
- ALIT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.64% | ||
| PM (TTM) | N/A | ||
| GM | 33.82% |
OM growth 3Y31.46%
OM growth 5Y-14.37%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.07%
GM growth 5Y2.04%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ALIT is destroying value.
- ALIT has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ALIT has less shares outstanding
- ALIT has a worse debt/assets ratio than last year.
2.2 Solvency
- ALIT has an Altman-Z score of -0.43. This is a bad value and indicates that ALIT is not financially healthy and even has some risk of bankruptcy.
- ALIT has a Altman-Z score of -0.43. This is in the lower half of the industry: ALIT underperforms 77.27% of its industry peers.
- ALIT has a debt to FCF ratio of 8.21. This is a slightly negative value and a sign of low solvency as ALIT would need 8.21 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 8.21, ALIT is in line with its industry, outperforming 46.59% of the companies in the same industry.
- A Debt/Equity ratio of 1.93 is on the high side and indicates that ALIT has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 1.93, ALIT is doing worse than 80.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.93 | ||
| Debt/FCF | 8.21 | ||
| Altman-Z | -0.43 |
ROIC/WACC0.39
WACC5.81%
2.3 Liquidity
- A Current Ratio of 1.31 indicates that ALIT should not have too much problems paying its short term obligations.
- ALIT has a Current ratio (1.31) which is comparable to the rest of the industry.
- ALIT has a Quick Ratio of 1.31. This is a normal value and indicates that ALIT is financially healthy and should not expect problems in meeting its short term obligations.
- ALIT's Quick ratio of 1.31 is in line compared to the rest of the industry. ALIT outperforms 40.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
- The earnings per share for ALIT have decreased strongly by -12.28% in the last year.
- ALIT shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.71% yearly.
- Looking at the last year, ALIT shows a decrease in Revenue. The Revenue has decreased by -3.00% in the last year.
- The Revenue has been decreasing by -3.68% on average over the past years.
EPS 1Y (TTM)-12.28%
EPS 3Y-3.71%
EPS 5YN/A
EPS Q2Q%-25%
Revenue 1Y (TTM)-3%
Revenue growth 3Y-10.28%
Revenue growth 5Y-3.68%
Sales Q2Q%-3.97%
3.2 Future
- ALIT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.78% yearly.
- Based on estimates for the next years, ALIT will show a small growth in Revenue. The Revenue will grow by 1.65% on average per year.
EPS Next Y17.33%
EPS Next 2Y13.78%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.04%
Revenue Next 2Y1.65%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 1.76, which indicates a rather cheap valuation of ALIT.
- 96.59% of the companies in the same industry are more expensive than ALIT, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.07. ALIT is valued rather cheaply when compared to this.
- With a Price/Forward Earnings ratio of 1.50, the valuation of ALIT can be described as very cheap.
- Based on the Price/Forward Earnings ratio, ALIT is valued cheaply inside the industry as 98.86% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 28.05. ALIT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.76 | ||
| Fwd PE | 1.5 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ALIT is valued cheaply inside the industry as 93.18% of the companies are valued more expensively.
- 100.00% of the companies in the same industry are more expensive than ALIT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.88 | ||
| EV/EBITDA | 4.39 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- A more expensive valuation may be justified as ALIT's earnings are expected to grow with 13.78% in the coming years.
PEG (NY)0.1
PEG (5Y)N/A
EPS Next 2Y13.78%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- ALIT has a Yearly Dividend Yield of 17.94%, which is a nice return.
- The stock price of ALIT dropped by -61.92% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
- Compared to an average industry Dividend Yield of 1.64, ALIT pays a better dividend. On top of this ALIT pays more dividend than 98.86% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, ALIT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.94% |
5.2 History
- ALIT is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- The earnings of ALIT are negative and hence is the payout ratio. ALIT will probably not be able to sustain this dividend level.
