Ayalon Hold. (AYAL) AI Stock Analysis

• Market Cap: 1.54B
• Dividend Yield: 182.95%
• Average Volume (3M): 40.57K
• Price to Earnings (P/E): 10.0
• Beta (1Y): 0.70
• Revenue Growth: 22.57%
• EPS Growth: 73.32%
• Country: IL
• Employees: 1,393
• Sector: Real Estate
• Sector Strength: 59
• Industry: Insurance - Diversified
• EPS (TTM): N/A
• Shares Outstanding: 24,958,927
• 10 Day Avg. Volume: 52,275
• 30 Day Avg. Volume: 40,573
• PEG Ratio: 0.28
• Price to Book (P/B): 1.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.87
• 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

• Rating: 74 Outperform
• Price Target: 6,845.00 ▲(4.19%Upside)

The overall stock score of 73.5 reflects Ayalon Hold.'s strong valuation with an attractive P/E ratio and high dividend yield, combined with positive technical indicators. While the financial performance shows solid revenue growth and improved net income, operational margins and free cash flow conversion remain areas to watch. No earnings call or corporate events data was available to further influence the score.

Ayalon Hold. Business Overview & Revenue Model

Company Description

Ayalon Holdings Ltd. (AYAL) is a financial services company primarily operating in the insurance sector. The company offers a range of insurance products, including life, health, property, and casualty insurance. Ayalon Holdings also provides various financial services, including pension funds and other related financial products, catering to both individual and corporate clients. The company is recognized for its robust service offerings and commitment to delivering comprehensive insurance solutions.

How the Company Makes Money

Ayalon Holdings generates revenue primarily through the sale of insurance policies and financial services products. Premiums collected from customers for life, health, property, and casualty insurance represent a significant portion of its income. Additionally, Ayalon Holdings earns money through investment income derived from managing the assets associated with these insurance policies. The company's pension fund management services also contribute to its revenue streams, as it charges management fees for overseeing these funds. Strategic partnerships with financial institutions and cross-selling opportunities further enhance its earnings potential.

Ayalon Hold. Financial Statement Overview

Summary

Ayalon Hold. demonstrated solid revenue growth and an improvement in net income, reflecting a positive trend in core profitability. However, operational margins and free cash flow conversion highlight areas for potential improvement. The balance sheet is stable with a manageable debt level, but profitability relative to equity could be enhanced.

Income Statement

Ayalon Hold. shows a strong revenue growth of 27.5% in 2024, backed by an impressive reversal from a net loss to a net profit. The gross profit margin remained stable at 100%, as is typical for the insurance industry. However, there was a decline in EBIT and EBITDA margins from 2023, indicating some operational inefficiencies despite the revenue growth.

Balance Sheet

The company's debt-to-equity ratio decreased slightly, reflecting improved financial leverage. The equity ratio improved to 5.1%, indicating a stronger equity position relative to total assets. However, the return on equity remains low at 14.9%, suggesting that profitability in relation to shareholder equity could be enhanced.

Cash Flow

Operating cash flow turned positive in 2024, showing improvement in cash-generating ability. However, free cash flow growth was limited due to significant capital expenditures. The operating cash flow to net income ratio improved, but the free cash flow to net income ratio remains low, highlighting challenges in converting earnings to free cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.37B	3.43B	2.27B	3.15B	2.46B
Gross Profit	4.37B	3.43B	2.27B	3.15B	2.46B
EBITDA	389.55M	-66.82M	319.50M	1.62M	-14.04M
Net Income	144.41M	73.04M	175.71M	-114.02M	-64.26M
Balance Sheet
Total Assets	19.07B	15.94B	15.58B	16.02B	14.45B
Cash, Cash Equivalents and Short-Term Investments	3.60B	410.07M	3.23B	3.08B	2.92B
Total Debt	734.34M	697.08M	732.66M	793.57M	647.87M
Total Liabilities	18.09B	15.24B	14.94B	15.34B	13.75B
Stockholders Equity	971.34M	703.49M	638.27M	679.24M	698.79M
Cash Flow
Free Cash Flow	81.33M	-70.05M	227.81M	-389.21M	271.10M
Operating Cash Flow	208.64M	-65.06M	335.35M	-306.02M	359.34M
Investing Cash Flow	-122.87M	-104.22M	-5.44M	-82.55M	-102.19M
Financing Cash Flow	-49.60M	-8.96M	-66.42M	143.92M	-14.84M

Ayalon Hold. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6570.00
• 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:AYAL, the sentiment is Positive. The current price of 6570 is above the 20-day moving average (MA) of 6433.30, above the 50-day MA of 5877.70, and above the 200-day MA of 4169.72, indicating a bullish trend. The MACD of 98.31 indicates Positive momentum. The RSI at 58.20 is Neutral, neither overbought nor oversold. The STOCH value of 46.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:AYAL.

Ayalon Hold. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AYAL	74 Outperform	1.54B	10.03		182.95%	22.57%	73.32%
PHOE	72 Outperform	28.52B	13.25		362.54%	-11.69%	105.99%
CLIS	70 Outperform	13.40B	12.29		224.27%	―	―
IDIN	70 Outperform	2.87B	9.62		762.94%	25.90%	68.30%
HARL	69 Neutral	22.21B	18.04	12.96%	349.41%	-10.79%	67.20%
MMHD	68 Neutral	18.72B	15.22		233.31%	-2.35%	80.26%
Sector *	68 Neutral	5.42B	10.91	4.91%	268.42%	3.86%	9.29%

Ayalon Hold. Corporate Events

Court Ruling Favors Ayalon Insurance in Class Action Case

Ayalon Insurance Company Ltd announced a favorable court ruling concerning a class action related to a student personal accident insurance policy. The court ordered the removal of the company from the approval request, allowing continued proceedings against other respondents, which positively impacts Ayalon’s legal standing and reduces potential liabilities.