Latest Ratios: P/E Ratio -0.2x · EV/EBITDA 5.3x · ROE -115.6%. (2017–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $502M | $1.0B | $3.8B | $4.2B | $3.8B | $4.8B | $5.0B | — | — | — |
| Enterprise Value | $2.3B | $2.9B | $5.6B | $6.7B | $6.6B | $7.5B | $8.9B | — | — | — |
| P/E Ratio → | -0.16 | — | — | — | — | — | — | — | — | — |
| P/S Ratio | 0.22 | 0.45 | 1.62 | 1.22 | 1.74 | 1.63 | 1.83 | — | — | — |
| P/B Ratio | 0.48 | 0.98 | 0.88 | 0.88 | 0.75 | 0.96 | 7.31 | — | — | — |
| P/FCF | 2.01 | 4.12 | 28.90 | 16.97 | 27.78 | 4754.24 | 34.93 | — | — | — |
| P/OCF | 1.39 | 2.86 | 15.02 | 10.82 | 13.40 | 41.34 | 21.44 | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.27 | 2.40 | 1.98 | 2.98 | 2.57 | 3.24 | — | — | — |
| EV / EBITDA | 5.32 | 6.52 | 18.36 | 21.05 | 25.73 | 13.68 | 20.21 | — | — | — |
| EV / EBIT | 69.05 | — | — | — | — | 59.01 | 63.22 | — | — | — |
| EV / FCF | — | 11.50 | 42.74 | 27.38 | 47.73 | 7494.24 | 61.89 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 20.7% | 20.7% | 34.0% | 33.4% | 31.1% | 23.8% | 30.6% | 34.6% | 35.8% | 34.9% |
| Operating Margin | 1.5% | 1.5% | -3.9% | -3.0% | -4.3% | 6.7% | 5.4% | 10.4% | 8.6% | 8.3% |
| Net Profit Margin | -136.9% | -136.9% | -6.7% | -10.1% | -2.8% | -2.1% | -3.8% | 0.9% | -0.9% | 1.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -115.6% | -115.6% | -3.5% | -7.0% | -1.2% | -2.1% | -13.8% | 2.7% | -2.5% | 2.7% |
| ROA | -48.5% | -48.5% | -1.7% | -3.1% | -0.6% | -0.7% | -1.5% | 0.4% | -0.4% | 0.4% |
| ROIC | 0.6% | 0.6% | -1.0% | -1.0% | -0.9% | 2.4% | 2.4% | 4.6% | 3.7% | 3.4% |
| ROCE | 0.6% | 0.6% | -1.1% | -1.2% | -1.1% | 2.8% | 2.9% | 5.6% | 4.6% | 4.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 2.03 | 2.03 | 0.50 | 0.62 | 0.59 | 0.63 | 6.39 | 5.04 | 4.23 | 3.90 |
| Debt / EBITDA | 4.80 | 4.80 | 7.07 | 9.12 | 11.73 | 5.68 | 9.96 | 7.84 | 8.00 | 9.04 |
| Net Debt / Equity | — | 1.76 | 0.42 | 0.54 | 0.54 | 0.56 | 5.64 | 4.77 | 3.97 | 3.67 |
| Net Debt / EBITDA | 4.19 | 4.19 | 5.94 | 8.00 | 10.75 | 5.00 | 8.80 | 7.42 | 7.49 | 8.53 |
| Debt / FCF | — | 7.38 | 13.84 | 10.41 | 19.95 | 2740.00 | 26.96 | 20.11 | 27.97 | 13.25 |
| Interest Coverage | -32.28 | -32.28 | -0.44 | -1.79 | -0.02 | 0.71 | 0.60 | 1.17 | 0.98 | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.31 | 1.31 | 1.42 | 1.27 | 1.20 | 1.16 | 1.25 | 1.15 | 1.22 | 1.18 |
| Quick Ratio | 1.31 | 1.31 | 1.42 | 1.27 | 1.20 | 1.16 | 1.25 | 1.15 | 1.22 | 1.18 |
| Cash Ratio | 0.31 | 0.31 | 0.38 | 0.16 | 0.11 | 0.18 | 0.28 | 0.14 | 0.18 | 0.11 |
| Asset Turnover | — | 0.50 | 0.28 | 0.32 | 0.20 | 0.27 | 0.39 | 0.39 | 0.42 | 0.37 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 76.97 | 87.65 | 86.17 | 136.77 | 83.02 | 75.46 | 95.11 | 77.82 | 89.47 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 17.1% | 8.4% | 0.6% | — | — | — | 0.1% | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | 45.5% | — | 287.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | — | — | — | — | — | — | — |
| FCF Yield | 49.8% | 24.3% | 3.5% | 5.9% | 3.6% | 0.0% | 2.9% | — | — | — |
| Buyback Yield | 13.0% | 6.3% | 4.4% | 1.0% | 0.3% | 3.0% | 0.0% | — | — | — |
| Total Shareholder Yield | 30.1% | 14.7% | 5.0% | 1.0% | 0.3% | 3.0% | 0.1% | — | — | — |
| Shares Outstanding | — | $26M | $27M | $24M | $23M | $22M | $22M | $22M | $22M | $6M |
Structural Margin Erosion
Based on reported financial data, Alight trades at a P/S multiple of 0.14, which suggests that the market is heavily discounting the company's future revenue potential compared to its historical averages and the broader software peer group, likely due to persistent GAAP net losses and top-line contraction.
