Big (BIG) AI Stock Analysis

• Market Cap: 18.61B
• Dividend Yield: 1.08%
• Average Volume (3M): 44.65K
• Price to Earnings (P/E): 11.7
• Beta (1Y): 1.24
• Revenue Growth: 12.23%
• EPS Growth: 9.49%
• Country: IL
• Employees: 105
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 2194.10
• Shares Outstanding: 24,921,103
• 10 Day Avg. Volume: 55,568
• 30 Day Avg. Volume: 44,646
• PEG Ratio: 0.13
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 5.26
• P/FCF Ratio: 21.95
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: 80,175.00 ▲(6.59% Upside)

Big's strong financial performance, characterized by robust revenue growth and profitability, is a key strength. The stock's valuation is reasonable, and technical indicators suggest neutral momentum. However, high leverage is a potential risk that needs careful management.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a positive trajectory and suggests that Big is effectively expanding its market presence and product adoption.

Profitability Margins

Strong profitability margins reflect efficient operations and pricing power, which can sustain long-term financial health and competitive advantage.

Cash Generation

Robust cash generation capabilities provide financial flexibility for reinvestment, debt repayment, and shareholder returns, supporting long-term stability.

Negative Factors

High Leverage

Significant leverage poses risks to financial stability and could limit the company's ability to invest in growth opportunities if not managed carefully.

Decreasing Net Profit Margin

A declining net profit margin may indicate rising costs or pricing pressures, potentially impacting future profitability if not addressed.

Low Operating Cash Flow Conversion

Low conversion of net income to operating cash flow suggests inefficiencies in cash management, which could affect liquidity and operational flexibility.

Big Business Overview & Revenue Model

Company Description

BIG Shopping Centers Ltd invests in, develops, operates, and manages shopping centers and malls primarily in Israel, the United States, and Serbia. The company also develops logistics, offices, energy, and residential projects. It owns and manages 26 shopping centers and malls in Israel, 25 shopping centers in the United States, and 11 shopping centers in Serbia, as well as 3 logistics centers in France. The company was founded in 1994 and is headquartered in Herzliya, Israel.

How the Company Makes Money

Big generates revenue primarily through the sale of its various product lines in its retail stores and online. The company's revenue model is built around direct sales, where customers purchase items at marked prices. Additionally, BIG benefits from seasonal sales promotions and loyalty programs that encourage repeat purchases. The company also engages in partnerships with popular outdoor brands and manufacturers, allowing it to secure favorable terms and exclusive product offerings, which enhance its competitive advantage and profitability. Furthermore, BIG may generate ancillary income through services such as equipment rentals, workshops, and community events that align with its brand and customer interests.

Big Financial Statement Overview

Summary

The company exhibits strong profitability with high profit margins and a solid return on equity. However, high leverage and declining free cash flow growth present potential risks.

Income Statement

The company demonstrates strong profitability with a high gross profit margin of 70.20% and a net profit margin of 67.35% in the TTM period. Revenue growth is positive at 3.65%, indicating a steady increase in sales. EBIT and EBITDA margins are exceptionally high, suggesting efficient operations. However, the revenue growth rate has slowed compared to previous years, which could be a concern for future growth.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.92, indicating significant leverage, which could pose a risk if not managed properly. Return on equity is strong at 14.34%, reflecting effective use of equity to generate profits. The equity ratio is moderate, suggesting a balanced approach to financing assets with equity.

Cash Flow

The cash flow statement reveals a decline in free cash flow growth by 4.19% in the TTM period, which may impact future investments. The operating cash flow to net income ratio is low at 0.13, indicating potential challenges in converting income into cash. However, the free cash flow to net income ratio is relatively healthy at 0.78, suggesting adequate cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.76B	2.51B	2.34B	1.95B	1.81B	598.10M
Gross Profit	1.98B	1.74B	1.42B	1.18B	1.07B	441.15M
EBITDA	3.35B	3.02B	1.91B	2.50B	2.07B	103.08M
Net Income	1.58B	1.46B	860.99M	1.20B	1.05B	-9.14M
Balance Sheet
Total Assets	44.66B	41.06B	36.63B	32.06B	26.90B	12.64B
Cash, Cash Equivalents and Short-Term Investments	2.28B	2.28B	1.22B	2.17B	1.70B	322.55M
Total Debt	26.28B	24.30B	21.18B	18.59B	16.06B	7.39B
Total Liabilities	29.96B	27.66B	24.45B	21.35B	18.33B	8.26B
Stockholders Equity	13.08B	12.02B	10.95B	9.41B	6.65B	3.99B
Cash Flow
Free Cash Flow	725.69M	601.76M	447.40M	478.78M	492.75M	152.13M
Operating Cash Flow	878.21M	806.96M	652.32M	693.84M	604.18M	159.19M
Investing Cash Flow	-3.33B	-2.97B	-3.42B	-1.90B	-1.18B	-700.38M
Financing Cash Flow	3.16B	3.12B	1.90B	1.56B	1.95B	388.29M

Big Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 75220.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:BIG, the sentiment is Positive. The current price of 75220 is above the 20-day moving average (MA) of 73492.00, above the 50-day MA of 73397.00, and above the 200-day MA of 63015.00, indicating a bullish trend. The MACD of 495.42 indicates Negative momentum. The RSI at 59.62 is Neutral, neither overbought nor oversold. The STOCH value of 92.22 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:BIG.

Big Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AFPR	75 Outperform	9.42B	11.04	―	―	―	―
BIG	72 Outperform	18.61B	11.66	―	1.08%	12.23%	9.49%
AMOT	70 Outperform	12.37B	14.63	―	5.22%	3.63%	-10.21%
MVNE	69 Neutral	10.75B	15.84	―	1.10%	11.13%	110.98%
MLSR	66 Neutral	19.06B	12.07	―	1.89%	15.31%	17.50%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ALHE	48 Neutral	8.75B	25.13	―	2.42%	6.64%	―