Delek Automotiv (DLEA) AI Stock Analysis

• Market Cap: 2.32B
• Dividend Yield: 8.68%
• Average Volume (3M): 112.91K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 1.70
• Revenue Growth: 6.63%
• EPS Growth: 287.15%
• Country: IL
• Employees: 369
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Dealerships
• EPS (TTM): 61.00
• Shares Outstanding: 96,975,960
• 10 Day Avg. Volume: 150,714
• 30 Day Avg. Volume: 112,910
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: 2,483.00
• Price Target Upside: 5.35% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 61 Neutral
• Price Target: 2,483.00 ▲(5.35% Upside)

Delek Automotiv's overall stock score reflects a mixed financial performance with stable profitability but declining revenue and high leverage. The technical analysis indicates bearish trends, while the valuation suggests potential undervaluation with a high dividend yield. The absence of earnings call and corporate events data limits further insights.

Delek Automotiv Business Overview & Revenue Model

Company Description

Delek Automotive Systems Ltd. (DLEA) is a leading player in the automotive sector, primarily focused on the Israeli market. The company operates through various segments, including the import and distribution of vehicles, automotive parts, and accessories, as well as providing maintenance and repair services. DLEA represents several renowned automotive brands, catering to a diverse customer base that includes individual consumers, businesses, and government entities. Additionally, the company has ventured into the electric vehicle market, aligning with global trends toward sustainable transportation solutions.

How the Company Makes Money

Delek Automotive generates revenue primarily through the sales of vehicles, automotive parts, and accessories. The company earns money from both new and used car sales, leveraging its partnerships with international automotive manufacturers to import popular models. Its revenue model is bolstered by service operations, including maintenance and repairs, which provide a steady income stream from existing vehicle owners. Furthermore, Delek Automotive has capitalized on the growing electric vehicle market, contributing to its financial performance. Strategic partnerships with automotive brands enhance its market presence and product offerings, while a robust distribution network ensures efficient delivery and customer service, further driving sales and profitability.

Delek Automotiv Financial Statement Overview

Summary

Delek Automotiv shows stable financial performance with strong cash flow generation and moderate profitability. However, revenue growth has stalled, and the company is highly leveraged, which could pose risks if earnings decline. Efficient cost management sustains margins, but focus on growth and debt management is crucial.

Income Statement

The income statement reveals modest growth and stable profitability. The TTM gross profit margin stands at 16.02% and the net profit margin at 2.51%, indicating decent profitability. However, revenue has decreased slightly by 0.37% from the previous year, showing a potential concern for growth momentum. EBITDA and EBIT margins are healthy at 15.20% and 10.21%, respectively, suggesting efficient operations despite the slight revenue dip.

Balance Sheet

The balance sheet shows a stable yet leveraged position. The debt-to-equity ratio is high, reflecting significant leverage, which could pose risks if earnings decline. However, the equity ratio is at 15.73%, indicating a moderate proportion of assets funded by equity. The return on equity is 9.82%, suggesting reasonable returns on equity despite the leverage.

Cash Flow

Cash flow analysis suggests a strong operational cash generation capability with an operating cash flow to net income ratio of 3.48. The free cash flow to net income ratio is 1.94, indicating efficient cash management. The free cash flow growth is positive at 515.72%, highlighting significant improvement from the previous period.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.20B	6.39B	5.80B	5.24B	4.67B	3.30B
Gross Profit	970.37M	1.00B	982.55M	1.35B	925.76M	567.80M
EBITDA	992.91M	945.16M	981.56M	1.33B	897.70M	554.55M
Net Income	209.76M	160.73M	333.29M	715.92M	725.34M	311.03M
Balance Sheet
Total Assets	10.88B	10.95B	10.21B	5.83B	5.50B	5.50B
Cash, Cash Equivalents and Short-Term Investments	244.32M	145.66M	133.27M	142.91M	141.82M	110.86M
Total Debt	5.86B	5.96B	5.53B	2.13B	2.04B	2.83B
Total Liabilities	8.22B	8.19B	7.59B	3.74B	3.56B	4.11B
Stockholders Equity	1.47B	1.57B	1.40B	1.35B	1.26B	1.03B
Cash Flow
Free Cash Flow	364.95M	-74.59M	-36.44M	801.36M	1.24B	372.49M
Operating Cash Flow	589.05M	175.84M	200.01M	861.61M	1.34B	489.29M
Investing Cash Flow	-603.80M	-498.00M	-2.32B	-15.72M	-417.18M	-259.59M
Financing Cash Flow	77.01M	334.55M	2.11B	-844.80M	-893.38M	-182.13M

Delek Automotiv Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2357.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:DLEA, the sentiment is Negative. The current price of 2357 is below the 20-day moving average (MA) of 2369.90, below the 50-day MA of 2447.20, and below the 200-day MA of 2643.05, indicating a bearish trend. The MACD of -42.76 indicates Positive momentum. The RSI at 42.71 is Neutral, neither overbought nor oversold. The STOCH value of 8.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IL:DLEA.

Delek Automotiv Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DLEA	61 Neutral	2.32B	11.04	―	8.68%	6.63%	287.15%