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ALITAlight, Inc.Sell5.3·$19.73+4.56%
SellModerate Confidence
Investment thesis

Alight is a statistically cheap, dividend-paying stock priced well below its analyst target, but a quality score below the engine's investable floor, a death-cross technical block, and a 3-of-4 earnings miss streak keep the position sized at zero conviction despite the wide valuation gap.

Thesis pillars

  • Deep Value MultiplesStable
  • Quality Below Investable FloorDeteriorating
  • Death Cross Hard Block RecoveringStable
  • +2 more pillars — see the Why tab for full reasoning

Full reasoning →

Open full analysis

Alight, Inc. (ALIT) Stock Analysis

Range Bound setup · Inst Constrain edge

SellValueGrowthModerate Confidence

Technology · Software - Application

Sell if holding. Engine safety override at $19.73: Quality below floor (2.6 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10 and A.R:R 6.0:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 1.42; Below-average business quality; Below long-term trend.

Alight provides technology-enabled human capital management services — benefits administration, healthcare navigation, financial wellbeing and leave management — through its Alight Worklife cloud platform, operating under one reportable segment, Employer Solutions. Revenue is... Read more

$19.73+89.6% A.UpsideScore 5.3/10#114 of 125 Software - Application
QualityF-score5 / 9FCF yield15.85%
IncomeYield16.84%Payout0.00%sustainable
Stop $18.35Target $37.40(analyst − 15%)A.R:R 6.0:1
Analyst target$44.00+123.0%4 analysts
$37.40our TP
$19.73price
$44.00mean
$100

Sell if holding. Engine safety override at $19.73: Quality below floor (2.6 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10 and A.R:R 6.0:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 1.42; Below-average business quality; Below long-term trend. Chart setup: RSI 53 mid-range, Bollinger mid-band. Score 5.3/10, moderate confidence.

Passes 5/9 gates (favorable risk/reward ratio, clean insider activity, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA). Suitability: speculative.

10-K grounded · weekly refresh

About Alight, Inc.

About Alight, Inc.

Alight's Worklife platform integrates with more than 350 external providers and partners to deliver benefits administration, healthcare navigation and financial wellbeing services to large employers, supporting a workforce of more than 9,500 employees as of December 31, 2025, roughly 80% of whom are based in North America. The company completed the sale of its Payroll and Professional Services businesses in July 2024, receiving $1.0 billion in cash at closing, narrowing its focus to the single Employer Solutions segment.

Alight generates highly recurring revenue primarily from fees charged per participant per period under multi-year service contracts, with most revenue recognized over time as clients receive integrated benefits administration and wellbeing services. Contracts typically run three to five years with mutual renewal options, giving Alight revenue visibility beyond a single fiscal year. The business competes against ADP, Businessolver and Conduent, among others, on the basis of technology breadth, ease of use and price. Revenue tends to be seasonally higher in the second half of the year, tied to annual benefits enrollment cycles. The Alight Partner Network extends the platform through third-party wellbeing providers, while artificial intelligence and predictive analytics tools support personalized, omnichannel engagement across health, wealth and leave-of-absence services for Fortune 500 and mid-market clients.

Show full overview

Alight's risk factors flag exposure tied to handling confidential participant health, wealth and personal data across its Worklife platform, alongside cyberattacks and security vulnerabilities that could expose the company to legal liability if systems are compromised. The 10-K also cites the risk of declining interest in outsourced HR services as employers reconsider whether to keep benefits administration in-house, a structural threat to a company whose entire revenue base depends on external outsourcing demand. Following the July 2024 divestiture of its Payroll and Professional Services businesses, Alight's remaining Employer Solutions segment concentrates its data-security and outsourcing-demand exposure into a narrower single-segment structure than before the sale.

See also: Technology · Software - Application

From Alight, Inc.'s most recent 10-K filing, extracted July 19, 2026.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-07-28

Recent Developments — Alight, Inc.

