P/E ratio for Magic Software (MGIC)
P/E ratio as of June 2024 (TTM): 11.9
According to Magic Software's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 11.8889. At the end of 2022 the company had a P/E ratio of 18.6.
P/E ratio history for Magic Software from 2001 to 2023
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2022 | 18.6 | -54.61% |
| 2021 | 41.0 | 31.12% |
| 2020 | 31.3 | -16.79% |
| 2019 | 37.6 | 87.34% |
| 2018 | 20.1 | -13.74% |
| 2017 | 23.3 | -8.27% |
| 2016 | 25.4 | 65.2% |
| 2015 | 15.4 | -7.06% |
| 2014 | 16.5 | 1.43% |
| 2013 | 16.3 | 56.02% |
| 2012 | 10.4 | -15.15% |
| 2011 | 12.3 | -40.25% |
| 2010 | 20.6 | 70.92% |
| 2009 | 12.1 | 22.41% |
| 2008 | 9.85 | 108.38% |
| 2007 | 4.73 | -133.6% |
| 2006 | -14.1 | 37.87% |
| 2005 | -10.2 | -138.37% |
| 2004 | 26.6 | -33.54% |
| 2003 | 40.0 | -666.93% |
| 2002 | -7.06 | 411.53% |
| 2001 | -1.38 |
P/E ratio for similar companies or competitors
| Company | P/E ratio | P/E ratio differencediff. | Country |
|---|---|---|---|
 Microsoft MSFT | 35.8 | 200.94% | 🇺🇸 USA |
 Oracle ORCL | 33.7 | 183.82% | 🇺🇸 USA |
 SAP SAP | 33.9 | 185.04% | 🇩🇪 Germany |
 IBM IBM | 21.7 | 82.83% | 🇺🇸 USA |
 Formula Systems
FORTY | 18.8 | 57.96% | 🇮🇱 Israel |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.