Ellomay (ELLO) AI Stock Analysis

• Market Cap: $829.81M
• Dividend Yield: N/A
• Average Volume (3M): 4.21K
• Price to Earnings (P/E): 36.7
• Beta (1Y): 0.82
• Revenue Growth: -6.85%
• EPS Growth: 1.72%
• Country: IL
• Employees: 26
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): N/A
• Shares Outstanding: 13,779,585
• 10 Day Avg. Volume: 3,629
• 30 Day Avg. Volume: 4,211
• PEG Ratio: 0.12
• Price to Book (P/B): 1.69
• Price to Sales (P/S): 4.95
• P/FCF Ratio: -2.97
• Enterprise Value/Market Cap: 3.14
• Enterprise Value/Revenue: 63.40
• Enterprise Value/Gross Profit: 308.02
• Enterprise Value/Ebitda: 82.07
• 1Y Price Target: $5,896.84
• Price Target Upside: -2.08% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 57 Neutral
• Price Target: 5,873.00 ▼(-2.47% Downside)

Ellomay's overall stock score reflects strong operational efficiency but is hampered by financial stability concerns and high valuation. Technical analysis indicates moderate bullish momentum, but the high P/E ratio and lack of dividend yield suggest potential overvaluation.

Ellomay Business Overview & Revenue Model

Company Description

Ellomay Capital Ltd., together with its subsidiaries, engages in the production of renewable and clean energy in Israel, Spain, and the Netherlands. The company owns six photovoltaic (PV) plants comprising four PV plants in Spain with an aggregate installed capacity of approximately 7.9 megawatts (MW); one PV plant with a peak capacity of 300 MW in the municipality of Talaván, Spain; and one PV plant in Israel with an installed capacity of approximately 9 MW. It also operates a dual-fuel operated power plant with an installed capacity of approximately 860 MWp in the vicinity of Ashkelon, Israel; and constructs a 156 MW pumped storage hydro power plant in the Manara Cliff, Israel. In addition, the company develops anaerobic digestion plants with a green gas production capacity of approximately 375 Nm3/h in Goor and 475 Nm3/h in Oude-Tonge in the Netherlands. Further, it is involved in the construction of a PV plant with installed capacity of 28MW in the municipality of Talaván, Spain. The company was formerly known as NUR Macroprinters Ltd. and changed its name to Ellomay Capital Ltd. in April 2008. Ellomay Capital Ltd. was incorporated in 1987 and is headquartered in Tel Aviv-Yafo, Israel.

How the Company Makes Money

Ellomay Capital Ltd. generates revenue through the production and sale of electricity from its renewable energy facilities. The company owns and operates a portfolio of solar, wind, and waste-to-energy projects, which produce electricity sold under long-term Power Purchase Agreements (PPAs) or feed-in tariffs. These contracts provide a stable and predictable revenue stream over the life of the agreements. Additionally, Ellomay explores opportunities for project development and expansion, which may include entering into joint ventures or partnerships with other energy companies to leverage expertise and share risks. Government incentives and support for renewable energy projects also play a significant role in the company's financial performance, contributing to its earnings through subsidies or tax benefits.

Ellomay Financial Statement Overview

Summary

Ellomay demonstrates strong operational performance with high EBIT and EBITDA margins, but faces challenges in financial stability and cash management. High leverage and negative free cash flow present significant risks.

Income Statement

Ellomay's income statement shows a mixed performance. Despite a positive TTM gross profit margin of 20.58% and a net profit margin of 12.37%, the company has experienced fluctuating revenue growth, with a recent decline. The EBIT and EBITDA margins of 24.05% and 77.25% respectively in TTM indicate strong operational efficiency. However, the inconsistency in net income across periods suggests potential volatility.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 4.73 TTM, indicating significant leverage. The return on equity is modest at 4.25% TTM, reflecting moderate profitability. The equity ratio stands at 16.59% TTM, highlighting a low equity base relative to assets. While the company has grown its total assets steadily, the high leverage poses a risk to financial stability.

Cash Flow

Ellomay's cash flow statements show challenges, with a negative free cash flow in TTM, indicating high capital expenditures outweighing operating cash flow. The operating cash flow to net income ratio of 1.39 TTM suggests that while operations generate cash, it is not sufficient to cover investments, raising concerns about cash management. The cash flow dependence on financing activities further reflects potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.08M	40.47M	48.83M	52.24M	44.78M	9.64M
Gross Profit	8.46M	4.78M	21.51M	24.79M	12.18M	1.72M
EBITDA	31.74M	20.43M	29.50M	26.98M	18.69M	1.15M
Net Income	5.08M	-6.52M	2.22M	-357.00K	-15.09M	-4.63M
Balance Sheet
Total Assets	721.24M	677.26M	612.85M	576.16M	551.15M	460.17M
Cash, Cash Equivalents and Short-Term Investments	71.45M	41.13M	52.12M	49.29M	71.58M	76.72M
Total Debt	565.71M	521.06M	446.40M	407.04M	376.32M	308.25M
Total Liabilities	590.07M	547.97M	487.75M	493.08M	437.66M	335.15M
Stockholders Equity	119.66M	118.62M	115.00M	95.72M	115.52M	124.23M
Cash Flow
Free Cash Flow	-78.76M	-67.47M	-52.53M	-37.29M	-67.57M	-134.25M
Operating Cash Flow	7.08M	7.97M	8.60M	11.32M	15.24M	-5.83M
Investing Cash Flow	-113.81M	-64.44M	-55.55M	-24.38M	-107.42M	-112.14M
Financing Cash Flow	59.90M	42.96M	54.43M	26.51M	54.20M	141.64M

Ellomay Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6022.00
• 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:ELLO, the sentiment is Positive. The current price of 6022 is below the 20-day moving average (MA) of 6048.40, below the 50-day MA of 6022.68, and above the 200-day MA of 5706.56, indicating a neutral trend. The MACD of -24.57 indicates Positive momentum. The RSI at 51.11 is Neutral, neither overbought nor oversold. The STOCH value of 42.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:ELLO.

Ellomay Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MSKE	60 Neutral	3.90B	―	-2.24%	―	―	―
ELLO	57 Neutral	$829.81M	36.66	-3.99%	―	-6.85%	1.72%
ECNR	47 Neutral	1.99B	-86.02	0.21%	―	-7.47%	-123.28%
DORL	45 Neutral	3.02B	-18.37	1.01%	―	113.54%	-242.38%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%

Ellomay Corporate Events

Ellomay Capital Announces Auction of Plot A Land

Ellomay Capital Ltd. announced the sale of land known as Plot A under the Planning and Building Law of 1968 and the Sale Law of 1969. The sale will be conducted via an auction where the company will offer 214,479,000 shares of the property, A.G.N. Ltd., divided into sections as per a detailed plan. This move aligns with Ellomay’s strategic focus on managing its real estate assets, potentially impacting its financial standing and offering new opportunities for stakeholders.

Ellomay Capital Expands Renewable Energy Footprint with Land Acquisition

Ellomay Capital Ltd. has announced a land purchase agreement valued at NIS 220 million, a strategic move essential for the company’s growth and development in renewable energy projects. This acquisition marks a significant step for Ellomay in strengthening its position within the renewable energy industry, highlighting its commitment to expanding its operations and market presence.