Elco (ELCO) AI Stock Analysis

• Market Cap: 4.55B
• Dividend Yield: 1.43%
• Average Volume (3M): 17.92K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.73
• Revenue Growth: 9.65%
• EPS Growth: 58.93%
• Country: IL
• Employees: 23,850
• Sector: Industrials
• Sector Strength: 82
• Industry: Conglomerates
• EPS (TTM): -4.38
• Shares Outstanding: 26,931,005
• 10 Day Avg. Volume: 32,238
• 30 Day Avg. Volume: 17,923
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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

Elco's overall score reflects strong revenue growth and positive technical momentum, offset by persistent net losses and high leverage. While operational efficiency is improving, the lack of profitability and high debt levels are significant risks. The stock's technical indicators are strong, but valuation concerns due to a negative P/E ratio limit the score.

Elco Business Overview & Revenue Model

Company Description

Elco (ELCO) is an established company operating in the electrical components and equipment sector. It specializes in providing a wide range of electrical products including transformers, switchgear, and lighting solutions, catering to both industrial and residential needs. The company is known for its innovation in energy-efficient technologies and its commitment to sustainable development.

How the Company Makes Money

Elco generates revenue primarily through the sale of its electrical products and solutions. Its key revenue streams include the direct sale of electrical components to industrial clients, government contracts for public infrastructure projects, and retail sales to residential consumers. The company also leverages strategic partnerships with construction firms and utility providers to enhance its market reach. Additionally, Elco invests in research and development to continuously improve its product offerings, which helps maintain its competitive edge and attract more customers.

Elco Financial Statement Overview

Summary

Elco is demonstrating robust revenue growth and improving operational efficiency; however, consistent net losses and high leverage pose risks. The company needs to focus on profitability improvements while managing its debt levels effectively to ensure sustainable growth.

Income Statement

Elco's revenue has grown significantly over the years, with a 10.2% increase from 2023 to 2024. However, the net profit margin remains negative due to consistent net losses, posing a profitability concern. The EBIT and EBITDA margins have shown improvement, indicating operational efficiency gains.

Balance Sheet

The company's debt-to-equity ratio is quite high, reflecting significant leverage, which can be risky. Stockholders' equity has decreased over the years, impacting the equity ratio negatively. However, the company maintains a stable asset base.

Cash Flow

Elco has shown a strong recovery in free cash flow, moving from negative to positive from 2023 to 2024. The operating cash flow to net income ratio is positive, indicating good cash conversion despite net losses. This suggests strong cash flow management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
20.61B	18.70B	18.70B	14.82B	10.97B
	Gross Profit
3.11B	2.73B	3.57B	2.70B	1.58B
	EBIT
578.00M	71.77M	1.65B	1.34B	632.98M
	EBITDA
1.35B	934.52M	2.35B	1.98B	976.07M
	Net Income Common Stockholders
-118.00M	-289.00M	429.54M	544.62M	284.05M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.80B	1.15B	1.33B	1.13B	1.40B
	Total Assets
26.05B	23.98B	22.85B	19.04B	11.67B
	Total Debt
12.38B	10.45B	9.34B	7.93B	3.57B
	Net Debt
10.63B	9.30B	8.02B	6.81B	2.18B
	Total Liabilities
20.93B	18.99B	17.40B	14.67B	8.65B
	Stockholders Equity
2.11B	2.25B	2.58B	2.06B	1.60B
Cash Flow		Free Cash Flow
22.00M	-561.91M	-234.67M	-610.50M	574.08M
	Operating Cash Flow
938.00M	437.48M	330.75M	-144.70M	916.10M
	Investing Cash Flow
-1.32B	-1.24B	-945.40M	-1.24B	143.97M
	Financing Cash Flow
1.00B	624.80M	893.99M	1.12B	-578.17M

Elco Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16270.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:ELCO, the sentiment is Positive. The current price of 16270 is above the 20-day moving average (MA) of 15866.50, above the 50-day MA of 15460.58, and above the 200-day MA of 13457.37, indicating a bullish trend. The MACD of 343.55 indicates Negative momentum. The RSI at 63.75 is Neutral, neither overbought nor oversold. The STOCH value of 65.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:ELCO.

Elco Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ELCO	65 Neutral	4.55B	―		1.43%	9.65%	58.93%
Sector *	64 Neutral	$4.30B	11.84	5.23%	249.82%	4.06%	-10.21%
RANI	60 Neutral	817.11M	10.61		―	―	―
ALHE	47 Neutral	6.71B	―		2.50%	10.94%	84.79%

Elco Corporate Events

Elco Ltd. Embraces iXBRL Reporting for Enhanced Transparency

Elco Ltd. has voluntarily participated in an initiative led by the Israel Securities Authority to integrate iXBRL reports in Israel, alongside their regular reporting formats. This move signifies Elco’s commitment to enhancing its reporting transparency and aligning with modern reporting standards, potentially impacting its operations by offering stakeholders a more detailed and accessible view of its financial data.

Elco Ltd Embraces iXBRL Reporting Format for 2023

Elco Ltd has voluntarily submitted a periodic financial report in the iXBRL format for the year ending December 31, 2023. This submission is part of an initiative led by the Securities Authority to implement iXBRL reporting in Israel, allowing for more detailed tagging of data from periodic reports. While this report is not mandated by the Securities Law, it provides a basis for testing the new reporting format, which may impact how financial data is presented and accessed by stakeholders.

Elco Ltd Embraces iXBRL for Enhanced Financial Reporting

Elco Ltd, a company listed on the Tel Aviv Stock Exchange, has voluntarily submitted a financial report in the iXBRL format as part of an initiative by the Israel Securities Authority to promote iXBRL reporting in Israel. This move allows Elco to experiment with tagging certain data and provides a different manner of reporting compared to their traditional PDF format. The responsibility for using the tagged data lies with the user, and in cases of discrepancy, the original periodic or quarterly reports are considered binding.

Elco Ltd. Embraces iXBRL for Enhanced Financial Reporting

Elco Ltd. voluntarily participated in a process initiated by the Israel Securities Authority to implement iXBRL reporting in Israel, alongside their regular financial reporting. This move is part of the company’s efforts to enhance transparency and accessibility in financial reporting, although the responsibility for the use of the information remains on the user.