Adgar Inv. (ADGR) AI Stock Analysis

• Market Cap: 941.25M
• Dividend Yield: N/A
• Average Volume (3M): 188.44K
• Price to Earnings (P/E): 17.8
• Beta (1Y): 1.10
• Revenue Growth: 2.51%
• EPS Growth: -57.24%
• Country: IL
• Employees: 148
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): -0.04
• Shares Outstanding: 188,929,550
• 10 Day Avg. Volume: 145,884
• 30 Day Avg. Volume: 188,442
• PEG Ratio: 1.66
• Price to Book (P/B): 0.90
• Price to Sales (P/S): 3.70
• P/FCF Ratio: 9.30
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: 523.00 ▲(5.02% Upside)

Adgar Inv.'s strong operational efficiency and stable cash flow growth are offset by high leverage and a bearish technical outlook. The stock's moderate valuation and lack of dividend yield further contribute to a cautious investment stance.

Positive Factors

Operational Efficiency

High EBIT and EBITDA margins indicate effective cost management and operational strength, supporting long-term profitability.

Stable Cash Flow

Efficient cash conversion supports financial stability and flexibility, enabling strategic investments and debt management.

Revenue Model

Long-term leases ensure predictable revenue streams, enhancing financial planning and reducing volatility in income.

Negative Factors

High Leverage

Significant leverage increases financial risk and may limit the company's ability to invest in growth opportunities.

Low Net Profit Margin

A low net profit margin suggests profitability challenges, potentially impacting reinvestment capacity and shareholder returns.

Slow Revenue Growth

Slower revenue growth may indicate market saturation or competitive pressures, affecting long-term expansion potential.

Adgar Inv. Business Overview & Revenue Model

Company Description

Adgar Investments and Development Ltd engages in the real estate activities in Israel, Canada, Poland, and Belgium. The company primarily invests in office properties. It also develops income-producing office assets through land purchases and utilization of land reserves associated to various property holdings. The company was incorporated in 1977 and is based in Petah Tikva, Israel. Adgar Investments and Development Ltd is a subsidiary of Direct IDI Holdings Ltd.

How the Company Makes Money

Adgar Inv. generates revenue primarily through rental income from its portfolio of commercial properties. The company's revenue model is built on long-term leases with tenants, which provides a stable and predictable cash flow. Additionally, Adgar benefits from property appreciation and value-added services, including property development and refurbishment projects. Key revenue streams include leasing agreements, service charges, and property management fees. Collaborations with real estate developers and partnerships with financial institutions also enhance its investment capabilities and contribute to its overall earnings.

Adgar Inv. Financial Statement Overview

Summary

Adgar Inv. exhibits strong operational efficiency with high EBIT and EBITDA margins, but faces challenges with a high debt-to-equity ratio and relatively low net profit margin. The company shows positive revenue and cash flow growth, indicating a stable financial position, but needs to manage leverage to mitigate potential risks.

Income Statement

Adgar Inv. shows a strong gross profit margin of 85.31% TTM, indicating efficient cost management. However, the net profit margin is relatively low at 9.69% TTM, which suggests that operating expenses or other costs are impacting profitability. Revenue growth is positive at 1.06% TTM, but slower compared to previous periods. The EBIT and EBITDA margins are robust at 82.86% and 86.73% TTM, respectively, reflecting strong operational efficiency.

Balance Sheet

The company has a high debt-to-equity ratio of 2.71 TTM, indicating significant leverage, which could pose financial risks. Return on equity is modest at 2.34% TTM, suggesting limited profitability relative to shareholder equity. The equity ratio stands at 24.95% TTM, indicating a moderate level of equity financing relative to total assets.

Cash Flow

Adgar Inv. demonstrates strong cash flow management with a free cash flow to net income ratio of 98.22% TTM, indicating efficient conversion of income to cash. The operating cash flow to net income ratio is 15.30% TTM, suggesting a stable cash flow generation relative to net income. Free cash flow growth is positive at 3.08% TTM, reflecting an improvement in cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	341.90M	338.03M	320.83M	302.93M	264.73M	240.66M
Gross Profit	291.22M	288.81M	274.99M	267.68M	238.99M	216.44M
EBITDA	304.09M	213.78M	329.47M	221.50M	166.31M	187.79M
Net Income	46.93M	-7.13M	95.50M	-5.43M	202.25M	-34.26M
Balance Sheet
Total Assets	5.67B	5.49B	5.65B	5.46B	4.93B	4.81B
Cash, Cash Equivalents and Short-Term Investments	383.00M	175.26M	252.41M	456.94M	285.19M	424.45M
Total Debt	3.72B	3.70B	3.72B	3.65B	3.17B	3.21B
Total Liabilities	4.13B	4.09B	4.17B	4.09B	3.56B	3.56B
Stockholders Equity	1.54B	1.40B	1.48B	1.37B	1.37B	1.25B
Cash Flow
Free Cash Flow	141.34M	134.54M	152.51M	101.59M	95.25M	86.46M
Operating Cash Flow	143.60M	138.71M	154.55M	104.59M	96.08M	87.59M
Investing Cash Flow	-26.81M	-187.93M	-272.17M	-181.97M	-164.22M	-179.98M
Financing Cash Flow	60.89M	-11.96M	-93.94M	242.72M	-62.36M	265.55M

Adgar Inv. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 498.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ADGR, the sentiment is Positive. The current price of 498 is above the 20-day moving average (MA) of 484.76, above the 50-day MA of 490.53, and above the 200-day MA of 493.72, indicating a bullish trend. The MACD of 2.05 indicates Negative momentum. The RSI at 57.89 is Neutral, neither overbought nor oversold. The STOCH value of 79.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:ADGR.

Adgar Inv. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ADGR	57 Neutral	941.25M	17.84	―	―	2.51%	-57.24%