Amiad (AMD) AI Stock Analysis

• Market Cap: ₪262.89M
• Dividend Yield: N/A
• Average Volume (3M): 3.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.43
• Revenue Growth: -2.34%
• EPS Growth: -173.39%
• Country: IL
• Employees: 814
• Sector: Technology
• Sector Strength: 88
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): -10.10
• Shares Outstanding: 30,508,394
• 10 Day Avg. Volume: 6,267
• 30 Day Avg. Volume: 3,784
• PEG Ratio: -16.08
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 0.58
• P/FCF Ratio: -89.33
• 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: 991.00 ▲(47.58% Upside)

The score is mainly held back by weak profitability and cash-flow pressure despite stable leverage and revenue growth. Technically, the trend is strong, but overbought signals raise near-term risk. Valuation is constrained by loss-making results (negative P/E) and the absence of a stated dividend yield.

Positive Factors

Diversified product portfolio and recurring revenue

Amiad's broad product mix (automatic self-cleaning, manual filters) plus maintenance and service contracts create recurring revenue and reduce customer churn. Diversified end-markets (agriculture, industrial, municipal) and OEM channels provide durable demand exposure and cross-selling opportunities.

Healthy gross margins

A 33.3% gross margin indicates strong unit economics for core filtration products, providing room to cover SG&A and fund R&D or service investments. Sustained product margin supports long-term competitiveness and the ability to absorb input-cost swings without immediate profitability collapse.

Manageable leverage and stable balance sheet

A modest D/E (~0.52) and a stable equity ratio signal financial flexibility to fund capex, inventory for seasonal demand, and support distributor relationships. This balance-sheet strength reduces refinancing risk and helps sustain long-term investment in product and service capabilities.

Negative Factors

Negative net profitability and return on equity

Persistent negative net margins and negative ROE reflect an inability to convert healthy gross profits into bottom-line returns. Over months this limits retained earnings, constrains reinvestment, and pressures investor returns unless structural cost or pricing improvements restore profitability.

Cash flow generation weakness

Negative FCF growth and poor operating-cash-to-income conversion indicate volatile cash generation. This undermines the company's ability to self-fund maintenance, capex, and working capital, increasing reliance on external financing and elevating long-term execution risk.

Declining operating margins

Falling EBIT/EBITDA margins point to structural margin pressure—either rising costs or weaker pricing. If sustained, this erodes the firm's capacity to invest in innovation and service, and requires strategic corrective actions to restore operational efficiency and long-term profitability.

Amiad Business Overview & Revenue Model

Company Description

Amiad Water Systems Ltd., together with its subsidiaries, manufactures and markets water filters and filtration systems for the industrial and irrigation sectors. It offers automatic, semi-automatic, and manual filters, as well as fertigation injectors pumps; and sand separation systems. The company was formerly known as Amiad Filtration Systems Ltd. and changed its name to Amiad Water Systems Ltd. in September 2011. Amiad Water Systems Ltd. was founded in 1962 and is based in Upper Galilee, Israel.

How the Company Makes Money

Amiad generates revenue primarily through the sale of its filtration products and systems. The company offers a diverse portfolio that includes automatic and manual filters, which are essential for various industries needing efficient water management. Key revenue streams include direct sales to customers, as well as partnerships with distributors and OEMs (original equipment manufacturers) that help expand their market reach. Additionally, Amiad benefits from ongoing maintenance contracts and service agreements, which provide a steady income stream. The company's focus on innovative technology and sustainability also positions it favorably for growth in sectors increasingly prioritizing water conservation and quality.

Amiad Financial Statement Overview

Summary

Mixed fundamentals: revenue growth is positive (9.9% TTM) and leverage is manageable (debt-to-equity 0.52), but profitability is weak (net margin -1.4%, ROE -2.5%) and cash flow quality is pressured (negative free cash flow growth and negative operating cash flow to net income).

Income Statement

Amiad's income statement shows a mixed performance. The TTM gross profit margin is healthy at 33.3%, but the net profit margin is negative at -1.4%, indicating challenges in converting revenue into profit. Revenue growth is positive at 9.9% TTM, suggesting a growth trajectory, although EBIT and EBITDA margins have declined compared to previous years, reflecting potential operational inefficiencies.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio of 0.52 TTM indicates a manageable level of leverage, though it has increased over the years. The equity ratio is stable, and the return on equity is negative at -2.5% TTM, highlighting profitability challenges. Overall, the balance sheet shows stability but with room for improvement in profitability.

Cash Flow

Cash flow analysis reveals significant volatility. The TTM free cash flow growth is negative, and the operating cash flow to net income ratio is also negative, indicating cash flow challenges. However, the free cash flow to net income ratio is notably high, suggesting some ability to generate cash relative to net income despite overall negative trends.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	130.02M	130.79M	123.66M	121.24M	115.30M	104.60M
Gross Profit	43.17M	46.09M	48.54M	49.75M	48.03M	41.78M
EBITDA	10.43M	12.17M	16.95M	18.33M	16.69M	12.21M
Net Income	-1.53M	48.00K	4.28M	4.21M	6.07M	2.60M
Balance Sheet
Total Assets	144.87M	144.45M	144.44M	131.43M	143.19M	144.97M
Cash, Cash Equivalents and Short-Term Investments	9.32M	11.57M	12.19M	13.58M	26.77M	35.25M
Total Debt	41.45M	40.07M	34.96M	19.57M	20.53M	32.53M
Total Liabilities	71.22M	69.18M	65.26M	44.74M	57.70M	62.81M
Stockholders Equity	73.65M	75.28M	79.18M	83.27M	83.35M	79.04M
Cash Flow
Free Cash Flow	2.77M	-854.00K	567.00K	-5.01M	7.54M	18.38M
Operating Cash Flow	6.30M	3.51M	4.84M	-485.00K	10.98M	21.40M
Investing Cash Flow	-3.61M	-4.93M	-8.83M	-4.74M	-3.38M	-2.69M
Financing Cash Flow	-3.43M	925.00K	2.69M	-8.85M	-13.46M	2.03M

Amiad Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 671.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:AMD, the sentiment is Positive. The current price of 671.5 is below the 20-day moving average (MA) of 859.67, below the 50-day MA of 748.53, and below the 200-day MA of 740.04, indicating a bullish trend. The MACD of 31.22 indicates Positive momentum. The RSI at 57.50 is Neutral, neither overbought nor oversold. The STOCH value of 59.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:AMD.

Amiad Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STG	78 Outperform	₪352.40M	13.26	―	5.38%	12.03%	35.37%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
AMD	57 Neutral	₪262.89M	-51.66	―	―	-2.34%	-173.39%