Generated 2026-07-28T05:42:43Z.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Tue, Aug 4, 20268d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Quality below floor (2.6 < 4.0)

Key Metrics

P/E (TTM)
P/E (Fwd)2.9
Mkt Cap$884M
EV/EBITDA5.0
Profit Mgn-137.5%
ROE-117.1%
Rev Growth-2.6%
Beta1.67
Dividend16.84%
Rating analysts10

Quality Signals

Piotroski F5/9

Options Flow

P/C1.42bearish
IV158%elevated

Material Events(8-K, last 90d)

  • 2026-06-04Item 5.02MEDIUM
    Board appointed Stephen A. Lasher as Chief Financial Officer effective June 15, 2026, succeeding Interim CFO Gregory Giometti, who had been set to depart by May 8, 2026. Lasher most recently served as CFO of Digital Turbine, Inc.
    SEC filing →
  • 2026-05-05Item 5.02HIGH
    Company disclosed that Interim CFO Gregory P. Giometti would depart by May 8, 2026 or upon appointment of a permanent CFO; no permanent successor named in this filing, with a comprehensive search underway.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

4 floor-breakers·1 ceiling hit

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
0.0
Growth Rank
0.2
Value Rank
9.6

Unprofitable operations — net margin -137.5%. Quality floor flags this regardless of sector context.static

Roe
0.0
Operating Margin
0.0
Roa
0.5
Moat
3.2
Gross Margin
3.7
Current Ratio
5.2
Piotroski F
5.6
No competitive moatQuality concerns

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

52w Position
0.0
Support Resistance
3.0
Bollinger
4.0
Gap
5.0

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Erm
1.0
Surprise Avg
2.7
Earnings Timing
5.0
Dividend Safety
7.7
Estimates down -31.8% (30d)Earnings concerns: 1B/3MEarnings in 8 daysDividend aristocrat: 16.8% yield
GatesMomentum 4.5<4.5Death cross (50MA < 200MA)Executive change: officer departure/appointmentEARNINGS PROXIMITY 8d<=14d (soft)A.R:R 6.0 ≥ 1.5Insider activity: OKNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRange BoundSuitability: Speculative
RSI
53 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $10.45Resistance $23.68

Price Targets

$18
$37
A.Upside+89.6%
A.R:R6.0:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Quality below floor (2.6 < 4.0)
! momentum at 4.5 (below the engine's 4.5 threshold)
! Death cross — 50-day MA below 200-day MA

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-08-04 (8d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is ALIT stock a buy right now?

Sell if holding. Engine safety override at $19.73: Quality below floor (2.6 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10 and A.R:R 6.0:1 is above the 1.5:1 BUY gate. Specifically: Elevated put/call ratio: 1.42; Below-average business quality; Below long-term trend. Chart setup: RSI 53 mid-range, Bollinger mid-band. Prior stop was $18.35. Score 5.3/10, moderate confidence.

What is the ALIT stock price target?

Take-profit target: $37.40 (+89.6% upside). Prior stop was $18.35. Stop-loss: $18.35.

What are the risks of investing in ALIT?

Quality below floor (2.6 < 4.0).

Is ALIT overvalued or undervalued?

Alight, Inc. trades at a P/E of N/A (forward 2.9). TrendMatrix value score: 9.6/10. Verdict: Sell.

What do analysts say about ALIT?

10 analysts cover ALIT with a consensus score of 2.5/5. Average price target: $44.

What does Alight, Inc. do?Alight provides technology-enabled human capital management services — benefits administration, healthcare navigation,...

Alight provides technology-enabled human capital management services — benefits administration, healthcare navigation, financial wellbeing and leave management — through its Alight Worklife cloud platform, operating under one reportable segment, Employer Solutions. Revenue is highly recurring, based on contracted per-participant fees under three-to-five-year contracts with Fortune 500 and mid-market clients.

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Benzinga21d ago
Benzinga21d ago