Afi Properties (AFPR) AI Stock Analysis

• Market Cap: ₪9.70B
• Dividend Yield: N/A
• Average Volume (3M): 11.39K
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.82
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IL
• Employees: 401
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 778.80
• Shares Outstanding: 41,427,456
• 10 Day Avg. Volume: 27,718
• 30 Day Avg. Volume: 11,389
• PEG Ratio: 0.25
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 5.67
• P/FCF Ratio: 27.26
• 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: 65 Neutral
• Price Target: 23,973.00 ▲(1.32% Upside)
• Action: Downgraded Date: 03/12/26
• Date: Action: Downgraded 03/12/26

The score is driven by strong valuation (very low P/E) and solid recent profitability, partially offset by meaningful leverage and uneven cash-flow quality. Technical signals are currently weak, with bearish trend indicators despite oversold momentum readings.

Positive Factors

Consistent revenue growth

Steady top-line expansion through 2020–2025, capped by a strong 2025 uplift, indicates durable demand or successful portfolio execution. Persistent revenue growth supports long-term cash generation, reinvestment capacity and diversification of income sources across properties.

Improving recent profitability

Sharp net income gains and high gross margins in 2024–2025 point to stronger operating leverage and pricing or yield improvements in the portfolio. Sustained higher profitability increases retained earnings, enhancing capacity to fund maintenance capex and shareholder returns over time.

Positive free cash flow profile

Generally positive free cash flow, and FCF converging with reported earnings in 2025, signals the company can convert profits into cash. This underpins the ability to service debt, return capital or fund capex without relying solely on external financing in the medium term.

Negative Factors

Elevated balance-sheet leverage

Debt materially exceeding equity raises refinancing and interest-rate sensitivity for a property company. High leverage limits financial flexibility for acquisitions or downturns, increases default and covenant risk, and amplifies earnings volatility when asset values or rental income soften.

Volatile operating cash flow

A material drop in operating cash flow in 2025 and weak cash conversion relative to profits show earnings are not consistently translating to cash. That volatility undermines the reliability of internal funding for debt service, capex and distributions across economic cycles.

Earnings volatility from revaluations

Reliance on asset revaluations and one-offs to drive earnings produces lumpy reported results and complicates forecasting. This persistent earnings volatility weakens visibility for lenders and investors, making long-term planning and capital structure management more difficult.

Afi Properties Business Overview & Revenue Model

Company Description

AFI Properties Ltd engages in the initiation, construction, rental, and operation of industrial buildings, offices, and commercial premises in Israel and Europe. It is involved in the development and operation of various projects that include shopping malls, logistics parks, offices, commercial, and residential properties. The company was formerly known as Africa Israel Properties Ltd. and changed its name to AFI Properties Ltd in July 2019. AFI Properties Ltd was incorporated in 1971 and is based in Yahud, Israel.

How the Company Makes Money

Afi Properties generates revenue primarily through rental income from its diverse portfolio of commercial and residential properties. This includes long-term leases with tenants, allowing for a steady cash flow. Additionally, the company earns money through property sales and development projects, where properties are developed and sold at a profit. Key revenue streams also include property management services and consultancy for third-party investors. Significant partnerships with construction firms and local government entities further enhance Afi Properties' earning potential by facilitating development projects and expanding their market reach.

Afi Properties Financial Statement Overview

Summary

Income statement strength (score 78) reflects solid revenue growth and very strong recent profitability, but this is tempered by balance-sheet leverage (score 56; debt > equity) and weaker, volatile cash conversion (cash flow score 49), including a material drop in operating cash flow in 2025.

Income Statement

Revenue has grown steadily from 2020–2025, with an especially strong jump in 2025. Profitability is very strong in recent years, with net income rising sharply in 2024–2025 and high gross profitability. The main weakness is volatility: profits were very low in 2020 and the operating-profit profile has fluctuated, which is typical for property-related businesses where revaluations and one-time items can swing results.

Balance Sheet

The balance sheet is asset-heavy with meaningful leverage: debt is consistently greater than equity (roughly 1.6x–1.9x debt-to-equity), which increases sensitivity to interest rates and property values. A positive offset is improving equity over time and a recovery in shareholder returns versus earlier years, but leverage remains the key constraint on financial flexibility.

Cash Flow

Cash generation is mixed. Free cash flow has generally been positive and, in 2025, free cash flow is close to reported earnings, but operating cash flow is relatively low versus reported profit and fell materially in 2025. Free cash flow also dropped sharply in 2025 after a stronger 2024, pointing to higher volatility in cash conversion and funding capacity.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.60B	1.50B	1.37B	1.16B	1.15B
Gross Profit	1.07B	978.18M	759.75M	568.43M	580.16M
EBITDA	1.80B	1.42B	693.24M	1.08B	1.19B
Net Income	933.30M	663.30M	211.40M	585.49M	787.34M
Balance Sheet
Total Assets	23.60B	21.44B	19.58B	17.45B	14.02B
Cash, Cash Equivalents and Short-Term Investments	1.73B	1.24B	528.01M	905.66M	555.73M
Total Debt	13.46B	12.89B	11.14B	9.86B	8.45B
Total Liabilities	15.31B	14.55B	12.97B	11.51B	9.53B
Stockholders Equity	8.26B	6.85B	6.59B	5.91B	4.47B
Cash Flow
Free Cash Flow	332.48M	606.97M	314.57M	314.76M	427.76M
Operating Cash Flow	363.72M	793.84M	513.77M	524.86M	533.73M
Investing Cash Flow	-945.29M	-1.47B	-1.50B	-1.32B	-1.57B
Financing Cash Flow	1.00B	1.42B	586.40M	1.12B	1.15B

Afi Properties Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 23660.00
• 50DMA: Negative
• 100DMA: Positive
• 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:AFPR, the sentiment is Positive. The current price of 23660 is above the 20-day moving average (MA) of 23240.50, below the 50-day MA of 24161.20, and above the 200-day MA of 21726.50, indicating a neutral trend. The MACD of -412.23 indicates Negative momentum. The RSI at 51.33 is Neutral, neither overbought nor oversold. The STOCH value of 68.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:AFPR.

Afi Properties Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMOT	71 Outperform	₪10.17B	15.41	―	5.22%	3.63%	-10.21%
MVNE	69 Neutral	₪10.33B	17.94	―	1.10%	11.13%	110.98%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
AFPR	65 Neutral	₪9.70B	9.71	―	―	―	―
AURA	60 Neutral	₪5.88B	25.88	―	0.66%	31.05%	-6.52%
ALHE	49 Neutral	₪7.98B	-9.84	―	2.42%	6.64%	―