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Elsight Ltd. (AU:ELS)
:ELS
Australian Market
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Elsight Ltd. (ELS) AI Stock Analysis

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AU:ELS

Elsight Ltd.

(Sydney:ELS)

Rating:56Neutral
Price Target:
AU$2.00
▲(9.89% Upside)
The stock's overall score is driven by strong technical indicators, which are offset by weak financial performance and poor valuation metrics. The absence of earnings call data and corporate events also limits a comprehensive analysis.

Elsight Ltd. (ELS) vs. iShares MSCI Australia ETF (EWA)

Elsight Ltd. Business Overview & Revenue Model

Company DescriptionElsight Limited provides connectivity technology solutions. It offers Halo, a communication platform. The company also provides beyond visual line of sight, a solution for operation of aerial vehicles without pilot observation. In addition, the company offers unmanned aerial vehicle for drone operations. Further, the company provides continuous wireless delivery of data services. It serves technology solutions to delivery and logistics, agriculture, telehealth, remote learning, broadband, mobile connectivity, fleets, security and defense, and industrial and inspection industries. The company was founded in 2009 and is headquartered in Or Yehuda, Israel.
How the Company Makes MoneyElsight Ltd. generates revenue through the sale and licensing of its proprietary communication solutions. The company's key revenue streams include product sales, where it offers its hybrid communication platforms to defense and commercial clients, and subscription-based services that provide ongoing support and software updates. Additionally, Elsight engages in strategic partnerships with various technology and defense organizations, which further expands its market reach and enhances its revenue potential. The company's earnings are influenced by factors such as government contracts, technological advancements, and the growing demand for secure communication solutions in various industries.

Elsight Ltd. Financial Statement Overview

Summary
Elsight Ltd. demonstrates strong revenue growth but struggles with profitability and cash flow. The company's equity position has improved, but negative net profit margins and cash flow challenges persist, indicating financial instability.
Income Statement
45
Neutral
Elsight Ltd. shows a positive revenue growth trajectory, with a 31.7% increase in revenue from 2023 to 2024. However, profitability remains a significant challenge as evidenced by negative EBIT, EBITDA, and net income margins. Gross profit margin stands at 57.5% in 2024, indicating potential for future profitability, but the negative net profit margin of -190.9% highlights ongoing financial struggles.
Balance Sheet
40
Negative
The company has improved its equity position in 2024 with positive stockholders' equity of 1.15 million, compared to negative equity in 2023. The debt-to-equity ratio is low at 0.16, suggesting manageable leverage, yet the overall financial health is still weak due to historically negative equity and high liabilities relative to assets.
Cash Flow
35
Negative
Cash flow challenges persist for Elsight Ltd., with negative operating and free cash flows in 2024. The operating cash flow to net income ratio indicates operational inefficiencies. Although free cash flow improved slightly compared to 2023, it remains negative, underscoring the need for improved cash management.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue2.03M1.54M1.19M
Gross Profit1.17M807.52K-564.98K
EBITDA-3.19M-2.60M-3.97M
Net Income-3.87M-3.68M-6.21M
Balance Sheet
Total Assets2.26M4.44M10.33M
Cash, Cash Equivalents and Short-Term Investments885.67K2.70M7.68M
Total Debt180.10K5.32M6.27M
Total Liabilities1.11M6.10M7.60M
Stockholders Equity1.15M-1.66M2.73M2.82M
Cash Flow
Free Cash Flow-1.77M-2.24M
Operating Cash Flow-1.77M-2.19M-5.30M
Investing Cash Flow-16.89K-44.08K
Financing Cash Flow-37.49K-119.42K10.04M11.48M

Elsight Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.82
Price Trends
50DMA
1.46
Positive
100DMA
0.94
Positive
200DMA
0.66
Positive
Market Momentum
MACD
0.11
Positive
RSI
62.09
Neutral
STOCH
37.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:ELS, the sentiment is Positive. The current price of 1.82 is above the 20-day moving average (MA) of 1.80, above the 50-day MA of 1.46, and above the 200-day MA of 0.66, indicating a bullish trend. The MACD of 0.11 indicates Positive momentum. The RSI at 62.09 is Neutral, neither overbought nor oversold. The STOCH value of 37.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:ELS.

Elsight Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
AU$499.59M16.6715.36%7.50%204.66%
71
Outperform
AU$116.13M26.5513.02%2.74%32.93%-41.23%
61
Neutral
$34.80B4.89-10.42%2.08%6.50%-6.29%
56
Neutral
AU$432.46M
31.98%-5.15%
53
Neutral
AU$11.23M-127.39%-17.08%-2263.16%
48
Neutral
AU$146.53M-212.47%-54.10%82.31%
39
Underperform
AU$504.47M-46.55%905.48%10.02%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:ELS
Elsight Ltd.
1.98
1.62
450.00%
AU:YOJ
Yojee Ltd.
0.42
0.37
740.00%
AU:TYR
Tyro Payments Ltd.
0.94
0.06
6.82%
AU:MYG
Mayfield Group Holdings Limited
1.24
0.47
61.04%
AU:BCC
Beam Communications Holdings Limited
0.13
-0.03
-18.75%
AU:WBT
Weebit Nano Ltd.
2.42
0.41
20.40%

Elsight Ltd. Corporate Events

Elsight Ltd. Announces Issuance of New Shares
Aug 1, 2025

Elsight Ltd. has issued 1,333,333 ordinary fully paid shares without disclosure under Part 6D.2 of the Corporations Act, as per section 708A(5) of the Act. The company has complied with relevant provisions of the Corporations Act and confirms there is no excluded information to disclose. This issuance is part of Elsight’s ongoing efforts to enhance its market position and operational capabilities.

