MeritValue

BOS BETTER ONLINE SOLUTIONS LTD

BOSCdata completeness 100%17 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'realEstateImpairment'; no data for concept 'dividendsPaid'

The thesis, from the filings

BOS BETTER ONLINE SOLUTIONS LTD earns about 8% on invested capital, below its ~9% cost of capital, but has diluted owners by 16% over 5 years — no moat visible in the numbers. The estimate methods put fair value between $3.26 and $5.85 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$33.6M1$41.5M2$44.2M3$39.9M3$50.6M3
Net income$451,0004$1.28M5$2.01M6$2.3M6$3.61M6
Operating cash flow$9,0007$1.28M8$1.83M9$1.29M9$5.05M9
Capital expenditure$379,00010$2.43M11$341,00012$519,00012$452,00012
Free cash flow (derived)−$370,0007−$1.14M8$1.49M9$775,0009$4.59M9
Total debt$2.84M13$57.8M14$2.64M15$2.84M16$3.15M16
Cash & equivalents$1.88M17$1.76M18$2.34M19$3.37M19$11.8M19
Diluted shares5.4M5.6M5.9M5.9M6.3M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$45.48
your share of equity
Profit it earned you last year
$5.72
Free cash flow it threw off
$7.28
Debt you’d be carrying
$5

10 shares is a claim on $45.48 of net worth that earned you $5.72 and generated $7.28 of cash last year, against $5 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
8% avg · 5y
FY21 3%FY22 2%FY23 10%FY24 6%FY25 17%

It earned about 8% on invested capital against a ~9% cost of capital — below the cost of funding. The numbers show no moat.

seeing a moat in the numbers →
Management signal · capital allocation
+16% shares · 5y

Share count is up 16% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 11% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0

The 3 estimate methods that apply put fair value between $3.26 and $5.85 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$5.85
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth5.0%
  • fcfBase$1.49M
DCF · Growth Exit 5Y
$5.5
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth5.0%
  • fcfBase$1.49M
Earnings Power Value
$3.26
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$2.01M
  • growthAssumed0.0%
Graham Number
$7.24
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years5.0%
Discount rate (WACC)9.02%
Terminal growth2.5%
At your growth, a share is worth $5.5
The three cases
Bear0.0%$4.7
Base5.0%$5.5
Bull10.0%$6.46

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 5.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 20-F · period ending 2021-12-31 · accession 0001213900-24-028176 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 20-F · period ending 2022-12-31 · accession 0001213900-25-026190 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 20-F · period ending 2023-12-31 · accession 0001213900-26-037333 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 20-F · period ending 2021-12-31 · accession 0001213900-24-028176 (NetIncomeLoss)
  5. 20-F · period ending 2022-12-31 · accession 0001213900-25-026190 (NetIncomeLoss)
  6. 20-F · period ending 2023-12-31 · accession 0001213900-26-037333 (NetIncomeLoss)
  7. 20-F · period ending 2021-12-31 · accession 0001213900-24-028176 (NetCashProvidedByUsedInOperatingActivities)
  8. 20-F · period ending 2022-12-31 · accession 0001213900-25-026190 (NetCashProvidedByUsedInOperatingActivities)
  9. 20-F · period ending 2023-12-31 · accession 0001213900-26-037333 (NetCashProvidedByUsedInOperatingActivities)
  10. 20-F · period ending 2021-12-31 · accession 0001213900-24-028176 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 20-F · period ending 2022-12-31 · accession 0001213900-25-026190 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 20-F · period ending 2023-12-31 · accession 0001213900-26-037333 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 20-F · period ending 2021-12-31 · accession 0001213900-23-024556 (LongTermDebtNoncurrent)
  14. 20-F · period ending 2022-12-31 · accession 0001213900-24-028176 (LongTermDebtNoncurrent)
  15. 20-F · period ending 2023-12-31 · accession 0001213900-25-026190 (LongTermDebtNoncurrent)
  16. 20-F · period ending 2024-12-31 · accession 0001213900-26-037333 (LongTermDebtNoncurrent)
  17. 20-F · period ending 2021-12-31 · accession 0001213900-24-028176 (CashAndCashEquivalentsAtCarryingValue)
  18. 20-F · period ending 2022-12-31 · accession 0001213900-25-026190 (CashAndCashEquivalentsAtCarryingValue)
  19. 20-F · period ending 2023-12-31 · accession 0001213900-26-037333 (CashAndCashEquivalentsAtCarryingValue)