Alight, Inc. (NYSE: ALIT) Q3 Earnings Overview

• Alight reported a Q3 earnings per share (EPS) of $0.09, missing the Zacks Consensus Estimate.
• The company's revenue for the quarter was $555 million, surpassing expectations.
• Alight's financial ratios indicate a moderate level of debt and reasonable liquidity.

Alight, Inc. (NYSE:ALIT) is a leading provider of cloud-based digital human capital and business solutions. The company focuses on employee benefits and wellbeing services, supporting large and complex clients in their people strategy initiatives. Alight operates in the competitive Zacks Internet - Software industry, where it strives to maintain its market leadership.

On November 12, 2024, Alight reported its Q3 earnings, revealing an earnings per share (EPS) of $0.09, which fell short of the Zacks Consensus Estimate of $0.11. This represents an 18.18% negative surprise and a decline from the $0.14 EPS reported in the same quarter last year. Despite this, Alight has exceeded consensus EPS estimates twice in the past four quarters.

Alight's revenue for the quarter was $555 million, surpassing the Zacks Consensus Estimate of $539.68 million by 1.98%. However, this is a decrease from the $813 million reported in the same period last year. Over the last four quarters, Alight has only exceeded consensus revenue estimates once, highlighting challenges in maintaining consistent revenue growth.

Financially, Alight has a price-to-sales ratio of approximately 1.73 and an enterprise value to sales ratio of about 2.39. These metrics indicate how the market values the company's sales and total valuation relative to its revenue. The enterprise value to operating cash flow ratio is around 29.72, reflecting the valuation of cash flow in relation to enterprise value.

Alight's debt-to-equity ratio is approximately 0.47, suggesting a moderate level of debt compared to its equity. The current ratio stands at about 1.30, indicating a reasonable level of liquidity to cover short-term liabilities.