ALIT Stock Analysis: Alight | NYSE
Software - Application | NYSE, USA | Market Cap: 856m USD | 12M Return: -82.2% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 15.3M
EPS Trend: -60.7%
Qual. Beats: 0
Rev. Trend: -91.9%
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: -3.09b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 4.57 > 1.0 |
| NWC/Revenue: 11.34% < 20% (prev 6.94%; Δ 4.41% < -1%) |
| CFO/TA 0.08 > 3% & CFO 366.0m > Net Income -3.09b |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 1.37 > 1.5 & < 3 |
| Outstanding Shares: last quarter (26.2m) vs 12m ago -1.42% < -2% |
| Gross Margin: 20.20% > 18% (prev 33.74%; Δ -13.54% > 0.5%) |
| Asset Turnover: 36.70% > 50% (prev 29.33%; Δ 7.36% > 0%) |
| Interest Coverage Ratio: -27.43 > 6 (EBIT TTM -2.58b / Interest Expense TTM 94.0m) |
| A: 0.06 (Total Current Assets 948.0m - Total Current Liabilities 693.0m) / Total Assets 4.34b |
| B: -0.87 (Retained Earnings -3.78b / Total Assets 4.34b) |
| C: -0.42 (EBIT TTM -2.58b / Avg Total Assets 6.13b) |
| D: 0.31 (Book Value of Equity 1.03b / Total Liabilities 3.31b) |
| Altman-Z'' = -4.95 = D |
| DSRI: 0.86 (Receivables 411.0m/495.0m, Revenue 2.25b/2.32b) |
| GMI: 1.67 (GM 33.74% / 20.20%) |
| AQI: 0.85 (AQ_t 0.69 / AQ_t-1 0.81) |
| SGI: 0.97 (Revenue 2.25b / 2.32b) |
| TATA: -0.80 (NI -3.09b - CFO 366.0m) / TA 4.34b) |
| Beneish M = -2.73 (Cap -4..+1) = A |
As of July 28, 2026, the stock is trading at USD 19.73 with a total of 516,569 shares traded. Over the past week, the price has changed by -3.05%, over one month by +79.36%, over three months by +49.24% and over the past year by -82.18%.
Current recommended Stop Loss: 17.80 (which is 9.8% 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 | 44 | 123% |
P/E Forward = 1.3222
P/S = 0.3809
P/B = 0.4958
Revenue TTM = 2.25b USD
EBIT TTM = -2.58b USD
EBITDA TTM = -2.17b USD
Long Term Debt = 1.98b USD (from longTermDebt, last quarter)
Short Term Debt = 60.0m USD (from shortTermDebt, last quarter)
Debt = 2.23b USD (from shortLongTermDebtTotal, last quarter) + Leases 114.0m
Net Debt = 1.81b USD (calculated: Debt 2.23b - CCE 417.0m)
Enterprise Value = 2.67b USD (856.2m + Debt 2.23b - CCE 417.0m)
Interest Coverage Ratio = -27.43 (Ebit TTM -2.58b / Interest Expense TTM 94.0m)
EV/FCF = 10.30x (Enterprise Value 2.67b / FCF TTM 259.0m)
FCF Yield = 9.71% (FCF TTM 259.0m / Enterprise Value 2.67b)
FCF Margin = 11.52% (FCF TTM 259.0m / Revenue TTM 2.25b)
Net Margin = -137.5% (Net Income TTM -3.09b / Revenue TTM 2.25b)
Gross Margin = 20.20% ((Revenue TTM 2.25b - Cost of Revenue TTM 1.79b) / Revenue TTM)
Gross Margin QoQ = 29.21% (prev -12.86%)
Tobins Q-Ratio = 0.61 (Enterprise Value 2.67b / Total Assets 4.34b)
Interest Expense / Debt = 4.22% (Interest Expense 94.0m / Debt 2.23b)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -2.04b (EBIT -2.58b * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 1.37 (Total Current Assets 948.0m / Total Current Liabilities 693.0m)
Debt / Equity = 2.17 (Debt 2.23b / totalStockholderEquity, last quarter 1.03b)
Debt / EBITDA = -0.84 (negative EBITDA) (Net Debt 1.81b / EBITDA -2.17b)
Debt / FCF = 6.99 (Net Debt 1.81b / FCF TTM 259.0m)
Total Stockholder Equity = 1.80b (last 4 quarters mean from totalStockholderEquity)
RoA = -50.46% (Net Income -3.09b / Total Assets 4.34b)
RoE = -171.9% (Net Income TTM -3.09b / Total Stockholder Equity 1.80b)
RoCE = -68.24% (EBIT -2.58b / Capital Employed (Equity 1.80b + L.T.Debt 1.98b))
RoIC = -56.67% (negative operating profit) (NOPAT -2.04b / Invested Capital 3.59b)
WACC = 5.61% (E(856.2m)/V(3.08b) * Re(11.52%) + D(2.23b)/V(3.08b) * Rd(4.22%) * (1-Tc(0.21)))
Discount Rate = 11.52% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 3.54 | Cagr: 2.38%
[DCF] Terminal Value 77.97% ; FCFF base≈199.8m ; Y1≈229.0m ; Y5≈337.1m
[DCF] Fair Price = 123.8 (EV 5.07b - Net Debt 1.81b = Equity 3.26b / Shares 26.3m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -60.69 | EPS CAGR: -27.59% | SUE: -0.00 | # QB: 0
Revenue Correlation: -91.93 | Revenue CAGR: -11.07% | SUE: 0.25 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.76 | Chg30d=+0.80% | Revisions=+17% | Analysts=5
EPS next Quarter (2026-09-30): EPS=1.21 | Chg30d=-0.17% | Revisions=+17% | Analysts=5
EPS current Year (2026-12-31): EPS=5.62 | Chg30d=+0.00% | Revisions=+17% | GrowthEPS=-43.9% | GrowthRev=-5.1%
EPS next Year (2027-12-31): EPS=6.50 | Chg30d=+10.82% | Revisions=+0% | GrowthEPS=+15.8% | GrowthRev=+0.0%
[Analyst] Revisions Ratio: +21% (up=7, down=4)