Azrieli Group (AZRG) AI Stock Analysis

• Market Cap: $41.77B
• Dividend Yield: 2.04%
• Average Volume (3M): 92.36K
• Price to Earnings (P/E): 25.6
• Beta (1Y): 1.41
• Revenue Growth: -12.35%
• EPS Growth: -20.90%
• Country: IL
• Employees: 442
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 329.10
• Shares Outstanding: 121,272,760
• 10 Day Avg. Volume: 86,660
• 30 Day Avg. Volume: 92,356
• PEG Ratio: -0.73
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 11.12
• P/FCF Ratio: 23.08
• Enterprise Value/Market Cap: 1.48
• Enterprise Value/Revenue: 16.96
• Enterprise Value/Gross Profit: 24.58
• Enterprise Value/Ebitda: 18.59
• 1Y Price Target: $36,999.20
• Price Target Upside: 15.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: 36,507.00 ▲(14.33% Upside)

Azrieli Group's overall stock score is driven by strong financial performance and positive earnings call sentiment. The company's strategic investments and high occupancy rates in key segments are significant strengths. However, technical indicators suggest some caution, and valuation metrics indicate moderate attractiveness.

Positive Factors

Diversified Revenue Streams

Diversification into data centers and renewable energy provides stable, long-term revenue streams, reducing reliance on traditional real estate.

Strong Profitability Margins

High profitability margins indicate effective cost management and operational efficiency, supporting sustainable financial performance.

Stable Financial Position

A stable financial position with moderate leverage ensures financial flexibility and resilience against economic fluctuations.

Negative Factors

Revenue Decline

A decline in revenue growth can indicate challenges in market demand or competitive pressures, potentially impacting long-term growth prospects.

Decreased EBIT and EBITDA Margins

Decreasing EBIT and EBITDA margins suggest potential inefficiencies or increased costs, which could pressure future profitability.

Challenges in Cash Conversion

Challenges in converting income into cash may affect liquidity and the ability to reinvest in growth opportunities, impacting long-term sustainability.

Azrieli Group Business Overview & Revenue Model

Company Description

Azrieli Group Ltd operates in the real estate industry. The company operates through four segments: Retail Centers and Malls in Israel, Office and Other Space for Lease in Israel, Income-Producing Properties segment in the U.S., and Senior Housing segments. It develops, acquires, leases out, manages, and maintains malls and retails centers in Israel; and office buildings and parks for offices and high-tech industry, as well as logistic areas and storage. As of December 31, 2021, the company owned 19 malls and retail centers, and 17 income-producing properties in the office and other space in Israel; and 8 office properties in the United States. The company has 4 active senior homes in an aboveground built-up area of approximately 105 thousand square meters (sqm), including approximately 1,033 senior housing units and projects under development and construction for approximately 275 residential units in a total area of approximately 31 thousand sqm. It also engages in the e-commerce and hospitality operation; and invests in banking and financial corporations, and investment funds, as well as operates hotel. The company was incorporated in 1983 and is based in Tel Aviv, Israel. Azrieli Group Ltd is a subsidiary of Nadav Investments Inc.

How the Company Makes Money

Azrieli Group generates revenue primarily through leasing and management of its commercial properties, which include retail spaces, office units, and industrial facilities. The company earns rental income from long-term leases with tenants, contributing significantly to its overall revenue. Additionally, Azrieli Group engages in property development, where it profits from the sale of developed properties and the increase in property values over time. The company also benefits from its investments in various sectors, including renewable energy and hotels, which provide additional revenue streams. Strategic partnerships with other real estate firms and participation in joint ventures further enhance its earning potential by broadening its investment base and sharing risks associated with large projects.

Azrieli Group Financial Statement Overview

Summary

Azrieli Group shows a robust financial performance with consistent revenue growth and strong profitability margins. The balance sheet is stable with moderate leverage, and cash flow generation is improving, though there are challenges in converting income into cash.

Income Statement

Azrieli Group's income statement shows a strong performance with a consistent increase in revenue over the years, highlighted by a 4.84% revenue growth in the TTM period. The company maintains high gross and net profit margins, indicating efficient cost management and profitability. However, the EBIT and EBITDA margins have slightly decreased compared to previous years, suggesting potential pressure on operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a moderate debt-to-equity ratio of 1.13 in the TTM period, indicating a balanced approach to leveraging. The return on equity has slightly decreased, suggesting a need for improved profitability relative to equity. The equity ratio remains strong, showcasing a solid asset base supported by equity.

Cash Flow

Cash flow analysis reveals a positive trend with a 4.69% growth in free cash flow in the TTM period, indicating improved cash generation. However, the operating cash flow to net income ratio has decreased, suggesting potential challenges in converting income into cash. The free cash flow to net income ratio remains strong, reflecting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.64B	3.28B	4.29B	2.69B	2.21B	1.80B
Gross Profit	2.51B	2.30B	3.38B	1.89B	1.54B	1.17B
EBITDA	3.32B	2.93B	3.79B	3.16B	4.13B	382.00M
Net Income	1.63B	1.48B	2.23B	1.80B	2.89B	189.00M
Balance Sheet
Total Assets	59.70B	57.93B	54.07B	48.47B	42.37B	35.12B
Cash, Cash Equivalents and Short-Term Investments	2.64B	4.63B	4.92B	3.41B	2.89B	2.67B
Total Debt	26.76B	25.89B	22.75B	19.33B	15.27B	11.82B
Total Liabilities	35.27B	34.10B	30.50B	26.37B	21.60B	16.99B
Stockholders Equity	24.41B	23.81B	23.54B	22.07B	20.74B	18.10B
Cash Flow
Free Cash Flow	1.52B	1.58B	1.17B	1.69B	1.32B	649.00M
Operating Cash Flow	1.74B	1.82B	1.37B	1.75B	1.36B	941.00M
Investing Cash Flow	-3.53B	-3.14B	-1.47B	-2.82B	-2.99B	-1.17B
Financing Cash Flow	3.08B	1.07B	1.68B	1.57B	1.89B	48.00M

Azrieli Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 31930.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:AZRG, the sentiment is Negative. The current price of 31930 is below the 20-day moving average (MA) of 33907.50, below the 50-day MA of 33654.20, and above the 200-day MA of 30161.34, indicating a neutral trend. The MACD of -466.76 indicates Positive momentum. The RSI at 32.83 is Neutral, neither overbought nor oversold. The STOCH value of 17.43 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:AZRG.

Azrieli Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMOT	82 Outperform	12.88B	11.59	―	5.35%	3.63%	-10.21%
AFPR	78 Outperform	8.68B	11.77	―	―	―	―
BIG	76 Outperform	18.27B	10.58	―	1.09%	12.23%	9.49%
MLSR	76 Outperform	20.34B	12.67	―	1.86%	15.31%	17.50%
MVNE	76 Outperform	10.35B	15.46	―	1.15%	11.13%	110.98%
AZRG	69 Neutral	$41.77B	25.56	6.64%	2.04%	-12.35%	-20.90%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Azrieli Group Corporate Events

Azrieli Group Reports Strong Q2 2025 Performance

Azrieli Group Ltd. is a prominent real estate company based in Tel Aviv, Israel, known for its diverse portfolio spanning commercial centers, office spaces, and senior housing, with a growing focus on data center services in Europe.