DP-2.78%
EPS Next 2Y13.78%
EPS Next 3YN/A
0.8797
-0.01 (-1.37%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)02-19 2026-02-19/bmo
Earnings (Next)05-06 2026-05-06/bmo
Inst Owners94.17%
Inst Owner Change-3.47%
Ins Owners3.01%
Ins Owner Change4.28%
Market Cap469.06M
Revenue(TTM)2.26B
Net Income(TTM)-3.10B
Analysts81.67
Price Target2.45 (178.5%)
Short Float %7.4%
Short Ratio2.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.94% |
Yearly Dividend0.16
Dividend Growth(5Y)N/A
DP-2.78%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.8%
Min EPS beat(2)-24.5%
Max EPS beat(2)-9.1%
EPS beat(4)0
Avg EPS beat(4)-10.42%
Min EPS beat(4)-24.5%
Max EPS beat(4)-2.1%
EPS beat(8)3
Avg EPS beat(8)-4.46%
EPS beat(12)7
Avg EPS beat(12)0.26%
EPS beat(16)9
Avg EPS beat(16)6.7%
Revenue beat(2)0
Avg Revenue beat(2)-2.44%
Min Revenue beat(2)-2.6%
Max Revenue beat(2)-2.29%
Revenue beat(4)0
Avg Revenue beat(4)-1.77%
Min Revenue beat(4)-2.6%
Max Revenue beat(4)-0.79%
Revenue beat(8)1
Avg Revenue beat(8)-5.42%
Revenue beat(12)2
Avg Revenue beat(12)-4.66%
Revenue beat(16)3
Avg Revenue beat(16)-3.72%
PT rev (1m)-46.67%
PT rev (3m)-55%
EPS NQ rev (1m)-30.37%
EPS NQ rev (3m)-31.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.89%
Revenue NQ rev (1m)-6.47%
Revenue NQ rev (3m)-6.74%
Revenue NY rev (1m)-0.38%
Revenue NY rev (3m)-2.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.76 | ||
| Fwd PE | 1.5 | ||
| P/S | 0.21 | ||
| P/FCF | 1.88 | ||
| P/OCF | 1.3 | ||
| P/B | 0.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.39 |
EPS(TTM)0.5
EY56.84%
EPS(NY)0.59
Fwd EY66.69%
FCF(TTM)0.47
FCFY53.3%
OCF(TTM)0.68
OCFY76.75%
SpS4.24
BVpS1.96
TBVpS-3.02
PEG (NY)0.1
PEG (5Y)N/A
Graham Number4.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -67.8% | ||
| ROE | -296.65% | ||
| ROCE | 2.84% | ||
| ROIC | 2.25% | ||
| ROICexc | 2.42% | ||
| ROICexgc | 10.84% | ||
| OM | 4.64% | ||
| PM (TTM) | N/A | ||
| GM | 33.82% | ||
| FCFM | 11.05% |
ROA(3y)-24.3%
ROA(5y)-14.8%
ROE(3y)-102.67%
ROE(5y)-62.17%
ROIC(3y)1.01%
ROIC(5y)1.13%
ROICexc(3y)1.08%
ROICexc(5y)1.19%
ROICexgc(3y)5.72%
ROICexgc(5y)9.64%
ROCE(3y)1.28%
ROCE(5y)1.43%
ROICexgc growth 3Y32.55%
ROICexgc growth 5Y-19.28%
ROICexc growth 3Y60.6%
ROICexc growth 5Y-12.24%
OM growth 3Y31.46%
OM growth 5Y-14.37%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.07%
GM growth 5Y2.04%
F-Score4
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.93 | ||
| Debt/FCF | 8.21 | ||
| Debt/EBITDA | 3.93 | ||
| Cap/Depr | 27.03% | ||
| Cap/Sales | 4.86% | ||
| Interest Coverage | 1.12 | ||
| Cash Conversion | 70.31% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | -0.43 |
F-Score4
WACC5.81%
ROIC/WACC0.39
Cap/Depr(3y)31.89%
Cap/Depr(5y)33.47%
Cap/Sales(3y)5.59%
Cap/Sales(5y)5.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.28%
EPS 3Y-3.71%
EPS 5YN/A
EPS Q2Q%-25%
EPS Next Y17.33%
EPS Next 2Y13.78%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3%
Revenue growth 3Y-10.28%
Revenue growth 5Y-3.68%
Sales Q2Q%-3.97%
Revenue Next Year1.04%
Revenue Next 2Y1.65%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y90.91%
EBIT growth 3Y17.94%
EBIT growth 5Y-17.52%
EBIT Next Year27.15%
EBIT Next 3Y12.35%
EBIT Next 5YN/A
FCF growth 1Y90.84%
FCF growth 3Y21.9%
FCF growth 5Y11.82%
OCF growth 1Y42.86%
OCF growth 3Y7.97%
OCF growth 5Y9.09%
ALIGHT INC - CLASS A / ALIT FAQ
What is the ChartMill fundamental rating of ALIGHT INC - CLASS A (ALIT) stock?
ChartMill assigns a fundamental rating of 4 / 10 to ALIT.
Can you provide the valuation status for ALIGHT INC - CLASS A?
ChartMill assigns a valuation rating of 9 / 10 to ALIGHT INC - CLASS A (ALIT). This can be considered as Undervalued.
How profitable is ALIGHT INC - CLASS A (ALIT) stock?
ALIGHT INC - CLASS A (ALIT) has a profitability rating of 3 / 10.
How financially healthy is ALIGHT INC - CLASS A?
The financial health rating of ALIGHT INC - CLASS A (ALIT) is 2 / 10.
Can you provide the dividend sustainability for ALIT stock?
The dividend rating of ALIGHT INC - CLASS A (ALIT) is 4 / 10 and the dividend payout ratio is -2.78%.