Elsight Ltd. Issues New Shares to Strengthen Market Position
Jul 31, 2025

Elsight Ltd. announced the issuance of 45,000 ordinary fully paid shares without disclosure under Part 6D.2 of the Corporations Act. The company confirmed compliance with relevant provisions of the Corporations Act and stated there is no excluded information to disclose. This move signifies Elsight’s strategic financial management and could enhance its market position by potentially increasing capital for further development of its connectivity solutions.

Elsight Ltd. Expands Market Presence with New Securities Issuance
Jul 31, 2025

Elsight Ltd. has announced the issuance of 45,000 ordinary fully paid securities, which will be quoted on the Australian Securities Exchange (ASX) under the code ELS. This move is part of the company’s strategy to enhance its market presence and provide additional value to its stakeholders by expanding its securities offerings.

Elsight Ltd. Issues New Shares to Bolster Connectivity Solutions
Jul 29, 2025

Elsight Ltd. announced the issuance of 35,294,118 ordinary fully paid shares without disclosure under Part 6D.2 of the Corporations Act. This move complies with relevant provisions of the Corporations Act, and there is no excluded information required to be disclosed. This issuance could impact Elsight’s market operations by potentially increasing its capital base, thereby supporting its strategic initiatives in the connectivity solutions sector.

Elsight Ltd. Announces Quotation of New Securities on ASX
Jul 29, 2025

Elsight Ltd. has announced the quotation of 35,294,118 fully paid ordinary securities on the ASX as of July 29, 2025. This move is part of a previously announced transaction, potentially impacting the company’s market presence and offering stakeholders increased liquidity and investment opportunities.

Elsight Ltd. Addresses ASX Compliance Inquiry
Jul 28, 2025

Elsight Ltd. has responded to an inquiry from the Australian Securities Exchange (ASX) regarding compliance with listing rules, particularly concerning a media article. The company clarified that it did not provide any information to the media and was not the source of the article’s content. Elsight was in a trading halt due to an equity capital raising and emphasized its commitment to its Continuous Disclosure Policy to ensure compliance and proper market communication.

Elsight Secures US$39 Million to Fuel Growth in Uncrewed Systems Market
Jul 23, 2025

Elsight Limited has successfully raised approximately US$39 million through a well-supported capital raising initiative, attracting both existing and new institutional investors. This funding positions Elsight to capitalize on significant growth opportunities in the defense and commercial sectors, driven by rising global budgets and increased investments in uncrewed systems. The company aims to expand its sales and marketing efforts, drive product innovation, and pursue strategic acquisitions to accelerate growth and deliver long-term value to shareholders.

Elsight Ltd. Issues Corrections to Quarterly Report for Transparency
Jul 23, 2025

Elsight Ltd. has issued corrections to its Quarterly Activity Report and Appendix 4C to ensure transparency and accuracy in its market disclosures. This announcement underscores the company’s commitment to maintaining clear communication with stakeholders, which is crucial for its operations and industry positioning.

Elsight Ltd. Announces Proposed Securities Issuance
Jul 23, 2025

Elsight Ltd. has announced a proposed issuance of 35,294,118 ordinary fully paid securities, scheduled for July 29, 2025. This move is intended to enhance the company’s financial standing and potentially expand its market operations, reflecting a strategic effort to strengthen its position within the technology sector.

Elsight Limited Announces 2025 First Half Results Webinar
Jul 23, 2025

Elsight Limited has announced a webinar to present its 2025 first half results, scheduled for July 23, 2025. This event will provide insights into the company’s performance and strategic direction, with opportunities for investors to engage through a question submission feature. The announcement underscores Elsight’s commitment to transparency and stakeholder engagement, potentially impacting its market positioning and investor relations.

Elsight Ltd. Achieves Record Revenue and Eyes Profitability in 2025
Jul 21, 2025

Elsight Ltd. has reported record-breaking revenue for the first half of 2025, driven by strong industry tailwinds and major contract wins. The company achieved a 340% increase in revenue compared to the first half of 2024, reaching approximately US$4.8 million. This growth is supported by a robust order book and strategic sales and marketing efforts, positioning Elsight as a critical enabler in next-generation defense programs. The company’s sustainable business model, characterized by favorable contract terms and strong cash flow, underpins its path towards profitability in the second half of 2025.

