ALIT Stock Analysis: Alight | NYSE
Software - Application | NYSE, USA | Market Cap: 694m USD | 12M Return: -80.6% | US01626W2008 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 9.77M
EPS Trend: -70.3%
Qual. Beats: 0
Rev. Trend: -92.3%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Alight, Inc. (NYSE: ALIT) is a technology-enabled services company that delivers cloud-based human capital and employee engagement solutions to clients worldwide. Its flagship platform, Alight Worklife, integrates benefits administration, healthcare navigation, financial wellbeing, leave management, and retiree healthcare, supplemented by AI-driven software capabilities and a full-service customer care center that supports the full lifecycle of employees health, wealth, and wellbeing needs.
The company operates a B2B business model, selling its platform primarily to large employers seeking to outsource and digitize workforce administration. Headquartered in Chicago, Illinois, and founded in 2020, Alight is classified within the GICS Industrials sector under the Human Resource & Employment Services sub-industry, a segment that competes with other benefits administration, payroll, and workforce management providers serving enterprise customers.
- Alight Worklife subscription revenue drives double-digit growth
- AI automation lifts operating margins in benefits delivery
- Debt paydown and free cash flow strengthen balance sheet
| Net Income: -2.03b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 3.74 > 1.0 |
| NWC/Revenue: 13.00% < 20% (prev 6.19%; Δ 6.81% < -1%) |
| CFO/TA 0.08 > 3% & CFO 353.0m > Net Income -2.03b |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 1.42 > 1.5 & < 3 |
| Outstanding Shares: last quarter (26.4m) vs 12m ago -0.27% < -2% |
| Gross Margin: 18.83% > 18% (prev 34.27%; Δ -15.45% > 0.5%) |
| Asset Turnover: 40.40% > 50% (prev 34.10%; Δ 6.30% > 0%) |
| Interest Coverage Ratio: -16.76 > 6 (EBIT TTM -1.61b / Interest Expense TTM 96.0m) |
| A: 0.07 (Total Current Assets 973.0m - Total Current Liabilities 683.0m) / Total Assets 4.27b |
| B: -0.89 (Retained Earnings -3.79b / Total Assets 4.27b) |
| C: -0.29 (EBIT TTM -1.61b / Avg Total Assets 5.52b) |
| D: 0.32 (Book Value of Equity 1.02b / Total Liabilities 3.24b) |
| Altman-Z'' = -4.07 = D |
| DSRI: 0.86 (Receivables 376.0m/452.0m, Revenue 2.23b/2.31b) |
| GMI: 1.82 (GM 34.27% / 18.83%) |
| AQI: 0.97 (AQ_t 0.76 / AQ_t-1 0.79) |
| SGI: 0.97 (Revenue 2.23b / 2.31b) |
| TATA: -0.56 (NI -2.03b - CFO 353.0m) / TA 4.27b) |
| Beneish M = -2.50 (Cap -4..+1) = BBB |
As of August 15, 2026, the stock is trading at USD 13.80 with a total of 269,431 shares traded. Over the past week, the price has changed by -8.73%, over one month by -37.10%, over three months by -13.75% and over the past year by -80.62%.
Current recommended Stop Loss: 11.70 (which is 15.2% or 1.2 ATR below the current price).
Alight has received a consensus analysts rating of 4.57. Therefore, it is recommended to buy ALIT.
- StrongBuy: 5
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 41.3 | 198.9% |
P/E Forward = 1.3222
P/S = 0.3111
P/B = 0.3851
Revenue TTM = 2.23b USD
EBIT TTM = -1.61b USD
EBITDA TTM = -1.19b USD
Long Term Debt = 1.98b USD (from longTermDebt, last quarter)
Short Term Debt = 40.0m USD (from shortTermDebt, last quarter)
Debt = 2.17b USD (from shortLongTermDebtTotal, last quarter) + Leases 112.0m
Net Debt = 1.96b USD (calculated: Debt 2.17b - CCE 215.0m)
Enterprise Value = 2.65b USD (694.0m + Debt 2.17b - CCE 215.0m)
Interest Coverage Ratio = -16.76 (Ebit TTM -1.61b / Interest Expense TTM 96.0m)
EV/FCF = 10.66x (Enterprise Value 2.65b / FCF TTM 249.0m)
FCF Yield = 9.38% (FCF TTM 249.0m / Enterprise Value 2.65b)
FCF Margin = 11.16% (FCF TTM 249.0m / Revenue TTM 2.23b)
Net Margin = -90.90% (Net Income TTM -2.03b / Revenue TTM 2.23b)
Gross Margin = 18.83% ((Revenue TTM 2.23b - Cost of Revenue TTM 1.81b) / Revenue TTM)
Gross Margin QoQ = 27.79% (prev 29.21%)
Tobins Q-Ratio = 0.62 (Enterprise Value 2.65b / Total Assets 4.27b)
Interest Expense / Debt = 4.41% (Interest Expense 96.0m / Debt 2.17b)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -1.27b (EBIT -1.61b * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 1.42 (Total Current Assets 973.0m / Total Current Liabilities 683.0m)
Debt / Equity = 2.12 (Debt 2.17b / totalStockholderEquity, last quarter 1.02b)
Debt / EBITDA = -1.64 (negative EBITDA) (Net Debt 1.96b / EBITDA -1.19b)
Debt / FCF = 7.87 (Net Debt 1.96b / FCF TTM 249.0m)
Total Stockholder Equity = 1.27b (last 4 quarters mean from totalStockholderEquity)
RoA = -36.72% (Net Income -2.03b / Total Assets 4.27b)
RoE = -159.2% (Net Income TTM -2.03b / Total Stockholder Equity 1.27b)
RoCE = -49.50% (EBIT -1.61b / Capital Employed (Equity 1.27b + L.T.Debt 1.98b))
RoIC = -36.18% (negative operating profit) (NOPAT -1.27b / Invested Capital 3.51b)
WACC = 4.98% (E(694.0m)/V(2.87b) * Re(9.64%) + D(2.17b)/V(2.87b) * Rd(4.41%) * (1-Tc(0.21)))
Discount Rate = 9.64% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -90.33 | Cagr: -1.24%
[DCF] Terminal Value 77.97% ; FCFF base≈206.2m ; Y1≈236.4m ; Y5≈347.9m
[DCF] Fair Price = 124.0 (EV 5.24b - Net Debt 1.96b = Equity 3.28b / Shares 26.4m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -70.29 | EPS CAGR: -32.35% | SUE: 0.56 | # QB: 0
Revenue Correlation: -92.32 | Revenue CAGR: -11.17% | SUE: 0.14 | # QB: 0
EPS current Quarter (2026-09-30): EPS=0.08 | Chg30d=-93.37% | Revisions=+17% | Analysts=4
EPS current Year (2026-12-31): EPS=4.80 | Chg30d=-14.50% | Revisions=+17% | GrowthEPS=-52.0% | GrowthRev=-7.5%
EPS next Year (2027-12-31): EPS=5.27 | Chg30d=-18.95% | Revisions=+0% | GrowthEPS=+9.8% | GrowthRev=-2.5%
[Analyst] Revisions Ratio: +18% (up=5, down=3)