Delek Group (DLEKG) AI Stock Analysis

• Market Cap: 15.03B
• Dividend Yield: 6.64%
• Average Volume (3M): 43.15K
• Price to Earnings (P/E): 4.3
• Beta (1Y): 0.95
• Revenue Growth: 17.71%
• EPS Growth: 211.99%
• Country: IL
• Employees: 799
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 16201.80
• Shares Outstanding: 18,288,143
• 10 Day Avg. Volume: 31,918
• 30 Day Avg. Volume: 43,148
• PEG Ratio: -0.48
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 0.73
• P/FCF Ratio: 4.13
• 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: 58 Neutral
• Price Target: 85,914.00 ▲(4.00% Upside)

The overall stock score reflects a balance of strengths and weaknesses. The most significant factor is the financial performance, which shows strong operational efficiency but is offset by high leverage and cash flow concerns. Technical analysis indicates bearish momentum, while the valuation is a positive aspect with a low P/E ratio and high dividend yield. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Operational Efficiency

High EBIT and EBITDA margins indicate effective cost management and operational efficiency, supporting long-term profitability and competitiveness.

Revenue Diversification

Diverse revenue streams from petroleum, gas, and services reduce dependency on a single market, enhancing resilience against sector-specific downturns.

Strategic Partnerships

Partnerships and joint ventures expand market reach and resource access, fostering growth opportunities and competitive positioning.

Negative Factors

High Leverage

Significant leverage increases financial risk and could strain cash flows, limiting financial flexibility and impacting long-term stability.

Declining Revenue

Revenue decline suggests potential market or operational challenges, which could affect future growth and profitability if not addressed.

Cash Flow Issues

Negative free cash flow indicates liquidity issues, potentially hindering investment in growth initiatives and affecting financial health.

Delek Group Business Overview & Revenue Model

Company Description

Delek Group (DLEKG) is a leading Israeli energy and infrastructure company, primarily engaged in the exploration, production, and marketing of oil and gas. The company operates through several key sectors, including energy, fuel, and real estate, with significant investments in both domestic and international markets. Delek Group's core products and services encompass refining petroleum, operating gas stations, and developing energy infrastructure, making it a pivotal player in the energy landscape of Israel and beyond.

How the Company Makes Money

Delek Group generates revenue through multiple streams, primarily from the sale of refined petroleum products, natural gas, and other energy-related services. The company operates a network of gas stations and fuel distribution systems, which provide a steady income through retail sales. Additionally, Delek Group is involved in upstream activities, including oil and gas exploration and production, which contribute significantly to its revenues. The company's revenue model is bolstered by strategic partnerships with other energy firms, joint ventures in the exploration of natural resources, and long-term contracts for the supply of gas to domestic and international markets. Fluctuations in global oil prices, regulatory factors, and the performance of its subsidiaries also play critical roles in influencing its earnings.

Delek Group Financial Statement Overview

Summary

Delek Group demonstrates strong operational performance with robust revenue growth and efficient cash flow management. However, the company faces challenges with high leverage and declining net profit margins. Overall, the financial health is solid but requires careful management of debt levels and profitability.

Income Statement

Delek Group shows strong revenue growth with a 7.65% increase in TTM, supported by solid gross and EBIT margins of 49.96% and 41.54% respectively. However, the net profit margin has decreased to 6.78% from previous highs, indicating some profitability challenges. Overall, the income statement reflects robust operational performance but with some pressure on net profitability.

Balance Sheet

The company has a high debt-to-equity ratio of 1.86, indicating significant leverage, which poses a risk. Return on equity is moderate at 10.65%, showing decent profitability relative to equity. The equity ratio stands at 15.91%, suggesting a lower proportion of equity financing. While the balance sheet shows stability, the high leverage is a concern.

Cash Flow

Delek Group's cash flow performance is strong, with a 31.52% growth in free cash flow and an operating cash flow to net income ratio close to 1. The free cash flow to net income ratio of 53.50% indicates healthy cash generation relative to profits. The cash flow statement reflects strong liquidity and cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.17B	11.96B	12.33B	11.99B	7.97B	6.67B
Gross Profit	7.28B	5.70B	6.42B	6.80B	4.31B	3.13B
EBITDA	8.79B	8.40B	9.43B	13.39B	5.21B	5.06B
Net Income	3.50B	1.40B	1.59B	3.98B	1.43B	-1.59B
Balance Sheet
Total Assets	56.60B	52.35B	43.84B	43.07B	31.40B	34.28B
Cash, Cash Equivalents and Short-Term Investments	2.43B	2.43B	1.60B	2.16B	1.21B	403.00M
Total Debt	11.68B	15.06B	14.51B	16.86B	14.87B	18.32B
Total Liabilities	38.86B	33.81B	28.91B	30.19B	26.21B	29.09B
Stockholders Equity	10.60B	8.72B	9.52B	8.56B	2.60B	2.02B
Cash Flow
Free Cash Flow	-5.00M	2.12B	3.90B	5.26B	2.50B	3.11B
Operating Cash Flow	2.61B	4.42B	6.24B	6.83B	3.60B	3.17B
Investing Cash Flow	-2.62B	-1.64B	-1.94B	-5.87B	2.72B	568.00M
Financing Cash Flow	-2.70B	-2.13B	-4.89B	-27.00M	-5.53B	-4.79B

Delek Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 82610.00
• 50DMA: Negative
• 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:DLEKG, the sentiment is Neutral. The current price of 82610 is below the 20-day moving average (MA) of 84162.00, below the 50-day MA of 86050.61, and above the 200-day MA of 71322.38, indicating a neutral trend. The MACD of -780.95 indicates Positive momentum. The RSI at 43.69 is Neutral, neither overbought nor oversold. The STOCH value of 33.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IL:DLEKG.

Delek Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RATI	73 Outperform	5.53B	12.10	27.38%	8.82%	-15.49%	-8.29%
NWMD	71 Outperform	22.60B	14.25	24.33%	3.95%	-15.01%	-16.12%
TMRP	65 Neutral	2.74B	19.10	―	7.38%	5.30%	-23.48%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
DLEKG	58 Neutral	15.03B	4.30	4.49%	6.64%	17.71%	211.99%
NVPT	44 Neutral	12.72B	-60.31	―	―	69.61%	-282.20%