Elsight Limited Initiates Trading Halt Ahead of Capital Raising Announcement
Jul 21, 2025

Elsight Limited has requested a trading halt on its securities pending an announcement related to an equity capital raising. This move is expected to impact the company’s financial strategy and market positioning, as it seeks to secure additional funding to support its operations and growth initiatives.

Elsight Ltd. Announces Cessation of Securities Due to Unmet Conditions
Jul 1, 2025

Elsight Ltd. announced the cessation of certain securities due to unmet conditions, impacting 190,000 options expiring in 2030 and 625,000 options expiring in 2029. This cessation reflects a strategic adjustment in the company’s financial operations, potentially affecting stakeholders’ interests and market perception.

Elsight Ltd. Relocates Headquarters to Carlton, VIC
Jun 30, 2025

Elsight Ltd. has announced a change in its Registered Office and Principal Place of Business to a new location in Carlton, VIC, effective 30 June 2025. This strategic move is part of the company’s ongoing efforts to enhance its operational efficiency and market presence, potentially impacting its stakeholders positively by aligning with its growth objectives.

Elsight Ltd. Surpasses Revenue Expectations Amid Regional Tensions
Jun 23, 2025

Elsight Ltd. has demonstrated remarkable supply chain resilience by delivering a US$1.35M shipment ahead of schedule despite regional tensions in Israel. The company’s unaudited revenue for 2025 has already surpassed US$4.4M, more than doubling its total 2024 revenue, with further growth anticipated. Elsight’s strong cash position, bolstered by high-visibility contracts and favorable payment terms, positions the company for sustained growth and future expansion. This aligns with broader industry trends, such as NATO’s plans to expand military capabilities, and underscores Elsight’s ability to execute under challenging conditions, enhancing its industry positioning and stakeholder confidence.

Elsight Secures Major Contract with European Defense OEM, Boosting 2025 Revenue
Jun 4, 2025

Elsight Limited has secured a new US$5.08 million contract with a European defense OEM customer, marking a significant increase in demand for its Halo units. This contract is part of a larger trend, with the customer securing new downstream clients, resulting in a total of US$14.7 million in orders for 2025. The rapid expansion highlights Halo’s competitive advantage in the defense sector, particularly for unmanned systems, and demonstrates Elsight’s ability to deliver reliable connectivity solutions. The company’s expanding production capabilities and readiness to fulfill large orders position it well for future growth and deeper integration into the customer’s ecosystem.

Elsight Ltd. Issues Unquoted Equity Securities as Part of Employee Incentive Scheme
May 29, 2025

Elsight Ltd. has announced the issuance of unquoted equity securities, specifically options expiring in 2030 with varying exercise prices. This move is part of an employee incentive scheme, indicating a strategic effort to retain and motivate key personnel, potentially impacting the company’s operational dynamics and market positioning.

Elsight Ltd. Secures Shareholder Support at AGM
May 29, 2025

Elsight Ltd. announced that all resolutions were passed at its Annual General Meeting, including the adoption of the Remuneration Report and the re-election of directors. This outcome reflects strong shareholder support and positions the company for continued growth and stability in its operations, potentially enhancing its market position and stakeholder confidence.

Elsight Expands Defense Contract, Secures US$9.63M in Orders for 2025
May 29, 2025

Elsight Limited has expanded its supply agreement with a European defense OEM, securing an additional contract worth US$5.35M, bringing the total commitment to US$9.63M for 2025. This expansion is expected to drive Elsight to profitability and cash flow break-even in 2025, highlighting the strategic importance of its Halo connectivity platform in modern defense operations. The company’s technology is gaining accelerated adoption due to its critical role in enabling unmanned defense capabilities, amidst a global shift towards increased defense budgets and infrastructure deployments.

Elsight Ltd. Issues New Shares to Strengthen Market Position
May 21, 2025

Elsight Ltd. has announced the issuance of 150,000 Fully Paid Ordinary Shares following the exercise of Unlisted Options, complying with relevant sections of the Corporations Act 2001. This move signifies the company’s adherence to regulatory standards and may enhance its market position by increasing its share capital, potentially impacting stakeholders positively.

Elsight Ltd. Expands Market Presence with New Securities Issuance
May 21, 2025

Elsight Ltd. has announced the issuance of 150,000 ordinary fully paid securities, which will be quoted on the Australian Securities Exchange (ASX) under the code ELS. This move is part of the company’s strategy to enhance its market presence and provide more liquidity to its stakeholders, potentially impacting its operations and positioning within the industry.

Elsight Joins Elite Northrop Grumman Accelerator Program
May 19, 2025

Elsight Ltd. has been selected for the prestigious 2025 Northrop Grumman Technology Accelerator, a program delivered by U.S. venture-builder FedTech. This selection, from over 225 applicants, highlights the strategic importance of Elsight’s Halo platform in defense applications. The program offers Elsight direct integration with Northrop Grumman’s technical and procurement teams, providing a fast-track to U.S. Department of Defense-funded pilots and strategic contracts. This opportunity marks a significant milestone for Elsight’s expansion into the U.S. defense sector, potentially translating into tangible growth for shareholders.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 29, 2025