The forward P/E of 2.11 indicates that investors are pricing in a significant turnaround, yet the lack of a clear PEG ratio highlights the absence of reliable earnings growth visibility. This valuation profile suggests that the market views Alight as a distressed asset rather than a growth-oriented software provider, warranting caution regarding the sustainability of its current market capitalization.
As reported in recent financial statements, Alight's gross margin of 20.73% remains notably low for a software-categorized entity, indicating that the company's reliance on labor-intensive service delivery continues to impede the realization of the high margins typically associated with scalable enterprise software platforms.
The razor-thin operating margin of 1.50% suggests that high SG&A costs are consuming nearly all gross profit, leaving little room for error. Investors should monitor whether the ongoing transition to the Worklife platform can successfully shift the cost structure toward a more automated, software-centric model.
According to quarterly filings, Alight's asset turnover has remained consistently low, hovering near 0.10, which suggests that the company struggles to generate meaningful revenue from its asset base compared to more efficient peers in the human capital management and business process outsourcing sectors.
The fluctuations in DSO, which have ranged from 55 to 103 days, indicate inconsistent collection cycles that may reflect the complexity of enterprise client contracts. This variability in working capital efficiency warrants further investigation into the company's ability to manage its cash conversion cycle effectively during periods of organizational restructuring.
Based on the provided figures, the reported debt-to-equity ratio of 0.02 in 2026Q1 represents a dramatic shift from previous periods, suggesting either a massive debt reduction or a potential reporting anomaly that requires immediate verification against the company's most recent 10-K filings.
While the low leverage ratio might appear favorable, the negative interest coverage ratio in several recent quarters indicates that the company's ability to service its debt remains precarious. Investors should be wary of interpreting these headline leverage figures as a sign of financial strength without confirming the underlying debt structure.
The most commonly misapplied ratio for Alight is the P/S multiple, which obscures the company's high reliance on low-margin professional services and pass-through revenue, leading to an inaccurate comparison with pure-play SaaS providers that operate with significantly higher gross margins and lower capital intensity.
Analysts should instead focus on EV/EBITDA or free cash flow yield to better capture the company's actual cash-generating capability, as these metrics account for the significant non-cash charges and restructuring costs that currently distort GAAP earnings. Relying on SaaS-style revenue multiples risks ignoring the structural costs inherent in Alight's service-heavy business model.
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Quick answers to the most common questions about buying ALIT stock.
Alight, Inc.'s current P/E ratio is -0.2x. This places it at the 50th percentile of its historical range.
Alight, Inc.'s current EV/EBITDA is 5.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 17.6x.
Alight, Inc.'s return on equity (ROE) is -115.6%. The historical average is -15.6%.
Based on historical data, Alight, Inc. is trading at a P/E of -0.2x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Alight, Inc.'s current dividend yield is 17.12%.
Alight, Inc. has 20.7% gross margin and 1.5% operating margin.
Alight, Inc.'s Debt/EBITDA ratio is 4.8x, indicating high leverage. A ratio above 4x may signal elevated financial risk.