MGIC
Magic Software Enterprises Ltd
Price:  
20.98 
USD
Volume:  
149,528.00
Israel | Software
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MGIC Fair Value

-49.60 %
Upside

What is the fair value of MGIC?

As of 2025-07-08, the Fair Value of Magic Software Enterprises Ltd (MGIC) is 10.57 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 20.98 USD, the upside of Magic Software Enterprises Ltd is -49.60%.

Is MGIC a good investment?

With the market price of 20.98 USD and our fair value calculation, Magic Software Enterprises Ltd (MGIC) is not a good investment. Investing in MGIC stocks now will result in a potential loss of 49.60%.

20.98 USD
Stock Price
10.57 USD
Fair Price
FAIR VALUE CALCULATION

MGIC Fair Value

Peter Lynch's formula is:

MGIC Fair Value
= Earnings Growth Rate x TTM EPS
MGIC Fair Value
= 13.93 x 0.76
MGIC Fair Value
= 10.57

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
2020-12-31 2021-12-31 2022-12-31 2023-12-31 2024-12-31 5Y Avg
Net income 25.20 29.80 40.50 37.00 37.00 33.90
YoY growth 24.14% 18.25% 35.91% -8.64% -% 13.93%

MGIC Fair Value - Key Data

Market Cap (mil) 1,030.12
P/E 27.64x
Forward P/E 21.70x
EPS 0.76
Avg earnings growth rate 13.93%
TTM earnings 37.27